A Medicaid Trust Protects Assets if you Have to Enter a Long Term Facility for an Extended Period of Time
There are a number of different trusts available to address different situations. Trusts can be testamentary trusts created out of a will or separate stand-alone trusts known as intervivos trusts or commonly called revocable living trusts. Some trusts are created to avoid the probate process. Others are created to provide estate tax savings. Still others are created to avoid special need beneficiaries from losing need based assistance benefits such as Medicaid or SSI. Another type of trust is commonly known as a Medicaid Trust to protect assets in case the maker has to permanently enter a long term care facility in the future. A short overview of such a trust follows.
AN OVERVIEW OF MEDICAID TRUSTS:
Medicaid is a federal need based program to provide financial long term care benefits to those who have exhausted all of their assets. Medicaid also currently has a “look back period” of five (5) years, which basically means that if you give anything away less than five years before you apply for Medicaid, your application will be denied and a period of ineligibility will … Read More... “MEDICAID TRUSTS-WHAT ARE THEY?”