Medicare is the primary health insurance for American seniors, but it does not pay for long term care, such as an extended stay in a skilled nursing facility. These costs are covered by Medicaid, but only for persons whose assets and income fall below a very low level, requiring people to exhaust their assets paying for care. With the cost of long term care insurance out of reach for all but the wealthiest Americans, Medicaid qualification becomes an important part of estate planning. The Law Offices of Claude S. Smith III can help you create a Charleston, WV estate plan that helps you qualify for Medicaid without losing most of your assets.
A Medicaid Trust is an irrevocable trust set up to hold most of your assets so that you qualify for Medicaid. The trustee of a Medicaid Trust is usually your children or other close relatives. It’s understandable that you may be skittish about no longer owning your assets outright, but there are many protections in the trust to ensure the safety of your assets. The Law Offices of Claude S. Smith III can help you decide if a Medicaid Trust is the right estate planning tool for your family.
LIVING WITH A MEDICAID TRUST
Even though your assets are owned by the trust, you will have the right to use them during your lifetime. You can continue to live in your home, drive your car, and retain all other aspects of your lifestyle while remaining eligible for Medicaid. When you pass, your assets will transfer privately to your beneficiaries, without having to go through probate. If you believe a Medicaid Trust might be the right estate planning tool for your family, it’s important to act quickly. A Medicaid Trust must be set up at least five years prior to the need for services to satisfy Medicaid’s “look back” period. Please call the Law Offices of Claude S. Smith III, in Charleston, WV, as soon as possible for an appointment.