Elder Law Planning
The Elder Law Planning process begins with family. It involves making family decisions that will affect both parents and children.
In order to retain control of decisions made for both health and financial purposes, planning usually includes the preparation of a Living Will which states the intention of a person concerning medical care. In addition, a General Durable Power of Attorney is also prepared to allow an individual to name a person to act as agent for financial and medical purposes in the event of disability. This effectively avoids the appointment of a guardian by the State in the event a person can not choose for his or herself.
Elder Law Planning also involves making financial decisions concerning retirement income, the advantage or disadvantage of reverse mortgages, medical claims and long-term care. It considers Medicare vs. Medicaid and the possibility of long-term health care. Planning also addresses financing care in Assisted Living facilities, Continuing Care facilities, in-home care and Nursing Homes.
A major concern for most families is the protection of assets when an elder member becomes ill. This is known as Medicaid Planning. Currently, a married individual may retain the principal residence he or she occupies and one-half of liquid assets up to $116,000. A widowed or single individual may retain only minimal assets. Assets may be transferred into a Medicaid Qualifying Trust to protect the maximum amount under law. This should be done before the need for Medicaid arises. There is a 3 to 5-year look-back period during which assets transferred may be considered for Medicaid qualification Purposes. An insufficient passage of time may cause ineligibility. Thus, Medicaid Planning is not for the very ill, but for anyone who wishes to protect their assets for themselves and their family.
Finally, an Estate Plan would need to be developed taking into consideration Federal and State taxes, Wills and Probate. This can be accomplished through the use of the following documents and plans:
