Our philosophy at Statewide Retirement Planning Co. is to work with our clients through education and information. We feel strongly that this approach will enable our clients to make better and more informed decisions. With this in mind, we have decided to send out a regular newsletter filled with information regarding all aspects of retirement and the retirement planning process. We hope that you enjoy reading these newsletters and are able to use the information to make your retirement years more secure and enjoyable than it otherwise might be.
Please feel free to forward copies to your family and friends.
Medicaid For Your Long Term Care? - Think Again
It's possible, but the qualification requirements are difficult
By now, we all know the drill: we're all living longer due to better health habits and health care.
But the longer we live, the more apt we are to need care.
Many people think Medicare will pay for long-term care. Not true. The longest Medicare will pay for care in a nursing facility or for intermittent care at home is 100 days...IF you have been hospitalized for at least three days and the doctor prescribes rehabilitation that assumes you will get better. Medicare-related insurance also will not cover beyond 100 days in a facility.
Others feel that Medicaid is the answer - even if it is for the poor.
Here's how South Florida Elder Law Attorney Alice Reiter Feld feels about it in her weekly online blog: "Often, out of sheer frustration, retirees tell me they're going to solve the problem of qualifying for Medicaid by just giving it all to their kids.
"But that opens up the possibility of your kids' problems - with their spouses, for example - impacting your money. My golden rule has always been, don't give to your son or daughter what you wouldn't give to your son - or daughter-in law.
"In addition, most retirees have no idea about the tax implications. For instance, transferring a house to a child changes the property tax classification to non-owner-occupied - and property taxes will go up.
"To qualify for Medicaid, you do have to spend down. Each state has different rules; but, generally, you're allowed to keep around $2,000.
"The only exempt assets are:
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Home (equity up to $500,000) if "intent to return" is established
Personal belongings, household goods
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One car or truck
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Burial spaces and certain related items for applicant and spouse
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Irrevocable pre-paid funeral contract
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Up to $1,500 of face value life insurance; if the face value exceeds $1,500, the cash value is considered a means of payment
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"All other assets are generally non-exempt - any item that can be turned into cash is a countable asset.
"Non-exempt items would include:
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Cash, savings and checking accounts
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Credit union share and draft accounts
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Certificates of deposit
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U.S. Savings Bonds
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IRAs, 401(k)s, Keogh plans, 403(b) and all other defined compensation plans
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Pre-paid funeral contracts that can be canceled
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Trusts (depending on the terms and conditions of the trust)
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Real Estate (other than primary residence)
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More than one car
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Boat or recreational vehicles
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Stocks, bonds and mutual funds
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Annuities
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Land contracts or mortgages held on real estate sold
If Medicaid is out of the question, there are lots of ways that Long-Term Care can be obtained with little or no out of pocket cash, just by moving a couple of things around. We can customize a plan to fit your budget.
Contact us for more information about how we can help you create a plan for Long-Term-Care at minimal cost.
Statewide Retirement Planning Co.
(954) 781-2220
www.statewideretirementplanning.com
StatewideRetirementPlanning@gmail.com
Call us now at 1-877-805-0151 or fill out this short survey to find out more about how you might receive guaranteed* income for life and protect your principal at the same time!
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