An elderly lady I know wants to take her 2 daughters and son's-in-law on a trip and she wants to pay for it. If she would go into a nursing home before the 5 years is up, could Medicaid ask her children to pay back the government for their portions of the trip?
1 Answer from Attorneys
Yes, if the Medicaid authorities discover any large transfer within six years of the first application for government assistance, of funds or assets from a person who ends up on Medicaid, they could impose a penalty period, denying care expenses to her for a period of time equal to the amount of long term care which could have been paid for by the value of the gift. The likelihood of a penalty will therefore all be a matter of timing, and depends upon the size of the gifts. The laws are intended to exclude normal holiday gifting between family members, however, within limits. Talk to an experienced estate planning attorney for more details. Legislation is also pending to extend the lookback period to ten years.
Answering this question does not make me your attorney, but you can post comments here for clarifications, etc. You can also see past answers to similar questions on AVVO , or see over fifteen years of past answers at http://www.avvo.com/attorneys/53401-wi-jay-nixon-1529181/answers.html?sort=recency . See 15 years of past answers at http://www.lawguru.com/answers/attorney_control_panel/answered. Answers may contain attorney advertising materials.
Related Questions & Answers
-
My Father wants to sell his home and move-in with me (child). He wants to give me... Asked 1/15/16, 7:25 am in United States Wisconsin Elder Law
-
Trying to apply for Medicaid for WI nursing home for mom. Mom signed paperwork to... Asked 9/04/15, 12:19 pm in United States Wisconsin Elder Law
-
WI. Mom, brother and sister on life estate. Mom permanently resides in nursing home.... Asked 6/16/15, 10:43 am in United States Wisconsin Elder Law
-
In the state do Wisconsin, if a husband has a stroke, his comprehension skills are... Asked 6/11/15, 10:18 am in United States Wisconsin Elder Law