Most of us own a vehicle. Let’s face it they are a necessity in life. However, when looking at applying for Medicaid, this necessity may or may not be an asset we can keep. So, what are the Medicaid rules on cars and trucks and other personal use vehicles? And, is there a way to keep my vehicle exempt?
In this Elder Law Minute, Wes Coulson, Illinois Elder Law attorney, continues with the series What You Can and Can’t Keep with Medicaid and discusses the Illinois and Missouri Medicaid rules on cars and trucks and other personal use vehicles and offers advice on how planning may get you the best result.
What you can and can’t keep with Medicaid: Cars and Trucks
Transcript:
Hello, I’m Wes Coulson and this is your Elder Law Minute. This is another in our series of discussion on what assets you are allowed to keep consistent with Medicaid Eligibility. Today I want to talk about cars, trucks and other personal use vehicles.
Little bit of a difference here between the rules in Missouri and Illinois. For a single or widowed applicant, Missouri says that you can have as exempt a vehicle of any reasonable value. In Illinois, there is a limit of $4,500 unless the vehicle is used or equipped for medical transportation. In the case of a married couple, the community spouse (the one who is not in the nursing home) also gets to keep an exempt vehicle.
As in so many other subjects here though, exempt has its limits. A vehicle can still be subject to what is known as estate recovery. In other words, after you die, if you still own the vehicle, whatever value is left is going to go to the state. So, this is another situation where we need to do some planning to get the best result. Thanks.
For more information on Medicaid and Asset Preservation, visit these articles:
- What you can and can’t keep with Medicaid: Life Insurance
- What’s the Difference Between Estate Planning and Asset Preservation Planning?
- The Morality of Benefits Planning
- See a Lawyer First: Potential problems can be addressed before a Medicaid application is filed
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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.