Dear Clients, Colleagues, and Friends:
A couple weeks ago, I read an article on LehighValleyLive.com entitled How to prevent long-term care plans from becoming a crisis. You can read it here:
http://www.lehighvalleylive.com/news/index.ssf/2016/11/why_long-term_care_plans_are_i.html
It discusses the importance of financially planning for long-term care in the event of chronic incapacity. The article quotes someone as saying that Medicaid, a public benefits program, is an “option for some people” but “the only problem is you have to be destitute to qualify.” What this person failed to add is that an elder law attorney can help someone qualify for Medicaid while legally protecting assets for family and loved ones – even for someone already in a nursing home. It’s true!
Except for the very wealthy, taking action to potentially qualify for Medicaid is an essential component of long-term care planning. Why? Because Medicaid is the only funding source for long-term care that ensures payment for the full cost of care for as long as it’s needed. Let me say that another way. With Medicaid, there are no dollar limits or time limits. Medicaid recipients need only pay over their income, regardless of how low that may be.
Financial products such as long-term care insurance, certain kinds of life insurance, and some annuities are important options to consider in planning against the possibility of nursing home care and other catastrophic health care costs. But not everyone can afford them, some don’t qualify, and most importantly, for many that do have these products, they are not enough. That is why prudent retirement and estate planning includes Medicaid eligibility considerations and planning.
As the year comes to an end, I am reminded of why I entered this business in the first place: to protect families from the financially ruinous costs of long-term care. As a young man, I watched my Aunt Irene go broke paying for her care. This does not have to happen to you or your loved ones. If you haven’t done your Medicaid planning, I hope you will make 2017 the year that you do.
Until then, on behalf of all of us at Vasiliadis & Associates, thank you for you business and referrals and best wishes for the very happiest of holidays.
Very Sincerely,
Stan