Mom is in a nursing home with dementia (Medicare + Medicaid funding). She received just $2,000 from bladder mesh lawsuit and stands to receive $120,000 more if she has repair surgery before Dec 31st. Has nothing to do with her dementia or a spine disability (has steel rod in her back) which she suffered many yrs ago. She's been in nursing home in KY for 2 yrs. I know that Medicaid will be entitled to at least SOME of this settlement, and that it would render her ineligible for Medicaid, at the very least for the coming year, and presumably for however long the remaining funds hold out. It was a long, involved nightmare getting the original Medicaid approval, and I am not enthused about the probability of her losing this benefit, or of having to jump thru more government hoops to eventually reinstate her eligibility. Should I bother with claiming this settlement? I should note that up until her nursing home admittance in Oct 2012, she had lived with me and I had been her sole caregiver since 2006. She has no personal property, and about $800 in a bank acct that I use for purchasing her Depends (about $120 a month), personal hygiene items, clothing, etc. She is only allowed to keep $40 a month from her Medicare check to pay for snacks and the on-site beauty salon. Thanks in advance for any general advice anyone can give me.

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Oh my. This is a tough situation. There may be others on these boards who can help you, but I would certainly get expert legal advice from an attorney in Elder Law who focuses on Asset Protection. I would do that, before she accepts any settlement.
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