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The Importance of Long-Term Care Planning

The Importance of Long-Term Care Planning

The Importance of Long-Term Care Planning

Key Takeaways | The Importance of Long-Term Care Planning

Long-term care costs are the number one threat to your home and life savings.

It is important to protect your spouse and family from the financial burden of long-term care.

Avoid making mistakes in long-term care planning that could prevent you from getting the care you need.

Consider asset protection strategies, such as a five-year protection plan, to qualify for Medicaid and protect your assets.

Start long-term care planning early and explore long-term care insurance options.

Episode Notes:

In this episode, attorney Bill Miller discusses the importance of long-term care planning and the potential financial impact of long-term care costs. He shares personal experiences of families struggling to pay for long-term care and emphasizes the need to protect one’s home and life savings.

Bill explains the limited options for paying for long-term care, including Medicaid, long-term care insurance, and out-of-pocket payments. He also highlights the importance of having the right estate planning documents in place and the benefits of asset protection strategies. The episode concludes with a recommendation for early planning and an exploration on long-term care insurance options.

Notable Moments:

(00:00) Introduction and Disclaimer

(01:00) Personal Experience with Long-Term Care

(04:05) Protecting Spouse and Family

(05:26) Avoiding Mistakes in Long-Term Care Planning

(07:37) Statistics and Costs on Long-Term Care Needs

(09:08) Importance of Estate Planning Documents

(12:09) Asset Protection and Medicaid

(14:18) Medicaid Qualification and Asset Limits

(19:58) Five-Year Protection Plan

(22:45) Asset-Based Long-Term Care Insurance

(30:25) When to Start Long-Term Care Planning

(31:21) Conclusion and Call to Action

 

 

 

 

 

 

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Assisted Living vs. In-Home Care: Which is Better for You?

Assisted Living vs. In-Home Care: Which is Better for You?

Assisted Living vs. In-Home Care: Which is Better for You?

If you have aging parents or other loved ones, you know what a difficult situation it can be. Your parents have always cared for you, and it can be painful to see them no longer able to take care of themselves. In addition to the mental anguish that can come with their aging, you may also find yourself having to make some tough choices. Among these choices, one of the most important—and most difficult—can be whether to hire in-home care for your loved ones or whether to move them to an assisted living facility where they can receive around-the-clock attention.

Pros and Cons of Assisted Living and In-Home Care

There are many factors that will influence your decision about which option is best for you and your family. These may include the self-sufficiency of your parents, your parents’ comfort, and the cost of each option, among other factors. There is no definitive answer to the question of assisted living vs. in-home care; everyone’s situation and needs are different.

Advantages and Disadvantages of Assisted Living

Assisted living facilities offer several advantages over other treatment options. These advantages mostly have to do with the level of service they provide. Assisted living facilities offer patients daily services, including prepared meals, help with medication, housekeeping services, and different levels of assistance with daily living activities, such as bathing or dressing. Although they do not offer the same level of healthcare supervision as a nursing home, assisted living facilities do offer 24/7 staff assistance should the patient need it, unlike most in-home options. In addition, assisted living facilities offer the patient the advantage of socialization and can prevent them from feeling isolated.

The chief disadvantage of assisted living facilities is the cost, which can be quite hefty. If you are considering assisted living options for your parents or other loved ones, there are resources that can help, such as Medicaid. While Medicaid will not cover the room and board associated with assisted living, it does offer home and community-based waiver services that can help defray some of the costs of the facility.

Advantages and Disadvantages of In-Home Care

In-home care is a cheaper, but less comprehensive, option than assisted living. If your parent does not require the more extensive services offered by assisted living, then in-home care can be a great way for them to receive the help they need, while remaining in a comfortable, familiar environment. In-home care also offers greater privacy than an assisted living facility and allows the patient to maintain their independence. Finally, it is usually a considerably more affordable option than assisted living—and financial assistance may be available as well. If your parent needs greater levels of care, however, in-home treatment may not be sufficient, and an assisted living facility may be a much more suitable option.

Contact Miller Estate and Elder Law

If you have any questions about what care option is best for your family—and how to go about paying for it—the experienced attorneys at Miller Estate and Elder Law are here to help. Download our free guide to Caring for Aging Parents or contact us today at (256) 251-2137 or by filling out the form below.

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Nursing Home Medicaid Qualifications

Nursing Home Medicaid Qualifications

Nursing Home Medicaid Qualifications

Key Takeaways | Nursing Home Medicaid Qualifications

Nursing home Medicaid is an important topic that often causes confusion.

Many individuals and families struggle to pay for nursing home care, leading to the depletion of their savings.

Medicaid is a means-tested program and requires individuals to meet certain income and asset qualifications.

Misconceptions about nursing homes and Medicaid can lead to misunderstandings about who pays for care.

The two major problems with Medicaid qualification are having too many assets or too much income, and the look-back period for asset transfers.

Medicaid determines the assets on the snapshot date, which is the first day of the month when someone enters a hospital or nursing home facility and doesn’t return home.

Assets that count towards Medicaid qualification include IRAs, real estate, investment accounts, savings accounts, and cash value life insurance.

