As people get older it’s a natural desire to help their children financially, or perhaps make gifts to their grandchildren or other family members. But that generosity may later affect their eligibility for Medicaid benefits if they ever need long-term care.
WHAT IS MEDICAID?
Medicaid is a program that provides health coverage and long-term care to millions of Americans, including eligible low-income adults, children, elderly adults, and people with disabilities. Although the program is administered under federal guidelines and partially funded with federal funds, it is administered independently be each state.
MEDICAID AND LONG-TERM CARE
With the advancements in medical technology, people are living longer than ever before. As a result, it’s not unusual for them to outlive their financial resources. For those individuals who may require long-term care at some point during their lifetime, without the ability to pay for such care, Medicaid is often the program to which they turn. For those who meet the program’s strict asset and income guidelines, Medicaid can provide life-saving benefits to cover the costs of a nursing home or other long-term care. However, the program rules are extremely complex, and great care must be taken in order to comply with them. Actions that people take now could affect their eligibility for benefits in the future. Continue reading