Medicaid Planning: Don’t Try This At Home

A few months back an article in the Dallas Morning News warned against doing Medicaid planning without professional guidance.  As an attorney, it’s no secret I’m going to advise families to seek competent legal advice.  I became a lawyer to help people understand their rights under Texas and Fedeal laws.   Medicaid laws are some of the most complicated ever written.

Not-So-Obvious Planning Pot Holes Derail Savings

What most people don’t realize is the number of other laws that need to be considered along with the Medicaid rules. Medicaid asset protection collides with with laws related to gifting, taxes, protecting assets, business succession, insurance, capital gains and income taxation.  Most of the issues are not obvious. Which is why who you turn to for Medicaid asset protection advice needs to be well-experienced.

As America’s population ages, the number of so-called “Medicaid planners” increases.  Financial planners see Medicaid planning as fertile ground for profits.  The problem is too many of them don’t understand the complexities. Not understanding the complexities leads to denied applications, lost time, lost money, and benefits you can never recover. Perhaps more important than the financial losses are the additional emotional stresses you suffer that could have avoided.

Experience matters

Planning doesn’t occur in a vacuum. Medicaid planning is more than “spending down” assets.  Most of my clients want to preserve assets for a spouse or their children but want to do so while getting good care in a decent setting they can afford. When you hire someone to help with your Medicaid planning, experience counts. Make sure the person you choose knows more than one way to gain eligibility and has a track record to prove it. Look for a person with a depth of knowledge who can create an effective Medicaid asset protection plan.

You can read the Dallas Morning News article by clicking this link.