• Skip to main content
  • Skip to primary sidebar
  • Skip to footer
< class="site-title" itemprop="headline">Flood & Masiuk LLC | Southampton Estate Planning Attorneys

Attorneys At Law

  • Home
  • Our Firm
    • About Our Firm
    • About The American Academy
    • Advantages of Working With Our Firm
    • Attorney and Staff Profiles
    • Speaker Connection
  • Estate Planning
    • Asset Protection and Business Planning
    • Estate and Gift Tax Figures
    • Estate Planning
    • Family-Owned Businesses & Farms
    • Incapacity Planning
    • IRA & Retirement Planning
    • Legacy Planning
    • LGBTQ Estate Planning
    • Pet Planning
    • SECURE Act
    • Special Needs Planning Services
    • Trust Administration and Probate
  • Elder Law
    • Are You A Caregiver?
    • Coping With Alzheimer’s
    • Emergency Medicaid & Nursing Home Planning
    • Guardianship & Conservatorship
    • Hospice Care
    • Medicaid Planning
    • Veteran’s Benefits
  • Resources
    • DocuBank
    • Elder Law Resources
      • Elder Law & Medicaid Definitions
      • Elder Law Reports
    • Estate Planning Resources
      • Estate Planning Checkup
      • Estate Planning Definitions
      • Estate Planning Needs Checklist
      • Estate Planning Reports
      • Incapacity Planning Definitions
      • Is Your Estate Plan Outdated?
      • Top 10 Estate and Legacy Planning Techniques
    • Frequently Asked Questions
      • Frequently Asked Questions for Families Without an Estate Plan
      • Legacy Wealth Planning FAQ’s
      • LGBTQ Estate Planning FAQs
      • Trust Administration & Probate FAQs
    • LGBTQ Resources
    • Newsletters
    • Special Needs Resources
    • Trust Administration & Probate Resources
      • Bereavement Resources
      • How to Know if You Need Extra Help With Your Grieving
      • Loss of a Loved One
      • The Mourner’s Bill of Rights
      • Things You Need To Do When a Loved One Passes Away With a Trust
      • Things You Need To Do When a Loved One Passes Away With a Will
      • Trust Administration & Probate Definitions
  • Reviews
    • Our Reviews
    • Review Us
  • Blog
  • Contact Us
Home / Elder Law / Is There a Medicaid Asset Maximum?

Is There a Medicaid Asset Maximum?

October 31, 2014 by Joe Masiuk, Estate Planning Attorney

Is There a Medicaid Asset Maximum?Most people are aware of the fact that Medicaid is a government health insurance program that is intended for people with significant financial need.

As you go through life working and paying taxes, part of what you pay goes toward future Medicare coverage. Medicare is a government health insurance program that is largely for senior citizens.

If you have Medicare coverage, you would not need Medicaid at first. Plus, you probably wouldn’t qualify because of the asset and income limits.

However, Medicaid becomes very important for a significant percentage of elders. This is because Medicare will not pay for long-term care, but Medicaid will.

Help with your activities of daily living is considered to be custodial care rather than medical care or convalescent care. Medicare helps with medical costs, and it will pay for up to 100 days of convalescent care, but it doesn’t cover custodial care.

Medicaid Asset Limits

For a single individual, the asset limit for Medicaid coverage is just $2000 in most states. However, some of your property does not count when Medicaid is determining your eligibility.

You can maintain possession of your home, but there is an equity limit. In the state of Pennsylvania, the equity limit is $543,000 in 2014.

It should be noted that there is no equity limit at all if a healthy spouse is remaining in the home while his or her spouse is entering an assisted living facility.

Your vehicle is not considered to be a countable asset, and your heirloom jewelry, your wedding ring, and your engagement ring would not be counted. Under Medicaid regulations, you can have a life insurance policy valued at up to $1500, and you can have $1500 saved for funerary expenses.

If you retired with a reasonable store of resources, you would not be able to fit within these parameters. In spite of this, most of the long-term care that is received by seniors is being paid for by the Medicaid program.

It is possible to give assets to your loved ones before you apply for Medicaid. This is typically referred to as a spend down. You would then have little left in your own name, and you could obtain eligibility.

The tricky part is the 60 month look-back period. You have to complete your spend down at least five years before you apply for Medicaid, or you will be penalized, and your eligibility will be delayed.

It takes careful and informed planning to take all the right steps along the way.

Free Medicaid Planning Consultation

If you are concerned about future long-term care costs, our firm can help. We offer free consultations, and you can send us a message through this page to request an appointment: Southampton PA Elder Law Attorneys.

 

  • Author
  • Recent Posts
Joe Masiuk, Estate Planning Attorney
Joe Masiuk, Estate Planning Attorney
As a partner in the law firm of Flood & Masiuk, LLC, Joseph Masiuk is committed to, a practice which provides people of all ages and walks of life with thoughtful and comprehensive solutions in Estate Planning, which includes Elder Care, Medicaid and Special Needs Planning.
Joe Masiuk, Estate Planning Attorney
Latest posts by Joe Masiuk, Estate Planning Attorney (see all)
  • What Is the Difference Between a General and a Limited Power of Attorney? - May 24, 2015
  • What Is a QDOT Trust? - May 22, 2015
  • Do You Have to Impoverish Yourself to Qualify for Medicaid? - May 19, 2015

Filed Under: Elder Law

About Joe Masiuk, Estate Planning Attorney

As a partner in the law firm of Flood & Masiuk, LLC, Joseph Masiuk is committed to, a practice which provides people of all ages and walks of life with thoughtful and comprehensive solutions in Estate Planning, which includes Elder Care, Medicaid and Special Needs Planning.

Primary Sidebar

Blog Subscription

Flood & Masiuk LLC | Southampton Estate Planning Attorneys

112 Lakeside Park
Southampton, PA 18966
Phone: (215) 322-6330
Fax: (215) 322-9199

MAP

map for Flood & Masiuk LLC office

Opening Hours

Monday9:00 AM - 5:00 PM
Tuesday9:00 AM - 5:00 PM
Wednesday9:00 AM - 5:00 PM
Thursday9:00 AM - 5:00 PM
Friday9:00 AM - 5:00 PM

Footer

  • Disclaimer
  • Sitemap
  • Contact Us

© 2023 American Academy of Estate Planning Attorneys, Inc.

All Rights Reserved.
Attorney Advertisement

footer-logo
  • fb
  • twitter
  • linked-In