Myth: Medicaid will pay for all of the nursing home and you will get to keep your normal income

Medicaid will pay the difference between your income and the nursing home expense, but the large majority of your income will be going into the nursing home.

Myth: Medicare pays all nursing home costs

Only 100 days of nursing home expenses are covered by Medicaid. The rest is covered by you. There are ways, however, that you can use asset protection tools such as trusts and gifting that allow you to preserve your assets and also retain medicaid eligibility.

Myth: You can only do Medicaid planning before you get in a nursing home

It’s never too late to get a start. Even if there is limited time it is best to reach out to a professional to try and help you as much as possible.

Myth: You do not need a lawyer for Medicaid planning

Many nursing homes will have a social worker that can help you apply for Medicaid; however, they may not have the tools or capabilities to advocate for you in the way that we can. Having professionals help with the application process and also the asset preservation process can help the situation avoid future issues.

Myth: Putting money in your spouse’s name will ensure you qualify for Medicaid

For married couples, both spouses income count towards Medicaid eligibility

Myth: Medicaid rules are stagnant, and the same rules that worked for someone years ago will now apply to you

The Medicaid process is constantly changing and evolving. It is best to have a professional help you that is well aware of the changing rules.

Myth: Only impoverished people qualify for Medicaid

Even people with a significant amount of assets can qualify for Medicaid. Through the use of asset protection and a Medicaid lawyer, you may still be able to qualify for Medicaid.

Myth: A person cannot receive Medicaid benefits for five years after transferring their assets

In some cases this is true, but there are different plans that can reduce or eliminate this waiting period.

Myth: Assets in a living trust are protected from nursing home costs

A living trust will not protect your assets from nursing home costs; however, there are different types of trust that will be able to protect your assets.

Myth: If you enter a nursing home paying out-of-pocket, you will need to wait for an available Medicaid bed in order to start paying through your benefits

If your nursing home accepts Medicaid, then most times you can switch at any time.

Myth: Hiding assets is a good way to ensure Medicaid eligibility

Hiding assets is extremely risky as it can result in criminal charges and penalties. Always ask an attorney what the legal options are to protect your assets.