How do you classify a lifetime income annuity when applying for Medicaid?


On an application for Medicaid, how do you classify a lifetime income annuity purchased prior to and not specifically to qualify for Medicaid? It is a non qualified single life annuity-life only. This is would be for Medicaid for a person in Georgia.

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You may find that the annuity has to be reviewed to be Medicaid compliant, which means it’s actuarially sound. The designated beneficiary may also need to be changed to the state with secondary beneficiary as whatever family member you chose initially.

If you haven’t yet submitted the Medicaid application, you might want to think about taking the maximum penalty free distribution from the annuity to do a preened funeral & burial, if you do not have this already done.
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Reply to igloo572

In Maine the monthly payments are counted as income and go to the nursing home if there is a single owner. Joint ownership may allow spouse to keep a portion of monthly payment to keep  them from being impoverished.
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Reply to anonymous439773

lppowell70, each state has its own Medicaid rules and I'm not familiar with Georgia's, but I'd guess that payments from an annuity would be counted as monthly income for the Medicaid applicant.
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Reply to bicycler