• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Kulas & Crawford

Attorneys at Law

Call Now: (772) 398.0720

Attend a Free Workshop
  • Home
  • About Our Firm
    • About Our Firm
    • Meet Our Team
  • Services
    • Elder Law and Medicaid
    • Estate and Gift Tax Figures
    • Estate Planning Services
    • Financial Planning Assistance
    • IRA and Retirement Planning
    • Legacy Planning
    • LGBTQ Estate Planning
    • Pet Planning
    • Probate and Trust Administration
    • SECURE Act
    • Special Needs Planning
    • Veterans Benefits
  • Resources
    • Articles
    • Definitions
    • Elder Care Resources
    • Elder Law Resources
      • Elder Law Reports
      • Palm Bay Elder Law Resources
      • Vero Beach Elder Law Resources
    • Estate Plan Checkup
    • Florida Alzheimer’s Guide
    • FREE Estate Planning Worksheet
    • Free Seminars
    • Frequently Asked Questions
      • Elder Law and Medicaid
      • Estate Planning FAQ’s
      • Frequently Asked Questions for Families Without an Estate Plan
      • Legacy Wealth Planning FAQ’s
      • LGBTQ Estate Planning Frequently Asked Questions
      • Probate
      • Trust Administration & Probate Frequently Asked Questions
      • Veteran’s Benefits
      • Wills and Trusts
    • Newsletters
    • Pre Consultation Form
    • Presentations
    • Probate Checklist
    • Probate Resources
      • Port St Lucie Probate
      • Stuart Probate
      • Vero Beach Probate
    • Published Books
    • Reports
      • Advanced Estate Planning
      • Basic Estate Planning
      • Estate Planning for Niches
      • Trust Administration
    • Top Estate Planning Techniques
  • Workshops
  • Reviews
    • Our Reviews
    • Review Us
  • Communities We Serve
    • Indian River County
      • Vero Beach
    • Martin County
      • Hobe Sound
      • Jensen Beach
      • Stuart
    • Okeechobee County
      • Okeechobee
    • St. Lucie County
      • Fort Pierce
      • Port St. Lucie
  • Blog
  • Contact Us
Home >> Do You Have a Plan to Manage Future Nursing Home Expenses?

Do You Have a Plan to Manage Future Nursing Home Expenses?

March 2, 2017 by Joshua K. Crawford

Nursing home costs should be a concern for everyone, as costs continue to rise. You can ease your worries by creating a plan to cope with future nursing home expenses.The Centers for Medicare and Medicaid Services reported some time ago that most adults in the United States will eventually require long-term care, with roughly four in ten expected to spend at least some time in a nursing home. With care currently costing many thousands of dollars a month – and those costs expected to continue to rise in the foreseeable future, any prolonged period of residency in a long-term care facility can potentially cripple your finances. While there are options like long-term care insurance available, few people can afford the policies. So, the question that we should all be asking is this: do you have the plan you need to manage those future nursing home expenses?

Few of Us Plan Like We Should

The reality is that far too few of us have any real plan for the future. More than half of all American adults have less than $10,000 in retirement savings. Less than half of us have even bothered to begin basic estate planning and don’t even have a will. Even fewer have the type of long-term care planning they might need to cope with excessive nursing home costs. Though we all like to think that we’re prepared for the unknown that lies before us, the facts just don’t back up those assumptions.

And make no mistake about it; nursing home costs are not something that you can just pay for with your Social Security check. According to some estimates, the average cost of care in Florida is around $240 a day, and those costs can rise to as much $450 or more in some parts of the state. That’s an average of more than $7,000 a month – far more than most seniors in the state could ever hope to pay on their own.

Medicaid: A Lifeline for Seniors

When most people think of senior benefits, they think of things like Social Security and Medicare. In fact, there’s a natural tendency to assume that Medicare can help seniors with the costs of nursing home care. After all, we all pay into the program throughout our working years, with the expectation that it will be there to cover medical care costs when we retire. Unfortunately, though, Medicare is not designed to pay for long-term care – though it can sometimes cover a shorter facility stay of up to 100 days.

For long-term nursing home costs, however, seniors end up turning to Medicaid. And while that program was designed to provide health care to the nation’s low-income families, it has grown to become the largest payment source for America’s nursing homes. Millions of seniors rely on its benefits to cover the costs of their long-term care. Unfortunately, many of them are ill-prepared to qualify for those benefits when they need them most.

