Mom gave us cash gifts for last five years.

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Now that I know about Medicaid 5 year rule, how do I figure up moms penalty for qualifying since she gave us cash gifts last five years? Unfortunately I did not know this when she moved in s few years ago. Well her passing for my gas and 1/2 her food count against her too? Does she need credit card receipts for last five years,??

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This question is for the future. She is currently in a memory care center. When she exhausts her income I was just curious about the situation. By then it appears it may be past that five year look back point.
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I would think that when Medicaid went through the qualifying process for your mother, they would have discovered the bank withdrawals for the past 5 years.
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And I would like to know,how do you tell your 93 yr old parent they can't take cash out of their account? It's their money and they live in the moment.
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I agree with you Maggie..seems like there's something wrong with this system..because if our parents could pay us,( their children), to help take care of them..seems like that would be less time/money Medicaid would have to pay. But I also agree that people who have the means shouldn't be able to give away all their money...like you said, everyone would be doing that and letting taxpayers pay for the care. So there has to be something in place to stop that. My Dad will be getting about $50,000 from the sale of his parents farm...I'm sure my Dad will want to give it to us, his children. Dad is already 90...so that means he needs to live another 5 years! :).
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Unfortunately, it makes perfect sense. If we know that taxpayers are going to pay if we run out of money, who wouldn't give it all away? I don't mind THAT so much as I despise Medicaid's position that a loved one can't help with bills or pay a reasonable amount toward care giving without Medicaid disallowing those things.

THAT is just plain wrong. Most people aren't aware that, should their parents HAVE the money to pay them something for their 24/7 care, Medicaid will disallow that as well. Family care giving is considered a gift.

Seems to me our politicians should make sure that, at LEAST when you take someone into your own home to care for them, you can be paid, say, $1000 a month to help those people who 24/7 give up their lives . . .

But such is not the case unless one has a formal contract, keeps a daily log of duties, reports it as income and pays Federal/state taxes on it as well as SS.
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I love it.. it;s the gift that you have to save for 5 years....LOL
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WhatNow, the limit in 2014 is $14,000. And that's "per person." There's no limit on gift amounts. For instance, I can give $14,000 to my child, and $14,000 to his/her spouse. And $14,000 to each of their children. Ad infinitum. Those who receive these monetary gifts don't have to report it at all. That's without taking into account Medicaid, however.

If/when a person goes on Medicaid, they do a five-year look back to make sure one HASN'T gifted any money during that period of time. If they have, Medicaid uses a formula to deny Medicaid eligibility to make up for those gifts. They exclude X-number of months of coverage until that money is recouped. It's not pretty.
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Parents are aloud to gift 13000 per year with NO accounting from ANYBODY.
Their children are allowed to report it on there income tax filing as gifted by parent with no tax.
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And when I moved them here, I found cash all over the place...LOL I told my friend who helped move them that if I crashed the truck,, leave me and grab the bag with the cash!
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Thank you Pams.. good to know. The car loan was from a check from Dad's account, and the CC s were not very much, just made them feel better about moving in. Mom routinely drops alot at the casino... LOL. I was mainly wondering about the same exact amont of cash being taken out now that they have done for the past 20 years...
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