A really common and really unfortunate mistake that causes a lot of Alzheimer’s families to talk themselves out of engaging in planning that could very effectively protect a great deal of life savings has to do with Alzheimer’s and the Medicaid look-back rule. They see their family member, diagnosed with Alzheimer’s, and often believe they will most likely need nursing home care within five years, thus making it too late to do planning relative to Medicaid’s five-year look-back period.
This thinking is wrong. We can always do planning that will effectively protect a great deal of life savings from long-term care costs.
In this Elder Law Minute, Wes Coulson, Southern Illinois Elder Law attorney, discusses Alzheimer’s and the Medicaid look-back rule, a topic covered in The Alzheimer’s Guide: Practical Advice for Families, Caregivers and Professionals and explains why it’s not too late for effective planning.
Alzheimer’s and the Medicaid Look-Back Rule: Is it too late for planning?
Transcript:
Hi, I’m Wes Coulson and this is your Elder Law Minute. This is another video in our series on topics that are covered by our Alzheimer’s Guide. Today, I want to correct a really common and really unfortunate mistake that causes a lot of Alzheimer’s families to talk themselves out of engaging in planning that could very effectively protect a great deal of life savings of someone with Alzheimer’s.
Here’s the mistake: People see the Medicaid look-back rule and they say, “Well, gosh, we really can’t say that mom or dad won’t need to go into a nursing home within five years, based on the state of the disease, so it’s too late to do planning.”
Wrong. Wrong. Wrong. We can always do the planning.
For this reason: If that person needs nursing home care within five years (first of all, let’s say they need it within four years) already what you’ve done is shrunk the amount of time of having to pay for that care out of pocket from five years down to one. But, even if they need nursing home care sooner, we can always do a second stage of planning that is going to be effective in protecting half or more of that person’s life savings by doing a second stage of planning at the time that they would be applying for Medicaid. So, please don’t talk yourself out of very effective planning. Thanks.
For more information on Alzheimer’s Guide Topics, visit these articles:
- Alzheimer’s and Powers of Attorney for Property: Why the document’s specific language matters so much
- Alzheimer’s and Driving: Why having “the conversation” can be a bad idea
- Memory Care: the relatively new option for Alzheimer’s care
“Your Trusted Advisor on the Elder Care Journey”
Dent-Coulson Elder Law is dedicated to providing families in the St. Louis area with their Elder Law needs. Our practice areas include Asset Preservation Planning, Veterans Benefits, Medicaid Eligibility, Alzheimer’s Planning, Special Needs Planning, Estate Planning and more. We understand the financial challenges you may face as you and your loved ones grow older. At Dent-Coulson Elder Law, our clients’ well-being is our number one priority. For immediate help, call (877)995-6876 or Contact Us and we will get in touch as soon as possible.
