Trust was established over 10 years ago. Parents divorced this year, and house will be sold soon. The trust was established after TBI (Under 65). Disabled parent moved out of state. When the house is sold, can the gains be put in the trust, of previous state-then transferred to current state? Has always qualified for nursing home care, but kept home.
I'd be concerned that if the house was not included in the trust initially and with its ownership recorded as "XYZ Trust", that the proceeds from the sale will be viewed as assets of the individuals which will make the NH parent on Medicaid ineligible for Medicaid anymore as they cannot have more than 2k in assets.
Parents being married -with 1 on medicaid in a NH & 1 as a "community spouse" - makes everything Medicaid quite different for how income & assets are done. Once they divorce, the community spouse's CSRA /MMNA will stop, so that will change hiw much copay or SOC (share of cost) is required to be paid to the NH each month. If you are the DPOA for the NH parent, I'd suggest you contact Medicaid ahead of the divorce to find out what the new copay will be so you can make sure the full new amount is getting paid each month. CSRA is pretty high in some states (like TX is $ 2,900 mo), and it can take states a few months to record changes but the new amount due as the required copay starts the month the divorce if finalized. good luck and let us know what happens.