How does a person with dementia qualify for Medicaid if they were withdrawing money from their account and no one knows what they did with it?

Follow
Share

If a person with Alzheimer's/ Dementia is trying to qualify for Medicaid and is currently in a nursing home, will they have an issue qualifying if there are sums of money that they were withdrawing from their checking account every month and no one knows what they did with this money? The person is a self pay at the nursing home until they spend all of their savings but will need to qualify for Medicaid next year to continue staying at the nursing home. I think they may have an issue if they can't document or remember what they did with money that they were withdrawing from their checking account every month.

22

Answers

Show:
1 2 3
jeannegibbs Having worked in nursing homes for over 30 years, I have seen people on Medicaid that actually did gift funds to relatives, turned their businesses over to children and even got divorced to deplete their funds. However sure this was done "legally". Exactly how they managed it, I have no info on that. Most people n Medicaid are not cheating system, but there are those who do!
Helpful Answer (1)
Reply to drooney
Report

Lizs daughter 207:

I think the advice to hire and elder care attorney to help you navigate the system, is excellent advice.


Although the lawyer will charge a fee, you will likely end ups saving or recovering more funds in the long run.


Even if the elder person spent the money rather than gave it away, it still will effect medicaid qualification.



Talk to an attorney,
Helpful Answer (0)
Reply to Heather10
Report

Medicaid requires the 5 year lookback, which means that's the applicant will have to show 5 years of bank statements.
Helpful Answer (1)
Reply to Llamalover47
Report

It could be the the money that she is withdrawing is being hidden somewhere. Sometimes elderly revert back to days of the Depression when no one trusted banks anymore.
Another possibility is a unscrupulous relative is asking her for money. Sometimes a security camera at the bank can reveal if anyone is with her at the bank.
Helpful Answer (1)
Reply to anereus
Report

Elder law attorney and perhaps an investigator to figure out if someone has been helping themselves to the money. Until you figure out where the money is, suspect everyone who has even the most remote access to the accounts, caregivers, relatives, friends, anyone with a computer. . And, change all passwords, etc. so continued money transfers can't continue. And why does an AD person have access to the money?. I vote that there is a real person who's been raiding the accounts. Hope you can figure this out.
Helpful Answer (1)
Reply to maryqesq1
Report

Not all states regulate tobacco and alcohol. So if she was smoking and drinking it could account for a large portion of that money. Both my parents were 5 packs a day smokers.
Helpful Answer (1)
Reply to Isthisrealyreal
Report

A neighbor hired help paying cash, paid his taxi driver cash, loaned the taxi driver money, went to the casinos with his wife (taxi), and paid a reputable driver to go to doctors visits and wait. With his pattern of spending, it was no doubt more than $2,000 per month.
Helpful Answer (3)
Reply to Sendhelp
Report

I agree with Igloo572 and Drooney:

If no formal report of elder care financial abuse was filed, medicaid will still consider it gifting.

To do otherwise, they need documented proof that the elder person was coerced to give the money away. If there is no such proof, it is considered a gift pure and simple.

If you do a search you will find numerous cases of home health aids and hospice aids taking advantage of the elder persons good will or dementia to get them to give them money.

Sometimes it is a relative who is taking the money.

In either case, it is considered a gift, unless the elder person is proved to lack capacity or agrees to file a complaint.

Too many times, if it is a child, the elder will not file a complaint, even though one is warranted.
Helpful Answer (3)
Reply to Heather10
Report

In that 5 year "look back" , its not so much what was done with the money, as much as you HAD that money. They really don't care if you gifted it, wasted it on silly stuff, or gave it to charity. If you show a considerable amount of funds then you must've had a good income. The more money you had, the less likely you can qualify for Medicaid . At some point, after all funds depleted, then you can qualify for Medicaid. It is a long process. Elder Law Attorney can provide guidance.
Helpful Answer (2)
Reply to drooney
Report
jeannegibbs Jul 6, 2018
Um, drooney, yes they do care what you did with the money you used to have. The underlying purpose is to prevent people from scamming the system by giving money to relatives in order to become eligible.
(3)
Report
Countrymouse - if “exploitation of vulnerable adult” is going to be used to get around Medicaid gifting/ transfers, then there will need to be documentation on it..... which means that a police report is filed and that APS is brought in. Police report leads to charges filed, arrest warrant put out, somebody’s getting arrested. APS does an investigation, which means employers & neighbors interviews, and APS can contact others like if their SS income is involved then SSA can go into representative payee required mode. Stuff like this snowballs.

The issue will be that elder won’t file or cooperate on filing charges. And neither will the Dpoa. So the $$ gets looked at as gifting by Medicaid.
Helpful Answer (3)
Reply to igloo572
Report

1 2 3
Related
Questions