Medicaid Eligibility Challenges

The Medicaid program has very strict guidelines for those who apply for benefits, based on both income and assets. And while the income limits can be addressed using a Qualified Income Trust (Miller Trust), the asset limits can be more difficult to overcome. Since assets are limited to no more than $2,000, many seniors find themselves with too much property to qualify for the nursing home assistance they so desperately need. If they have even one dollar more than that limit, they can be denied benefits.

To address the issue of excess assets, many seniors use emergency strategies that involve a “spend-down” of assets or the purchase of an annuity. Some even try to place assets in someone else’s name, in hope of avoiding Medicaid’s watchful eye. Unfortunately, there are drawbacks to such emergency measures, and many types of asset transfers could place a senior in danger of being penalized under the Medicaid program’s lookback provision.

Moreover, those types of emergency options do little to protect a senior’s assets. Even with property that is exempt from consideration – like the senior’s home, for example – there is no guarantee that the government won’t later come in and take the home when the senior eventually dies. For families that want to keep the home in their possession, it is important to consider other options that can secure those assets from nursing home costs and possible government seizure in the future.

How Planning Can Help

The good news is that Medicaid planning can help, but it is vital to begin that planning well in advance of any nursing home need. That program lookback provision mentioned above encompasses the entire five-year period preceding your application for benefits. It empowers the government to penalize you for any asset transfers made within that period. That penalty involves a period of ineligibility for benefits that is based on the total value of the inappropriate asset transfers and the average cost of nursing home care. Worse, that penalty period doesn’t begin until the applicant starts paying for his own care.

By using early Medicaid planning, you can ensure that your assets are safeguarded in a way that protects them from the cost of nursing home care while ensuring that you qualify for the benefits you need. For example, you can use irrevocable asset protection trusts to secure your property. You can use other options like adding your adult child’s name to your home deed to protect it from later Medicaid recovery efforts – if you make that change prior to that five-year window.

The one thing that you shouldn’t do is attempt this on your own. Medicaid planning is a complex process with many pitfalls. Even small mistakes could cost you many months of ineligibility at a time when you can least afford to be denied the benefits you need. At Robert J. Kulas, P.A., Medicaid & Estate Planning Attorneys, our Medicaid planning attorneys can help you develop the plan you need to manage your future nursing home expenses. We’ll work with you to create the right strategy to safeguard assets and meet those strict asset and income limits. To find out how we can assist you with your planning needs and ensure that you preserve as much of your wealth as possible, contact us online or call us today at (772) 398-0720.

Filed Under: Elder Law

Other Articles You May Find Useful

Vero Beach elder law attorney
How Can an Elder Law Attorney Help Me?
Vero Beach elder law attorney
Keeping Elderly Loved Ones Safe in the Age of Social Media
Vero Beach elder law attorney
How Can I Help My Aging Parents?
Dollarphotoclub 98616379 150x100
Tips for Caregivers
Money 141x150
Stimulus Checks and Nursing Homes
Vero Beach elder law attorney
Keeping Seniors Safe from Predators during the Holidays

Kulas & Crawford

Download Free Estate Planning Worksheet

There's a lot that goes into setting up a comprehensive estate plan, but with our FREE worksheet, you'll be one step closer to getting yourself and your family on the path to a secure and happy future.

TESTIMONIALS

Easy Testimonials
August 25, 2020
    

I needed a simple, easy-to-use way to add testimonials to my website and display them. Easy Testimonials Pro did all of that and more!

avatar-1
Janet Exampleton
Owner, Exampleton Productions
Easy Testimonials
August 25, 2020
    

I receieved excellent customer support, and quickly. Thank you so much!

avatar-2
Linda Herman
Founder, Herman Studios
Easy Testimonials
August 25, 2020
    

I love your product! I would recommend this to anyone. What a great find!

avatar-3
Steve
Developer, Acme Co.
Client Review
August 25, 2020
    

We began our estate plan process in 2004 (12 years ago) and have been pleased with the periodic reviews we have gone through and when changes have been needed the firm has been thorough and professional in making those changes.

