Current hyper-inflation brings a silver lining in 2023. The annual gift tax exclusion and gift & estate tax lifetime exclusion are scheduled to increase next year. These are welcome changes for those who want to engage in wealth transfer planning. Gift Tax Annual Exclusion Effective January 1, 2023, the gift tax annual exclusion will increase
Every year, 16 million people in the United States care for family and friends with dementia, the Centers for Disease Control and Prevention reports. Caregivers of people with dementia provide care for longer durations than those who assist individuals with other conditions. They also have comparably higher risks for anxiety, depression, and reduced quality of
Nursing home residents who qualify for Medicaid benefits to pay for their care are obliged to turn over their monthly income, typically Social Security and pension benefits, to the facility where they reside. This is the Medicaid recipient’s “patient-pay” obligation. Medicaid pays the rest. But there are a few exceptions to this patient-pay requirement. One
For the first time in more than 10 years, Medicare Part B enrollees will see some of their costs decline. In an announcement issued by the Centers for Medicare and Medicaid Services (CMS), the agency outlined changes to the premium, deductible, and co-payment amounts for numerous Medicare costs taking effect in 2023. Medicare Part B
Recent research by the Kaiser Family Foundation examined the differences between traditional Medicare and Medicare Advantage. While people in either program were similarly satisfied with their care and overall care coordination, some distinctions became apparent. Traditional Medicare’s Strengths Traditional Medicare is a federal health insurance program for adults 65 and older and individuals with disabilities.
The phrase “life estate” often comes up in discussions of estate and Medicaid planning, but what exactly does it mean? A life estate is a form of joint ownership that allows one person to remain in a house until his or her death, when it passes to the other owner. Life estates can be used to
If your loved one is entering a nursing home, you may worry whether you could be liable for his or her care. Under federal law, a facility that accepts Medicaid as payment for the cost of a resident’s care after the resident goes broke (almost all do) cannot require a family member or friend to
A Medicaid asset protection trust (MAPT) allows someone who requires long-term nursing home care to qualify for Medicaid benefits to pay for that care without first going broke. Medicaid is the only government program that pays for long-term care. Medicare and private health insurance don’t. Financial products such as long-term care insurance and life insurance
After his wife died Frank, a retiree, updated his estate planning. His new will passed his estate in equal shares to his three children. Most of his assets consisted of investments managed in a brokerage account. Frank, unbeknownst to his lawyer and on the advice of his financial planner, later designated the assets in his
Even if you've created an estate plan, are you sure you included everything you need to? There are certain provisions that people often forget to put in a will or estate plan that can have a big impact on a family. Alternate Beneficiaries One of the most important things your estate plan should include is at
