Mistakes That You Must Avoid with Medicaid Planning
Medicaid planning is very much important as you get older. It involves creating a plan to validate that you can qualify for Medicaid coverage of nursing home care. Without a plan, the money you have saved in your lifetime will be quickly spent down.
There are strict guidelines to protect the reliability of a Medicaid system, so making mistakes in the process of Medicaid planning implies that you are not capable for qualifying for Medicaid benefits. So, you must be aware with the following mistakes and make efforts to avoid these:
- Waiting Too Long To Make A Plan
Medicaid planning must be done well before the time, when you really require Medicaid to start getting the bills for a nursing home. If you wait for too long, you might have to spend substantial amount of your money before you are secured. If you transfer assets, counting to a trust or gave or sold them away within 5 years of applying for the benefits, then you will wait for the Medicaid nursing coverage.
- Adding a Child to Your Deed or Giving Away the Money Too Early
These types of transactions can be considered as endowments, which can disqualify you temporarily for a period of time form Medicaid, based on the worth of the gift value that you have given away.
- Thinking it Too Late to Plan
As early planning is the key to saving most or all your assets, it is never too late for implementing planning steps. There are many alternatives to protect your assets, even if an elderly individual has moved into a nursing home.
- Use the Wrong Type of Trust
Medicaid planning in Wisconsin involves transferring of your assets into a trust. The more quickly you do this, sooner your assets will be protected. Though, not every type of trust will protect your assets from being counted while deciding whether you qualify for Medicaid. You need to validate that you get help by making a legally valid trust that will protect your protect your property and money.
- Not Transferring Assets
Making a trust is only the initial step. You really need to transfer the ownership of your property and your money into a trust to protect them and not counted while determining the eligibility for Medicaid benefits.
Therefore, these are the mistakes that people make when trying to get Medicaid to provide coverage for their nursing home care.
Medicaid planning is very important as even a single mistake can cost you a lot. Instead of trying to handle the creation of an effective plan on your own, you must seek a legal advice from a Medicaid Attorney.If you are looking to seek the services of an attorney for Medicaid Planning in Wisconsin, get in touch with Elder Law Center of Wisconsin. Their attorneys can handle complex matters in simple ways that is easily understandable. Call us today for more insights!