What is the best way to spend parents money when they live with you and you pay for utilities, and food?

So if the parent is on Medicare for now n more than likely we will have to apply for Medicaid down the road and for income tax purposes, should we keep all receipts of everything like utilities, medicine, taxes on her house, grocerys, and etc being their is property involved? Hubby has a POA with mil's attorney and has his name on her checking account where her SSI goes into so, we only take out a lump sum every 2-4 months. Like her house insurance was over 1,200. per year. We are not sure if this attorney the mil has been using for years is an Elder Law Attorney. We just know she has been using him for years before her husband had passed in 95yr. We also got her to update her WILL n the attorney at the time last yr made sure she understood what he was updating. She at time understood. Do we need to keep all Receipts that we spend on our mil for tax purposes n when or if we will have to apply for Medicaid?

I agree with jeannegibbs. Medicare has never questioned the way my mom spends her money but MEDICAID will certainly want to see how it is spent and they have a five year look back period when you apply. Would you elaborate on the PCA training E G Lord? I would love to see a little more since I am mom's primary caregiver in my home. I have POA and she lives with me and my family

Medicare wants to know how she spends her money? Medicare? That seems really odd?

Are you preparing to apply for Medicaid? That is a whole different kettle of fish.

Actually just found this site where you can download the forms and instructions for you

I would buy I bonds-figure the cost of living-food, clothing, lights-best to get an elder attorney to protect you and your loved one. They have a formula that they use to count costs-this protects you. If your loved is over 71 one you can buy annuities with part of liquid assets like money and your loved one will be paid so much each month and cost of living comes out of that-keep a record with the receipts in a folder-just buy a 1 and 2 year annuity that pays enough for maintenance so you aren't hit with any penalties-under 71 I think you can only buy 1 to 3 years anyway-if it is your loved ones intention-start an account for grandchildrens college fund or great grandchildrens-always leave a cushion for "what if"-loved one has to go into a nursing home at 2300 dolars a month-or hospice-never-ever-gift yourself but purchase items your loved one needs-electric wheelchairs-sit down showers, ramps-anything that is for him or her and make sure your loved one has an elder attorney-best to consult with them if you are talking large sum of cash-do not use medicaid for anything-they will take assets-cars-hoe-property if you let them help you you will have to sign papers giving them that right and they will use it.

You should probably get a durable power of attorney form so that you can make the necessary financial decisions for them.