Medicaid Giveth Then Taketh Away - Your home for Medicaid

[shraby]

Harold's battle with Alzheimer's took the couple's entire life savings. Agnes, 88, turned to Medicaid, which picked up the bill until he died.

Then she received a letter that said Nevada's attorney general was going to court to put a lien on their house for more than 90 percent of its value. To daughter Sherry, the message was clear.

"It said, 'our condolences on the loss of your husband. Your house is now ours,'" says Sherry Baer.

(snip)

Medicaid is different from Medicare; It's like a loan. When you sign up, you agree to pay it back and Congress has ordered the states to recover that money. In Harold's case, the only asset he had was the house he owned with Agnes.

(more)

<http://www.cbsnews.com/stories/2004/06/14/eveningnews/main623085.shtml>

[doc03]

1. Here's an example

My neighbor who is now 87 years old built his own house in the evenings after work back in the early sixties. His wife took sick about ten years ago and was in long term care for 8 years. Well in order to pay for it he had to sign up for Medicaid and when he passes away the house belongs to the state of Ohio. Basically you are lucky if you just drop dead, if not and you have any kind of long term illness that's what happens. But the Bush crowd they get an estate tax break!

[Cleita]

2. Best to put your property in your heir's name with this new wrinkle

in how to screw the elderly and other helpless types.

[doc03]

3. From what I have been told transferring you assets to your heir's

after discovering an illness don't work.

[Cleita]

4. So apparently you have to do it when you retire.

I suppose a clever estate lawyer can figure out the problems.

[Th1onein]

5. It works if you do it three years BEFORE you need Medicaid help.