Welcome to the content of Medicaid Category section! Below you’ll find a list of all posts within this category.
Can a Living Trust Protect Assets From Medicaid
In the context of Medicaid planning, people often wonder if establishing a living trust can shield their assets from being used to pay for long-term care expenses. A living trust is a legal document that transfers ownership of your assets to a trustee, who manages and distributes them according to your instructions. While a living trust can provide some asset protection benefits, it’s essential to understand that Medicaid has specific rules and regulations governing the transfer of assets. These regulations are designed to prevent individuals from transferring assets to avoid paying for long-term care costs. Merely creating a living trust may not be sufficient to protect assets from Medicaid’s reach. Seeking professional guidance from an attorney specializing in estate planning and Medicaid planning is crucial to ensure your living trust is structured and implemented correctly to align with Medicaid’s requirements and maximize asset protection. Additionally, it’s important to consider the timing of the transfer of assets into the trust, as Medicaid has a look-back period during which asset transfers may be penalized. ...