Medicaid
Medicaid is a federal program administered through the state. The program's mission is to help those who are over the age of 65 or disabled that need assistance and meet the financial requirements. Medicaid programs can be community based or facility based. Community based programs are where the individual in need of services remains at home and the services are provided to the individual at a home. Facility base Medicaid is when an individual qualifies for long term care in a facility.
Requirements
- Age - over 65, unless disabled
- Resource - are divided into countable and non-countable resources. All resources are countable unless specifically listed as non-countable. The total amount of countable assets must be less than $2000
- Needs - the individual applying for Medicaid must meet certain minimum medical needs in order to qualify for those services.
Crisis planning v. Long term planning
Most citizens in the United States do not need to worry about Federal Estate taxes, it will be paying nursing home or long term facility bills that will be the chief among most
Crisis Planning
Is starting the planning stage when funds are above the $2,000 threshold, but the Medicaid beneficiary is unable to pay the current month's obligations.
Long Term Planning
Long-Term Medicaid Planning can be divided into two distinct phases. First phase is when the applicant will not have to file a Medicaid application within five years. The five years is the limit a Medicaid eligibility worker may review assets transfers previous to filing the Medicaid application.
Second phase is when Medicaid beneficiary is within five years of filing a Medicaid application. The analysis is different, and the planning options are drastically reduced.