Nursing homes aren’t a free ride at taxpayer expense. If you want to sell home and keep the money, move your aunt into your home and take care of her. Don’t try to beat the system.
butlerlisa61, just in case you didn't know, Medicaid is funded by us taxpayers, and by reimbursements such as liens on a home, etc.
If the reimbursements stop, then two things could happen. One is that our Federal/State/City taxes would go up.. Or Medicaid would disappear forever.
If Medicaid disappears due to the lack of funding, then those seniors who were on Medicaid and/or living in a nursing home paid by Medicaid, all of that would stop. Then the family would need to pitch in to pay for the care of a senior at their own homes.... and not everyone could afford to do that.
Be aware, too, that it has to be sold at Market Value. The proceeds used towards Aunts care. You cannot deduct for any out of pocket money unless Medicaid authorizes it.
If Aunt has enough money to care for her for over five years, you have no problem. But if she needs Medicaid within 5 years, no money can be "hidden". Whatever assets she has goes towards her care. No one will or can inherit. Like said Medicaid money is provided by tax payers. I have to problem in helping people in need but not when they have their own money.
If you choose to keep the house and pay upkeep or it doesn't sell, upon her death Medicaid will put a lien on her house. That lean will need to be satisfied. They have the right to recoup against an assets her estate may have. So unless you pay the Medicaid lien, the house will need to be sold to satisfy the lean.
In this situation, a Will means nothing. Aunt owes the State for her care. Its a debt.
Why would you want to do this? This is fraud. Why should taxpayers shoulder the burden of your Aunts care? It’s her money and supposed to be used to pay for her care.
I have to hope that you are kidding. If serious, you are asking us how you can DEFRAUD the federal government and the state government, and get governmental funds for your aunt when she has her own money. Please reconsider engaging in illegal activities. The penalties can be steep, aside from the moral considerations. You can keep your Aunt's home, but given she has had to spend down to get Medicaid or other coverage, if she is on it now, you will be unlikely to have funds to pay taxes, insurance and upkeep. Also know that any rental collected on a home in her name constitutes monthly income and may disqualify her. The home, when sold after her death, will have some portion or all of its value collected by the government for funds it spent in her care.
If the reimbursements stop, then two things could happen. One is that our Federal/State/City taxes would go up.. Or Medicaid would disappear forever.
If Medicaid disappears due to the lack of funding, then those seniors who were on Medicaid and/or living in a nursing home paid by Medicaid, all of that would stop. Then the family would need to pitch in to pay for the care of a senior at their own homes.... and not everyone could afford to do that.
If Aunt has enough money to care for her for over five years, you have no problem. But if she needs Medicaid within 5 years, no money can be "hidden". Whatever assets she has goes towards her care. No one will or can inherit. Like said Medicaid money is provided by tax payers. I have to problem in helping people in need but not when they have their own money.
If you choose to keep the house and pay upkeep or it doesn't sell, upon her death Medicaid will put a lien on her house. That lean will need to be satisfied. They have the right to recoup against an assets her estate may have. So unless you pay the Medicaid lien, the house will need to be sold to satisfy the lean.
In this situation, a Will means nothing. Aunt owes the State for her care. Its a debt.
You can keep your Aunt's home, but given she has had to spend down to get Medicaid or other coverage, if she is on it now, you will be unlikely to have funds to pay taxes, insurance and upkeep. Also know that any rental collected on a home in her name constitutes monthly income and may disqualify her. The home, when sold after her death, will have some portion or all of its value collected by the government for funds it spent in her care.