Avoid Medicaid Estate Recovery
While you are alive, Medicaid can’t recover their costs for long-term care by placing a lien on your home. However, the federal government has a policy that requires that all states try to recover some of those costs out a deceased person’s estate. This means that your home can be taken by the government after you pass away.
However, a good estate attorney can create a trust that will protect your home from a lien placed on your home to recoup some of those long-term care costs. If the home is owned by a trust that is only for the benefit of your children, then the state can’t easily put a lien on the home.
Because there are several types of trusts, speak to an estate planner to determine which kind of trust (or suite of trusts) will best serve your financial needs. Even the most simple of estates can be streamlined to protect your assets from probate fees and recovery liens.
