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My grandfather was recently approved for Medicaid. It took 8 months and he has been in a nursing facility since the beginning of the process, he no longer drives or even walks. This car (2004 Hundai Accent, poor condition, no longer runs) has been parked in front of my residence these past 8 months and now my HOA is VERY eager for the vehicle to be removed ASAP. I do not want to do anything to jeopardize the Medicaid. Does anyone have any suggestions on the best steps to take in order to get rid of the vehicle in accordance with Medicaid requirements? What kind of valuation method and proof does Medicaid require?

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I didn't realize that I answered this question a long time ago! There is no way to delete this response. Sorry everyone! :

There are places that you can sell the car (people who buy scrap metal) and get some cash for it. You may want to check with medicaid and see if he's allowed to do this. You could put the cash aside for your grandfather so he can have some spending money for things at the nursing home.

If you can't do it, then I would look into charities that will accept a car as a donation. I know not too far from me, that there is a home for troubled young men that accepts non working cars as donations-They teach the boys how to get a car running again and they resell the cars to the community. The cash earned from that goes towards the running and expenses occurred at the boys home.
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When you do a car donation, and we used Salvation Army, you get a receipt for tax donation purposes. That should be sufficient for Medicaid. This amount is what they actually got at auction so it is valid.
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Maybe contact Salvation Army, a church or another charitable organization. They can give you a tax write-off which shouldn't be counted as an "asset".
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Since the auto is going to be not worth much at best, is it really going to best the allowed assets amount? Doubtful.
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worriedinCali Dec 2019
if the car has no value and I’m pretty sure it doesn’t, it can be donated without affecting Medicaid eligibility. It’s not an asset if the value is $0.0
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Call the Medicaid worker for his case. Gifting or donating the car might create an issue. The medicaid caseworkers know the rules and can look it up for you on how to proceed.
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Donate it to cars for kids or Purple Harts, they will come pick it up and you can claim it on your taxes as a charity gift
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Call Purple Heart car donation at 888-414-4483. They will schedule a (free) tow for the car. They will use it to help veterans. They will give you a receipt when pick it up and if it is worth more than $500, they will mail an IRS tax receipt.
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A scrap metal dealer will take it off your hands. My dad did his many years ago and got $300 cash for it.
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the very ist response I see is what I was going to send!!!!!! right on
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There are so many charities and non profits that accept car donations. Your local PBS and NPR radio station for one.
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Gifting is Allowed I believe. Arrange something with a Family Member...Use your Head.xx
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worriedinCali Dec 2019
Stop trolling Parise. You know damn well that someone on Medicaid isn’t allowed to gift their assets!
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Try donating it to a non profit in your area. Some of the high schools might also use it to have the students repair it and get it running again to raffle for a fundraiser?
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Sell it for scrap value, that will be about $450, Medicaid will accept this.
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What exactly needs fixing on it?
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bolliveb123 Dec 2019
It's a 16 year old Hyundai. What still works is more the question. You'd have a hard time giving it away. Scrap dealers or donation.
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live to ride -- ride to live -- born to annoy people , and so on .
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sell it to one of those phony biker ' babes ' . they dont actually know a harley from a hyundai .
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pamzimmrrt Dec 2019
A Hyundai has 4 wheels,, a good Harley has 2,, a wrecked Harley has one and road rash... One of my dear friends is a "phony biker babe".. LOL
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I agree with donating it...Or giving it away for parts.
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Thank you for the responses. So I can use KBB to prove to Medicaid the car isn't worth anything? I thought they would require something more formal.

The car was mentioned in the application, but it ran at the time, well at least the one time i turned it on and drove it to my house (that was an experience in itself!). Also, I did not know there are caseworkers assigned, although that makes sense. I am the PoA so I will try calling both and see what I find out. Thank you again.
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Geaton777 Dec 2019
Anything more "formal" would be from a mechanic and sounds like no one has the money for that. Some proof is better than no proof.
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Just donate the car. It’s not worth anything.
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Get the book value on the car. Its 26 yrs old and probably not worth anything. Like asked, was the car mentioned in the application? If so, call Gpa's caseworker and tell them ur being asked to move the car. Explain it doesn't run. Will scraping it effect Gpa's Medicaid. If Gpa did not make the 2k allowed in his bank acct (or whatever amt ur state allows) u may just be able to deposit what u receive.

If the car is not mentioned in the application, then scrap it or sell as is. Put the money aside for when Gpa needs something like new clothes.

Make sure u remove the tags and return them to DMV.
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shad250 Dec 2019
Car is 2004
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First, contact the HOA, thank them for their patience and let them know you are in the process of dealing with it but it is tricky because of your grampa's situation. This will hopefully stop them from nagging you.

Call the Dept of Health and Human Services and ask to talk to someone about this Medicaid issue. They will give you a definitive answer (not sure they will talk to someone who is not his PoA, but you can pose this as a "theoretical" question). Sounds like the car's KBB value is probs $0.

If he didn't list it on his application I would put it on craigslist and take cash for it then deposit that money into your grampa's Resident Trust account at the NH. Medicaid is ok with using funds for this. No penalty.
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