@Silver Lining wrote:
@haddon9 wrote:
@patbz wrote:
@haddon9 : If my financial advisor even suggested this strategy I'd fire him/ her. Its like telling me to steal ( which what hiding your assets is, plain and simple). As another poster mentioned, even if this strategy succeeds, your choice of facilities will be limited and I guarantee you will have a roommate. When my mother went into a home, they wanted to give her a roomy, their choice would say " my leg, my leg" all day and into the night. While I have sympathy for that lady's plight, I wouldn't put my mom through it so we paid additional so that she got a private room and we hired our own aide who acted as her companion and advocate during mom's waking hours.
@patbz I agree it is wrong. It's expecting that the government (or taxpayer) pay for your nursing home needs while you hide your money.
The suggestion that I mentioned that my financial advisor wants me to get is an annuity that features a long-term care rider. I would purchase that myself rather than buying a long term insurance policy which makes more sense right now.
@haddon9 and @patbz
I totally agree that hiding assets is stealing and presumptuous to expect taxpayers and honest people, to pay. for cheaters and liars to get free in--home care, assisted living or nursing home care. They are hurting the people who need help but can't get it. Not all assisted living and nursing homes accept Medicaid. When those that do are at full capacity the other people in need are turned away. The people who reassign their assets with the intention to get free care at some later time are still hurting people who are truly eligible for help. One can hide assets prior to the five year lookback but they are still cheating needy, sick, helpless people who are desperate for help.
I lived a lot of this over 8 years. My father did not have long term care insurance. Good luck to those of you that have it, I have heard the companies will do many things to avoid paying the claims.
My father wasn't wealthy but had about $150K of savings when he needed assisted living care. We were lucky and had a very nice place 10 miles away that was private pay only where he had his own studio apartment and nice meals and care and activities. The services were about $3000 per month and higher when he needed additional services. He stayed there for 7 years. He went thru most of his savings. When he was almost 88 he needed more care and I found a very nice facility that was almost $6000 per month. The rooms were very small and he had a room mate. The room mate was difficult. After being there a few months, his money was gone (in our state you can keep $10,000). I applied for Medicaid. I had to supply five years of bank statements and explain if he gave my children $30 for their birthday. I was able to get him approved for Medicaid and he died 2 months later. A few things I learned about this process:
1. Money matters, although my father went thru his savings and our inheiratance, he was in a place that was clean and safe and he was happy and it lowered my stress.
2. When looking at the Medicaid options, many were terrible. I would not let my dog stay in many of the locations. (Shame on the govt. these places are reimbursed so low from Medicaid, they cannot offer decent care and services). For those of you that are hding the assets to get your parents approved for Medicaid Care, I hope you find better options than I was able to find, I could never put a parent in one of those just to get more of their money.
3. Only other suggestion, my father did give each grand child some money more college (not a lot about $5000 each kid) that money could be taken back during the 5 year look back. If you are going to give some money to your children and grand children start doing it earlier than later.
With all of us living longer this will be more of an issue for all of us. Hopefully they will improve government offiered services, but I doubt it because care is so expensive. Take care of your health now and make sure you have enough savings to pay for your own care.
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