Clearing the Air: Common Medicaid Misunderstandings

Clearing the Air: Common Medicaid Misunderstandings

by | Jan 18, 2021 | Blog, Medicaid, Medicaid Planning, Medicaid Qualification

With 2020 now receding from view and an end to the Covid-19 pandemic (hopefully) in sight, that sigh of relief so many of us need is finally on the horizon. The New Year brings promise of better times and yet it would be foolish to forget the lessons of the last twelve months. Chief among these is that health cannot be taken for granted and having a plan to ensure access to care is essential. For millions nation-wide, this means organizing assets in order to qualify for Medicaid. After all, despite common misconception, Medicaid is the best way for many folks to gain the long-term care coverage they need. 

Five Frequent Medicaid Myths 

  1. Only Low-Income Adults Qualify
    This is both the most common and most deeply-flawed misunderstanding on this list. First, nearly half (49.7%) of the 76 million Americans receiving Medicaid are children (which is part of why planning is essential for people of any age) and second, many millions of middle-income individuals may qualify with proper foresight.

  2. Gaining Coverage Means Hiding Your Assets
    Not only is this notion mistaken, it is unethical. An experienced (and honest) attorney can walk you through such common practices as spousal income and asset transfers, annuities, Medicaid asset protection trusts, and qualified income trusts (to name just a few legal instruments). All of these both work to preserve your assets and are reported directly to Medicaid through the application process.

  3. Medicaid Means You (or Your Parents) Will Lose Their Home
    This misconception is related to the above but because of its prevalence (and frightening nature) it deserves individual mention. Contrary to popular belief, Medicaid rules, in fact, aim to preserve the family home. What’s more, a well-organized plan can prevent the home from being lost in what is referred to as estate recovery when the person receiving benefits dies. While too much to get into here, an experienced attorney can walk you through all of the details.

  4. Medicaid Only Covers Nursing Homes
    It is true that traditionally Medicaid has mostly paid for nursing home care costs and yet (because nobody wants to be in a nursing home) some states, including Texas, offer home and community-based services (HCBS) programs. These programs allow beneficiaries to receive care in their own home or community rather than in an isolated setting and strive to make lifestyle decisions in consultation with each individual’s unique needs.

  5. It Is Too Late to Gain Coverage
    Regardless of your age, financial well-being, or medical history, it is never too late (or too early!) to initiate long-term care planning. While it is true that Medicaid employs a five-year look-back period when assessing an applicant’s financial eligibility, you may still gain access and retain significant assets with proper planning even if you need care now. 

According to government data, a person turning 65 today has an almost 70% chance of needing some type of long-term care in their remaining years. Such care comes at an overwhelming cost and yet this need not be a burden if you have a plan in place. The simple act of getting started on building such a plan provides immense relief and if there’s one thing most people in the US need right now, it’s just that: relief. 

Download our FREE Medicaid Planning in Alabama: What You Need To Know Guide to help you get the ball rolling toward a worry-free 2021! Contact us today to set up a consultation or if you have any questions. 

 

Footwear and Foresight: The Common Ground Between Shoe Sales and Estate Planning

Footwear and Foresight: The Common Ground Between Shoe Sales and Estate Planning

by | Jan 6, 2021 | Blog, Elder Law, Estate Planning

Unless you are familiar with Tony Hsieh and his business approach, the connection between shoes and asset management might not seem obvious. Indeed, even if you do know a thing or two about the late former CEO of Zappos, you still might fail to see the connection. After all, what does your life’s work have to do with your footwear? Unless you have blown your savings into collector kicks, the truth is not much; however, if you are talking about the common ground between running a successful shoe enterprise and a successful estate and elder law firm, then the similarities are plenty. 

