Long-Term Care Asset Protection planning is a difficult and confusing process. Families make many mistakes when planning, usually, because they were given bad information from well-meaning loved ones, friends, and non-attorney professionals.
Thinking it’s too late to plan. It’s rarely too late to take planning steps, even after a senior has started receiving care at home, in an assisted living community, or a nursing home.
Giving away assets to children. First, it’s your money (or your house, or both). Take care of yourself first. When a child dies, becomes incapacitated, is sued, or gets divorced, they can no longer give money back to you when you need it. There are other ways to protect your money and remain in control of it.
Ignoring important permissible strategies created by Congress. There are many strategies authorized by Congress that people simply don’t know about. Unfortunately, space doesn’t allow me to explain.
Failing to plan for the spouse of a care recipient. If the spouse of a care recipient dies first, then the government benefits received by the care recipient are put in jeopardy. This can be avoided.
Applying for Government Benefits too late. This happens a lot. The family innocently uses funds to pay for long-term care that the government can’t count, so they lose tens of thousands of dollars. Know when to apply for benefits.
Not getting expert help. Long-Term Care Asset Protection Planning is a complicated field. Tens of thousands of dollars are at stake, sometimes more. It’s penny wise and pound foolish not to consult with an experienced and knowledgeable elder care attorney.
If you have any questions regarding this article, don’t hesitate to contact our office.