The enactment of the Deficit Reduction Act of 2005 made pre-planning more important than ever. Prior to the DRA, if you were unprepared for a Medicaid spend down, you still had a number of tools at your disposal. But the DRA did two things that made it harder to plan in a crisis. 1) They extended the look-back period for all gifts or transfers (known as divestments) from 3 years to 5 years and 2) they made all penalties for gifts prospective from the point in time when the patient is “otherwise eligible” for Medicaid.
To adjust to the new rules, pre-planning has taken on new importance.
A person should pre-plan for Medicaid if they do not have long-term care insurance and they are concerned about preparing for the risk of paying the huge expenses of long-term care.
We have strategies that can maximize the look-back period to your advantage and allow you to have more control over your assets.
Our Medicaid asset protection plans can help you position yourself to protect the most amount of assets for the least cost possible and be ready if a catastrophic health crisis looms.
Call us or email us to see if Pre-Planning is right for you!
