Full Answer
Some Medicaid lawyers offer free consultations, while others charge an initial consultation fee or offer Medicaid planning conferences that range in cost from approximately $175 – $500. After the consultation / planning conference and gathering of the facts and needs, a price for services can be quoted.
If an average suburban married couple follows the advice of most nursing homes they may spend over $100,000 at the nursing home before applying for Medicaid. The attorney should be able to help an average couple to save that $100,000.
The short and simple answer is no, a lawyer is not needed to get Medicaid. However, based on one’s marital status, financial holdings, and complexity of other relevant factors, it may be best to hire an attorney who specializes in Medicaid in the state in which one resides.
The average cost of working with a Medicaid planning professional is generally less than the cost of one month’s care in a nursing home. There are a wide variety of costs associated with engaging a Medicaid Planner. This depends on the type of Planner as well as the needs of the applicant.
Many, perhaps most are rejected because of inadequate documentation, unreported assets, incomplete spend down or gifting of assets within 5 years of application.
They don’t tell you at the Medicaid department that you can keep your home and be on Medicaid, but after you die they want your estate to sell it and give the money to the government as payback. They call it “estate recovery.”
You can expect that nobody at Department of Health and Human Services, the Medicaid department, will answer your questions. They are not there to answer questions. There job is to review your application and accept it or deny it. When your application is denied you have to start over.
Some Medicaid lawyers offer free consultations, while others charge an initial consultation fee or offer Medicaid planning conferences that range in cost from approximately $175 – $500.
On the other hand, Medicaid attorneys often focus more on the legal aspects of Medicaid planning, such as creating Medicaid asset protection trusts or Qualified income trusts, which makes them the better option for this type of assistance.
This strategy reduces one’s countable assets, while at the same time , protecting some of them for family. Essentially, Medicaid applicants gift approximately half of their “excess” assets (assets over Medicaid’s limit) to their loved ones and then purchase an annuity with the remaining “excess” assets. (An annuity turns countable assets ...
One such strategy that elder law attorneys can implement is a Medicaid asset protection trust (MAPT). This type of trust not only prevents one from becoming ineligible for Medicaid due to gifting assets ...
Medicaid attorneys and specialists also assist with crisis planning, which occurs when a senior needs Medicaid benefits within 30-60 days.
For persons who have Medicaid cases that are fairly simple and straightforward, a Medicaid planner, also called a Medicaid specialist or a Medicaid Advisor, might be a good option. Working with a professional Medicaid planner can be a lot more cost efficient than working with a Medicaid attorney.
The look back period is 5 years in all states except California (Medi-Cal has a 2.5 year look back).
Putting the plan into action can take longer. Depending on the strategy, it can take several weeks or months, even up to 6 months in some cases. In situations where there is an immediate need for Medicaid care, the Medicaid application documentation can be prepared concurrent with the execution of the plan.
Medicaid Planners help clients structure their financial resources and prepare documentation to ensure the best possibility of being accepted into the Medicaid program. They create trusts, manage asset transfers, and convert countable assets into exempt assets to ensure eligibility and preserve a family’s resources.
It is worth noting that a mistake in planning can impact eligibility for as long as 5 years (2.5 years in California). This is because Medicaid has a look-back period. If one is not confident in their family’s ability to manage some complex legal and financial techniques, using a planner is advised.
The long term care costs for two individuals can bankrupt most American families very quickly .
The consequences of being denied by Medicaid are severe and can negatively impact the comfort, happiness, and even the health of the individual applying and their entire family.
As with Medicaid Planning professionals, their fees must be paid for out-of-pocket. However, those fees are substantially lower.
For those who don’t qualify for free assistance, it is not absolutely necessary that they retain the services of a Medicaid Planning professional. However, in many situations it is prudent, cost-effective, and strongly advised. The decision should be based on each family’s specific situation.
Not hiring a Medicaid lawyer could cost you if you have to go into a nursing home. If you have Medicare coverage, as many seniors do, when you need nursing home care, Medicare will only pay for skilled nursing home services. If you can get covered, which most people cannot because the range of covered services is so narrow, you typically will be covered only for a very short stay in a nursing home. Most private insurance, including Medicare advantage plans, have similar rules providing for only limited coverage for a brief duration.
Parman & Easterday can assist you with all aspects of Medicaid planning, including making certain you have plans in place to protect your assets and a disabled person’s access to benefits. To find out more about how Medicaid planning can be a key part of your asset protection plans, join us for a free seminar.
All trusts are not "protected" from Medicaid. If this is a complicated situation, then an elder law attorney is probably a good idea. Having recommendations is also good. As Bob mentioned, you can make an appointment with Medicaid to ask questions so that is an option.
Unless both spouses need nursing home care, you shouldn't need to spend down their assets; Medicaid regulations require only that the assets be held in a way that complies with the laws and regulations in your state that protect Medicaid applicants and their spouses.
By all means get a qualified and WELL RECOMMENDED elder care atty, especially if mom has substantial financial means.. It is also a good idea to pay a fact-finding visit to your county social services department..You can speak to them without applying for Medicaid at the time of the visit...
The New Jersey Committee said that these non-lawyer advisors "may not provide legal advice on strategies to become eligible for Medicaid benefits, including advice on spending down resources, tax implications, guardianships, sale or transfer of assets, creation of trusts or service contracts, and the like.".
Most nursing homes have a Medicaid Specialist who helps you fill out and apply for the Medicaid. My husband is in a Veteran's Home and the girl who helped was wonderful and put me completely at ease even though it is a complicated and stressful process. We applied in December and it was not approved until May 1st.