How to Ensure Medicaid Eligibility in New York
This guide will serve as a checklist for you to prepare for Medicaid Eligibility upon retirement in 2016.
Protect your home by transferring it to a properly drafted Medicaid Asset Protection TrystEven if you are not yet ready to retire or have not yet decided whether Medicaid will be fitting for you in the future, you need to take steps to protect your home against potential creditors like Medicaid. Therefore, you should transfer your home to a properly drafted Medicaid Asset Protection Trust. Depending on your circumstances, the Trust may differ in certain regards, therefore it must be custom tailed to suit your particular needs. In no event should you ever attempt to download a Trust online or do anything to affect the title of your home without an experienced Elder Law attorney,
Begin to focus on your assets and how Medicaid will assess them in context with your eligibilityOnce you are 65 and over, almost anyone can attain Medicaid eligibility as long as they are no longer actively working. Medicaid will count your resources- although some will be exempt (such as qualified retirement accounts in payout status). The rest of your resources, such as bank accounts, money market or brokerage accounts, the cash value of your life insurance and pretty much the remainder of your liquid assets cannot exceed a certain low threshold. However, if your liquidity exceeds the Medicaid limits, you can still plan for eligibility by transferring the remainder of your assets to an Asset Protection Trust. Once again, such a trust must be custom tailored to your needs and may only be formulated by an experienced Elder Law/Estate Planning Attorney.
Begin to focus on your income & don't be afraid to earn a lot of passive income.Many clients fear working longer because they incorrectly believe they will forfeit Medicaid benefits if they have too much retirement income. Although there is a Medicaid income threshold for retirees, no matter how high the retirement income is (from any passive source) you can insure Medicaid eligibility once you retire (and are over 65 years of age or are disabled) via the use of Pooled Income Trusts. As you probably understand by now, such a trust should only be established through the help of your experienced Elder Law/Estate Planning Attorney,