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Who pays for her care? None of us can afford the $5000 + a month they will charge, she needs skilled nursing now, will she be out on the street??

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After doing some research on this issue. What I learned was that when this situation happens it isn't good enough to remove the elderly person from the nursing home for the period of the penality. Because the penality is not time...it is money.

The penality is that Medicaid will not pay until the amount of the gift is first paid to the nursing home for care. If you take her home...the penality stops till she returns to NH care.

The other "gottcha" in this...most nursing homes require some period of private pay first before they accept Medicaid. So...if you bring her home...the NH that will accept her when she returns (if she can ever return) will be Medicaid only are few and poor choice.

There doesn't seem to be a way out except to go to those people who got the gifts and tell them they need return it because of the horrible position they put the elderly in. Don't make accusations or be demanding, just explain to them the horrible life circumstance it has caused.     Or, keep her at home till the end.   Talk about how those people who got the gifts are going to join together to provide her care into the future.
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The first question is when this money was given. Any given in the last 5 years will result in a penalty.

I guess none of us ever expect that we are going to need lots of money in our old age, and giving some away seems pleasant. I'm sorry that this is creating a financial crisis now. I suggest consulting an Elder Law attorney now to learn the best course of action.

Neither the nursing home nor Medicaid will care who pays for your Aunt's care. But someone must until the penalty period is over. The other option is for family to take care of her until then.
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Who did your aunt give her gifted money to? Perhaps they should be approached.
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Where they given in the last five years? That's Medicaid lookback. This is question. States differ.
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