Asset Protection and Medicaid Planning
Janice and Greg
Janice and Greg are both 70 years old and married. They live alone. Greg has advanced dementia and no longer recognizes his wife or children. He needs assistance with eating, getting dressed, and bathing. Janice can no longer take care of him and has placed him in a nearby nursing home. They have $400,000.00 which does not include the value of their home. The average cost per year for nursing home care in the state of Georgia is $80,208.00.* In five years, they will have spent their entire nest egg paying solely for Greg’s nursing home care.
Long Term Planning and Crisis Planning
Janice and Greg are not alone. Seventy percent of adults 65 years old and over will require some level of long-term care throughout the rest of their lives.** Unfortunately, many families believe their only options to pay for this are by using long-term insurance (which most do not carry) or by spending all of their money on nursing home care in order to eventually qualify for Medicaid. Medicaid is a federal and state program that covers medical costs for individuals with limited income and resources. Specifically, Medicaid benefits include the payment of long-term nursing home care, and 57% of those in nursing homes rely on the Medicaid program to cover the bulk of their costs.***
A commonly held myth is you must spend all of your money before qualifying for Medicaid. This is not true. However, proper planning is essential. Walker Law can form a tailored plan to help protect your home and prevent the complete loss of your life savings in the event you or a loved one needs long-term care. The rules are complex and constantly changing. It is imperative to get it right the first time.
Walker Law provides both long-term and crisis planning. It is best to plan ahead giving yourself at least five years before any long-term care benefits are needed. But if immediate care is needed, Walker Law can help prevent you from spending all of your money on nursing home costs and allow you to leave money to loved ones.
* Genworth Cost of Care Survey 2019.
** 2018 – U.S. Department of Health and Human Services
*** National Spending For Long-Term Services and Supports by Payer, 2017 Graph (AARP Public Policy Institute – August 2019)