~L.G.K
Client Review
August 25, 2020
    

I have known Robert Kulas for 20 years since I was co-executor for friends who had Mr. Kulas prepare a Trust for them. When I felt I needed a trust also, I came to him. I have always been completed satisfied with his work and that of his charming, competent staff.

~Joan C
Client Review
August 25, 2020
    

Mr. Kulas and his staff have been extremely helpful & knowledgeable for the over 3 years we have been associated. They are easy to talk to and explain everything without feeling rushed. Very competent and professional.

~Mildred W
Client Review
August 25, 2020
    

I have worked with Mr. Kulas & staff before. And they are very professional. I am very satisfied with Mr. Kulas and his staff and give them the highest satisfaction and 5 star rating.

~Leo C
Client Review
August 25, 2020
    

Robert Kulas and staff made making a will an easy to understand process. They were very knowledgeable and attentive to my wishes. All my documents were provided in an organized binder which will be a great asset to my family. I would definitely recommend them.

~Krissy L
Client Review
August 25, 2020
    

Everyone treated us extremely well.  Robert explained how a trust works and the benefits of having one.  We decided to move forward and complete the process.  He was very kind and knowledgeable.  Julie was also very helpful and very patient with our questions.  We felt very comfortable with this firm handling our affairs.  We would highly recommend this firm to our friends and family.

~Janice M
Client Review
August 25, 2020
    

"Everyone treated us extremely well.  Robert explained how a trust works and the benefits of having one.  We decided to move forward and complete the process.  He was very kind and knowledgeable.  Julie was also very helpful and very patient with our questions.  We felt very comfortable with this firm handling our affairs.  We would highly recommend this firm to our friends and family."

Janice M
Client Review
August 25, 2020
    

Robert Kulas and staff made making a will an easy to understand process. They were very knowledgeable and attentive to my wishes. All my documents were provided in an organized binder which will be a great asset to my family. I would definitely recommend them.

Krissy L.
Client Review
August 25, 2020
    

I have worked with Mr. Kulas & staff before. And they are very professional. I am very satisfied with Mr. Kulas and his staff and give them the highest satisfaction and 5 star rating.

Leo C.
Client Review
August 25, 2020
    

Mr. Kulas and his staff have been extremely helpful & knowledgeable for the over 3 years we have been associated. They are easy to talk to and explain everything without feeling rushed. Very competent and professional.

Mildred W.
Client Review
August 25, 2020
    

I have known Robert Kulas for 20 years since I was co-executor for friends who had Mr. Kulas prepare a Trust for them. When I felt I needed a trust also, I came to him. I have always been completed satisfied with his work and that of his charming, competent staff.

Joan C.
Client Review
August 25, 2020
    

We began our estate plan process in 2004 (12 years ago) and have been pleased with the periodic reviews we have gone through and when changes have been needed the firm has been thorough and professional in making those changes.

L.G.K.
<
>

Follow Us

  • Facebook
  • Instagram
  • LinkedIn
  • RSS
  • Twitter
  • YouTube

Blog Subscription

Subscribe to our blog to get all of the latest estate planning news in the Port St. Lucie and Vero Beach Florida areas. Fill out the form below to get our updates.

PORT ST. LUCIE

East Lake Professional Center
2100 SE Hillmoor Drive, Suite 105 Port St. Lucie, FL,34952
Phone: (772) 398-0720
Fax: (772) 398-9331
  • PORT ST. LUCIE

VERO BEACH

Bridgeview Building
2770 Indian River Blvd, Suite 321, Vero Beach, FL, 32960
Phone: (772) 778-8481
Fax: (772) 398-9331
  • VERO BEACH

Office 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 - 12:00 PM
footer-logo
  • Facebook
  • Instagram
  • LinkedIn
  • RSS
  • Twitter
  • YouTube

The information on this Florida Attorneys & Lawyers / Law Firm website is for general information purposes only. Nothing on this or associated pages, documents, comments, answers, emails, or other communications should be taken as legal advice for any individual case or situation. The information on this website is not intended to create, and receipt or viewing of this information does not constitute, an attorney-client relationship.

Kulas & Crawford. Privacy Policy | Contact Us | Disclaimer | Site Map | Powered by American Academy of Estate Planning Attorneys


© 2023 American Academy of Estate Planning Attorneys, Inc.