1.   How is Nursing Home Care Paid?

  2.   Will Medicare cover for my nursing home bill?  

  3.   Will Florida Medicaid pay for my nursing home?

  4.   What does the Medicaid Diversion program cover?

  5.   I have a long term care policy; will I be covered for nursing home care?

  6.   Can my assets be protected?

  7.   What assets are considered for Medicaid qualification?

  8.   What does a look back period mean?

  9.   Do I get disqualified for Medicaid if I transfer property to my loved ones?

10.  If I begin to pay for the nursing home care myself, must I exhaust all my assets         before getting Medicaid?

11.  My relative gave me $11,000 in the past two years; will this affect the eligibility         for Medicaid?

12.  What is a Living Will?

13.  What is Durable Power of Attorney?

14.  What is an Income Trust?

15.  What is Gifting?

16.  Why Do I Need to Plan?

1. How is Nursing Home Care Paid?

Medicare Florida Medicaid Long-Term Care Insurance Veteran’s Benefits (under very special circumstances) Private Pay

2. Will Medicare cover for my nursing home bill?

Medicare, in most cases, will cover up 100 days for rehabilitative benefits if the applicant has had a 3-day hospital stay. A co-payment of over $100 a day may apply after 20 days. The individual is responsible for the co-payment unless he/she has secondary insurance coverage or applies for Medicaid.

3. Will Florida Medicaid pay for my nursing home?

Florida Medicaid will provide benefits to residents of nursing homes under the Institutionalized Care Program (ICP). Most nursing home costs are covered by ICP. Certain requirements apply as dictated by the Florida Department of Children and Families.

4. What does the Medicaid Diversion program cover?

Some qualified home care costs, Medicare supplement, incontinent products, adult day care, meals on wheels, and part of Assisted Living costs.

5. I have a long term care policy; will I be covered for nursing home care?

Most policies have limitations for the amount and the term of coverage. The cost of nursing home care is not fully covered in most instances.

6. Can my assets be protected?

Yes. As long as the correct Medicaid guidelines are followed. At Elder Care Planning we are versed on ALL the current Florida Medicaid Guidelines.

7. What assets are considered for Medicaid qualification?

The Asset test separates your assets as countable, non-countable or unavailable for Medicaid purposes. Listed below are just a few examples of how your assets will be divided: COUNTABLE: Bank Accounts Money Market Accounts Individual Stocks Mutual Funds  Life Insurance Cash Value (over $2,500) Vacant land  Privately Held Business Individual Retirement Accounts NON-COUNTABLE: Personal Residence Primary Automobile Secondary Auto over 6 yrs old Certain Annuities Rental Property (Income only) Life Insurance C. V. (Under $2,500) Burial Plot Household Goods The above list is not all inclusive, but provides an example of how someone with assets could still qualify. A major challenge for Medicaid applicants is repositioning their countable assets to non-countable assets in order to fall below the allowable asset limit. There are provisions to preserve those assets by following Medicaid guidelines.

8. What does a look back period mean?

It is the amount of time Medicaid can look back for any transfer of assets. Currently, it is three years, but there is legislation to change it to five years.

9. Do I get disqualified for Medicaid if I transfer property to my loved ones?

No. There are property transfers allowed under Medicaid guidelines.

10. If I begin to pay for the nursing home care myself, must I exhaust all my assets before getting Medicaid?

No. There are provisions to protect your assets and become eligible for Medicaid.

11. My relative gave me $11,000 in the past two years; will this affect the eligibility for Medicaid?

All gifts in the look back period are considered, but it depends on the amount and the date of the gifting whether eligibility is impacted. An $11,000 gift made over a year ago is not currently a disqualifying issue.

12. What is a Living Will?

This is a written declaration stating your wishes regarding the use of any life-prolonging medical treatment. In Florida, the Living Will covers machines as well as the use of artificial nutrition and hydration. As with the Health Care Surrogate appointment, it is not a legislated form.

13. What is Durable Power of Attorney?

A Durable Power of Attorney is a written document designating another individual to act on one’s behalf in the event the designating person becomes incompetent. It grants the designee authority to act as agent or attorney in-fact, thus you allow them to sign your name and make financial decisions on your behalf should you become incapacitated. Make sure and select someone you fully trust. Provisions should be made for an alternate designee. A properly drafted Durable Power of Attorney is of utmost importance with asset planning transfers during the process of qualifying for Medicaid.

14. What is an Income Trust?

A Qualified Income Trust (or "QIT") is a requirement in order to qualify for Medicaid benefits when the individual’s income exceeds the Medicaid income limit in the state of Florida. This trust must be created and funded in the month that an applicant needs Medicaid benefits.

15. What is Gifting?

The process of systematically transferring cash or assets according to Medicaid guidelines. Most gifting will not affect eligibility.

16. Why Do I Need to Plan?

There are strategies allowed by Medicaid guidelines to preserve assets and still qualify for Medicaid benefits. Executing an Asset Preservation Strategy will allow you to preserve most or all of your assets. There are events that can take place to properly shift assets out of an individual’s name prior to applying for Medicaid benefits. Call Elder Care Planning to discuss Medicaid planning options and asset preservation strategies to ensure your family’s financial protection.