Tony, who passed away tragically in late November founded the internationally-recognized online shoe retailer Zappos and in so doing left a legacy that can be counted not only in dollar signs, but in the much richer currency of human happiness. This is because Zappos is an outlier in the world of online retail. The company runs on ten core values which all, in some form or other, exist to ensure customers, as well as employees, vendors, shareholders and the community all leave any interaction with Zappos feeling happy. These values are the following: 

  1. Deliver WOW Through Customer Service
  2. Embrace and Drive Change
  3. Create Fun and A Little Weirdness
  4. Be Adventurous, Creative, and Open-Minded
  5. Pursue Growth and Learning
  6. Build Open and Honest Relationships with Communication
  7. Build a Positive Team and Family Spirit
  8. Do More with Less
  9. Be Passionate and Determined
  10.  Be Humble 

Notably, nothing about shoes appears and there is not a single mention of profits. This is because, as the title of Tony’s book Delivering Happiness: A Path to Profits, Passion, and Purpose would indicate, happiness is profit, as well as so much more. 

The lesson to be learned from Zappos applies at least as much to estate and elder law as to online retail. After all, an estate plan is only successful if one, it provides peace of mind to the person for whom it is prepared and two, eases the burden upon their family when they pass. These outcomes, peace and ease, are cousins of happiness and the cornerstone of a successful practice. When they are lost from sight, so too is an estate and elder law firm’s raison d’être. 

Here at Miller Estate and Elder Law we take this to heart. Your happiness, as well as that of everyone involved in our operation, is fundamental. This is because when you leave our office, you do not leave with anything—not even a new pair of shoes—if you do not leave happy. Sure, we might secure your assets for future generations, ensure you have access to the care you need in old age, and help you in making the most of your life’s work (among many other services), but none of that is worth a great deal if you do not feel good doing it. Money and security mean little without well-being, after all.  

In sharing this reflection, our goal has been to offer some insight into our practice. If you are reading this and happen to be a current or former client, hopefully all that has been said rings true. Whether this be the case or not, it would mean a lot if you could drop us a review on Google and AVVO. Reviews, both positive and negative, help us do a better job of helping you but more than that, they help other folks out there find services that are invested not only in raking in profits, but in nurturing happiness and building connection. Thank you!

If you would like to know how we can help with your estate plan, contact us today.  You can also call 256-472-1900 to set up a consultation. 

 

 

What to Look for During Holiday Visits to Aging Parents

What to Look for During Holiday Visits to Aging Parents

by | Nov 5, 2020 | Aging Parents, Medicaid, Medicaid Planning, Nursing Home

The holidays are often called the most wonderful time of the year, especially for aging parents. For many families who live far apart, they are also a time when adult children and grandchildren travel to visit aging parents. Even if you are in regular contact by phone and email, it can be tough to recognize signs of aging that require further attention until you are with your loved ones in person. Do you know what to look for during holiday visits to aging parents?

Let us talk about some of the signs that it may be time to look into getting your aging parent some day to day assistance, or to begin exploring options for long-term care.

The first thing to look for in your aging parents is forgetfulness. Forgetfulness is often one of the first signs to watch for. It is normal for memory to change over time. If your parents, however, are forgetting routine and long-term information, such as their street address or how to get to the grocery store, this could be a sign of the onset of Alzheimer’s or another form of dementia.

Decrease in socialization can also be a red flag in aging parents. If your normally active, social parent is spending a lot less time out of the house, this may be cause for concern, especially if he or she is now living alone after being widowed and is not getting social interaction without a spouse in the house. You can help by looking into local activities at a senior center, house of worship, or the library.

Driving issues are also things to watch for. Unfortunately, your parents probably taught you to drive, and you may be the person who has to take away their keys. If vision and spatial issues become too much and impair their ability to drive safely, it is probably time to sit down and talk to your parents about alternatives.

Additionally, be mindful of cleanliness. If your parents’ home has unexpected piles of junk mail and newspapers suddenly stacking up in the corners, it may be time to talk about getting them some help to organize and discard.  If there is a true cleanliness issue, however, with food not being disposed of properly or mold accumulation, it can also be a sign of dementia.

Our office remains committed to serving the elderly and their loved ones. For legal help and support concerning elder law issues, please reach out to us to schedule an appointment.

Can Filial Responsibility Laws Leave You On The Hook For Your Parents Nursing Home Bill?

Can Filial Responsibility Laws Leave You On The Hook For Your Parents Nursing Home Bill?

by | Oct 5, 2020 | Aging Parents, Blog, Nursing Home

While parents today may be generally informed that they could be liable for the debts of their children, they rarely consider whether they may actually find themselves on the hook for the debts of their parents. Did you know that over half of the United States have filial responsibility statutes on the books? This may come as a surprise to many people.

