Once you reach retirement age, you have the right to Medicare coverage. You can buy supplemental policies that will help you cover additional expenses, like prescription drug costs. Most retired adults get the majority of the support that they need from Medicare, but some people will have costs that Medicare won’t fully cover.
Nursing home residential costs, long-term rehabilitative support and even nursing assistance in your own home are sometimes crucial medical benefits as you age. Unfortunately, Medicaid is the only government insurance program that will pay those costs. Medicare will not.
If you don’t start planning now for the possibility that you need Medicaid later, those benefits that you receive might leave you unable to provide any kind of inheritance for your family after your death.
Medicaid wants you to pay back everything you receive
You have helped fund Medicaid and similar programs through your taxes, but your right to benefits depends on your financial situation. You will need to prove that your finances do not exceed certain thresholds. Both the overall value of your property and your income can prevent you from qualifying.
Ohio will let you qualify with a small amount of personal property and a residence in your name, but those assets will be vulnerable after you die. The estate recovery program empowers the state to make estate claims after beneficiaries die. The state could force your loved ones to sell your home and all the rest of the property you wanted to pass to your children or grandchildren. Until Medicaid receives every cent it spent on you back from your estate, your legacy remains at risk.
Advanced planning can help you protect certain property
When you recognize that there’s a chance you might need Medicaid but you want to leave your loved ones something meaningful when you die, advanced planning can make all the difference. Your estate plan could include a trust or utilize strategic gifting to protect your most valuable property from creditor claims when you die and make it easier for you to qualify for benefits if you need them.
Engaging in advance Medicaid planning will protect you as you grow older and will protect your property that you would like to pass to your loved ones when you die.