Skip to main content
W. Wade W Scott

W. Scott’s Answers

1 total

  • I am mom has dementia. if she transferes assets to long so we have to wait to apply for medicade.

    we are in ga. the land is worth maybe 10,000. she only owns 12% of 72 acres. the rest of the land is owned by cousins, and has a medicade lein on their portion. if we transfere the land to me does it have to be in a trust? how long should we ...

    W.’s Answer

    Medicaid planning is an investment to save assets and is typically expensive. Assuming that your Mom's resources are limited to her share of the property the cost effective plan would be for her to gift the property to you free of trust. The downside of the outright gift is that you loose the step up in basis for income tax purposes. The transfer will generate a penalty period during which your mom will not qualify for Medicaid. The length of the penalty period is state specific.

    The other issue your question raises is the necessity of your mother giving you power of attorney to make financial decisions for her and to do Medicaid planning. If she is still basically competent she should do so immediately.

    Finally, please contact an elder law attorney in your area to evaluate your Mom's needs and devise a comprehensive plan.

    See question