This is a continuation of a 10-part series discussing mistakes surrounding Medicaid.
Not taking advantage of spend down rules
When qualifying for Medicaid, assets are limited to a certain amount. Because of this, some of your assets may need to be liquidated or spent. Spending down your assets, of course, comes with certain rules that need to be considered.
One way of spending assets down to benefit you in the long run is paying off debts. Examples of this would be paying off a car loan or a mortgage.
Other examples would be making improvements/modifications to your primary residence, such as making it wheelchair accessible, making the shower more accessible, and having a new roof installed. Investing in things such as these may be advantageous because the money spent goes into an asset that may be exempt in many circumstances.
Another example of spending down your assets is for prepaid funeral plans, whether it's burial or cremation. These can be purchased at any local mortuary and are irrevocable. Making a plan and purchase like this leaves your children with one less thing to worry about.
These are just a few of the things to consider when you are spending down your assets to qualify for Medicaid. We at Skipton Law would love to help you navigate these scenarios.
If you'd like to hear more information such as this, we do monthly workshops. You can find out about those workshops by going to our website www.skiptonlaw.com or calling our office at (720) 440-2774.