Married couple... spouse going to assisted Living or Nursing Home..the cost?

Question

So if the husband makes $4,000/month and his soon -to -be institutionalized wife makes $1,000/ month (disability check).. and the couple has a home, ~ $ 350 K in a retirement fund.. and $150K in CD's ( designated for kids college funds) .. what is the scenario ? What should be done to maximize asset protection? State is Massachusetts.

Answer 1

I agree you need to seek the advice of an estate planner and financial planner.

Answer 2

See a "fee-only" financial planner (rather than someone who uses that title to sell things) or an "elder law attorney" in your state.  I would recommend talking with a few before you decide which advisor to go with.

The answer may vary depending on how your assets are titled.

Answer 3

With so much at stake and you obviously have some money and assets to protect, don't you think it would be wise to talk to an attorney?

Answer 4

You need to speak with an elder law attorney, even if she is not an elder. You will have to pay the cost of the home from your assets. If you are asking what to do to get the state to pay you will first have to spend down the retirement fund and the CD's, neither will be protected and it doesn't matter to the state what the funds are intended for. The state frowns upon giving away assets 5 years prior to long term care needs, which is why you need the attorney.

The home will be protected as long as you or a dependent child lives there, but a lien could be attached at your death.

Answer 5

Too late to maximize asset protection now!  You can't shift the burden to the working taxpayer and go on welfare - that's fraud.

The good news is, if she does go onto medicaid, although they'll put a lein on the assets - like the house - they won't through the husband out.  He can live in the house until he dies.