A filial responsibility law provides that an adult child has the responsibility to support his or her adult parent. The statutes vary between states. Arkansas requires only payment for mental health services and Connecticut only applies if the parent is under sixty-five. Meanwhile, a court in Pennsylvania entered a judgment of $93,000.00 against an adult son for his mother’s nursing home bill.

The positive news may be that, in most instances, these statutes are old laws that have not been repealed and are rarely enforced. Until they are removed from the books, however, the risk may be out there that these laws may be used as a collection tactic, as the gentleman in Pennsylvania discovered, much to his chagrin. Once one long-term care facility successfully utilizes the filial responsibility laws to collect from an adult child, it may only be a matter of time, until others follow suit.

The key takeaway here is to take a proactive, rather than a reactive, approach to filial responsibility laws. Having conversations with your parents regarding their finances, as well as, plans to cover the cost of a nursing home before the need arises, can be very important. If they have a long-term care policy, get a copy. It may also be prudent to be designated as their durable power of attorney to manage their finances should they become unexpectedly incapacitated.

An estate planning attorney can explain the filial responsibility laws in your state to you and your parents. In addition, the attorney can discuss options to safeguard against liability under these laws, such as Medicaid eligibility, long-term care insurance, life-insurance policies with long-term-care benefits or even the possibility of a reverse mortgage on your parent’s home. For more questions on this topic and related matters, please reach out to our office to schedule an appointment.

Subscribe to Our Blog

Contact Us

256-472-1900

bill@millerestateandelderlaw.com

Don’t Wait to Wonder, “Do I Qualify for Medicaid?”

Don’t Wait to Wonder, “Do I Qualify for Medicaid?”

by | Sep 14, 2020 | Blog, Medicaid, Medicaid Planning, Medicaid Qualification

do i qualify for medicaid

Medical emergencies can strike without warning. Martin’s family learned that when he suffered a major stroke and landed in the emergency room. He needed skilled, 24/7 nursing care. Unfortunately, he had never done any Medicaid planning or even wondered, “Do I qualify for Medicaid.” His family had to scramble to find ways to pay for his care until his Medicaid application was processed. Don’t be like Martin. As you consider whether you might qualify for Medicaid for the Elderly & Disabled or Institutional Medicaid, think about the following questions.

Do I have a physical or mental condition that meets Medicaid requirements?

To receive Medicaid for Institutional Care, you must be in the hospital, a nursing home, or an ICF-IID facility. Medicaid usually needs to see a doctor’s diagnosis for this type of care for it to be covered.

To receive Home and Community-Based Waivers, you must be “elderly, disabled, homebound, mentally disabled, or have certain medical diagnoses…”

As Medicaid caseworkers review your application, they will review your medical records to make sure you meet the medical requirements for the appropriate program.

Do I meet residency requirements?

Since Medicaid is a joint federal-state program, each state has some flexibility in how it manages its own Medicaid program.

To receive Alabama Medicaid benefits, you must be a resident of Alabama. Also, you must be a U.S. citizen or a qualified non-citizen.

Do you meet Medicaid’s income and resource limits?

These limits vary from program to program. However, the income and resource limits for E&D and Institutional Care are:

• Income limit: $2,030 per month
• Resource limit: $2,000 as of the first day of each month.

There are special rules for married individuals. When deciding whether you qualify for Medicaid or not, talk to an experienced Alabama Medicaid lawyer to make sure.

Answer the Question, “Do I Qualify for Medicaid?”

Discuss your circumstances with an experienced Alabama Medicaid lawyer.

Contact us at 256-472-1900 for a free consultation. The attorneys at Miller Estate and Elder Law know how to help you with Medicaid planning and with estate recovery concerns. Miller Estate and Elder Law is located at 818 Leighton Avenue in Anniston, but we serve clients in Gadsden, Hoover, Talladega, Vestavia Hills, and surrounding areas.

Also, receive a free download of Medicaid Planning in Alabama: What You Need to Know by completing the brief form below:


Subscribe to Our Blog

Contact Us

256-472-1900

bill@millerestateandelderlaw.com