Legal Question in Wills and Trusts in Georgia

A transfer to a relative may create its own problems. Before doing anything, consult with an elder care attorney.

Each state has its own Medicaid rules. Medicaid is mandated to seek recovery of an assistance provided to your mother if over a certain amount. While she would not have to give up her home, Medicaid would seek reimbursement once your mother dies.

However, there are some exceptions. Do you live in the home and care for your mother? Are any of your mother's children disabled? If so, exceptions may exist.

Your mother cannot just give the house away. If she does, she would be precluded from receiving Medicaid assistance for 5 years. Do you anticipate that she is going to be needing Medicaid (Medicare only pays for 120 days of a nursing home stay) at all?

I think what your Mother needs to do is to sit down with her children and discuss options. If one or all of the children can buy her home, there will not be a problem. Or, Mother can keep a life estate in the property. Or maybe Mother will not need to be in a nursing home at all. Has the family considered the cost of alternatives? Nursing homes can cost $5,000 - $6,000 a month. And even the best of them are nothing more than warehouses for people to die. If it were my mother, I would keep her out of a nursing home for as long as possible and would try to avoid Medicaid for as long as possible. Maybe selling the home and adding on a suite or to one of her children's homes or purchasing another home will make more sense?

After your mother meets with her children, she needs to sit down with an elder care attorney who specializes in Medicaid and estate planning. If done properly, it can save your mother's home and maximize her entitlement to any benefits (if they have not been eliminated yet by the Republicans).