She has dementia and a condition called Anesthesia Dolorosa. At first, I wasn’t taking any compensation for her being here with us. I would reimburse myself sometimes for prescriptions or groceries, but in general paid for everything she needed. I have power of attorney and am equal to her on her bank accounts. (can’t recall what the bank called it). I recently went to our accountant with questions about my husband's and my finances, as we had just sold a piece of property. I asked him also about a CD that my mom has that’s coming due. He asked questions about my mom, and the time and money we spend. He advised me that I should be paying myself out of my mom's money, and I should pay myself retroactive from when she moved in. I was reluctant, and he assured me it was fine, that he had a similar situation with his mother.
So....I did. Now I’m reading old and not so old posts here about the look back Medicaid has, and I’m wondering if I did the right thing.
My mom is in our guest house which is between our house and the carport, so only a few steps away. I’m not sure how much longer she will be there, as I feel she’s needing more and more care and she will move into our home with us. She hardly gets out much now, and I do everything for her as far as shopping, prescriptions, preparing meals, laundry...you get it.
Our accountant suggested $3000 mo. I could not do that. So what I am doing is paying myself $2000 mo, which includes the expenses I pay for her. In other words, I pay her expenses out of that 2k.
She has about $40k in checking savings and CDs total. She sold her home on a note, so gets $350 mo for a few more years, then a balloon payment in a few years of $20k. She gets a little over $900 ss.
Now after all that history, can anybody tell me if I should pay back the money, or is this ok. By the way, I’m a real estate broker who has put my career on hold to care for mom. My husband owns his own small auto repair business. We are an average middle class working couple getting close to retirement.
Thanks for any advice!
PS. I want to do this for mom, either way!