Episode Notes:

In this episode, attorney Bill Miller breaks down the topic of nursing home Medicaid. He shares a case study of a couple dealing with dementia and the financial challenges they faced. Bill touches on the qualifications for Medicaid and addresses common misconceptions about nursing homes and Medicaid. He also highlights problems people encounter when applying for Medicaid, including the income and asset limitations that need to be considered.

The conversation continues with a discussion about the 60-month look-back period and strategies to speed up Medicaid qualification.

Notable Moments:

(00:00) Introduction

(01:01) Case Study: Retirement and Dementia

(02:28) Transition to Nursing Home

(03:27) Qualifying for Medicaid

(05:38) Misconceptions about Nursing Homes and Medicaid

(06:14) Problems with Medicaid Qualification

(08:36) Income and Asset Qualifications

(12:02) Snapshot Date for Asset Evaluation

(14:33) Problem Assets in Medicaid Qualification

(16:31) 60-Month Look-Back Period

(19:44) Strategies to Speed Up Medicaid Qualification

 

 

 

 

 

 

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My Mom Has Dementia… Can She Sign Legal Documents?

My Mom Has Dementia… Can She Sign Legal Documents?

My Mom Has Dementia... Can She Sign Legal Documents?

Dealing with a loved one’s dementia can be an extremely tough situation. First of all, seeing a parent suffer from memory loss is often a heart-wrenching, emotional experience. But on top of all that, there are numerous legal questions that need to be addressed. Understanding a loved one’s wishes when they begin to suffer from the symptoms of dementia can be a difficult process, which is why it’s best to ensure that all of their documents are in place while they are still well. Afterwards, the question of their legal ability to sign documents becomes much trickier.

Can a Person with Dementia Sign Legal Documents?

If a parent is suffering from dementia and has not yet written a will or finalized their estate plan, this can put your family in a touchy position. You may wonder if it’s too late or if they are still legally able to draft and sign documents. The truth is that it depends on how advanced their dementia is and how lucid they remain.

In the state of Alabama, the standards used to determine an individual’s “legal capacity” to sign a document depend on the nature of the individual document. For example, if a person wishes to sign a durable power of attorney, giving decision-making powers to a trusted individual, the person needs only to be able to comprehend their own actions in signing the document. If, however, they are looking to execute a will, the standards are higher. They must be able to understand the nature and extent of their property as well as the identity of their intended recipients. Generally, a legal determination that is heavily informed by a medical assessment will be made—which determines whether or not a person is capable of knowingly signing a specific document before the signing can be carried out.

Preparing for the Future

Because you never know when you or a loved one may become incapacitated or otherwise become unable to make decisions, it’s important to be prepared. Drafting a will or establishing a trust, as well as filling out your healthcare documents, can let you and your family rest easy should anything happen. Among the most important healthcare documents to have in place are a durable power of attorney for finances and an advanced directive for healthcare.  An advanced directive contains a living will which has instructions about your medical treatment and end of life decisions.  The advanced directive also names a healthcare proxy who will be charged with making medical decisions on your behalf should you become unable to do so.

Contact Miller Estate and Elder Law

If you have any questions about a loved one suffering from dementia, the experienced attorneys at Miller Estate and Elder Law are here to help. Fill out the form below and someone will contact you shortly.

For more information, download our free e-book, You’re Not Alone: Living with Dementia

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Protecting Assets from the Costs of a Nursing Home Stay

Protecting Assets from the Costs of a Nursing Home Stay

Protecting Assets from the Nursing Home

Key Takeaways | Protecting Assets from the Costs of a Nursing Home Stay

Asset protection planning is crucial to avoid losing everything to nursing home costs.

There are a few ways to pay for long-term care: out-of-pocket, long-term care insurance, Medicare, and Medicaid.

Medicaid has asset and income limits for qualification, and a five-year look-back period for asset transfers.

Life estate deeds and irrevocable trusts are effective strategies for protecting assets.

Planning in advance is essential to ensure eligibility for Medicaid and protect assets.

Episode Notes:

In this episode, Bill Miller discusses asset protection planning in the context of long-term care and nursing home costs. Learn from personal experiences of families who didn’t have a plan in place and lost everything, as well as families who successfully protected their assets. Explore the different ways to pay for long-term care, including out-of-pocket, long-term care insurance, Medicare, and Medicaid. Bill delves into the asset and income limits for Medicaid qualification and the concept of spend down. He touches on the use of life estate deeds and irrevocable trusts for asset protection. Lastly, Bill emphasizes the importance of planning in advance and the five-year look-back period for Medicaid eligibility.

Notable Moments:

(00:00) Introduction and Personal Experience with Asset Protection Planning

(03:07) Asset Protection Case Studies

(05:26) Ways to Pay for Long-Term Care

(07:24) Medicaid and Asset Limits

(08:47) Income and Spousal Considerations

(10:23) Medicaid Spend Down

(11:27) Protecting Assets and Risks of Direct Gifting

(13:55) Irrevocable Trusts for Asset Protection

(24:28) The Five-Year Look-Back Period

 

 

 

 

 

 

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