Reply to Paying for assisted living, can relative keep their house?

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[quote=Anonymous]Also, long term care under Medicaid is not simply needing a place to live, there is a level of services the person requires in order to qualify. If the person does not meet the level of need, then a long term care facility is not an option. In those cases, if money has become an issue, it comes down to subsidized housing, usually in a senior living facility.

From and elder law site about Medicaid myths:

You need to be broke to qualify for Medicaid:

Medicaid helps needy individuals pay for long-term care, but you do not need to be completely destitute to qualify. While in general a Medicaid applicant can have no more than $2,000 in assets in order to qualify, this figure is higher in some states and there are many assets that don't count toward this limit. For example, the applicant's home will not be considered a countable asset for eligibility purposes to the extent the equity in the home is less than $552,000, with the states having the option of raising this limit to $828,000 (in 2016). In all states, the house may be kept with no equity limit if the Medicaid applicant's spouse or another dependent relative lives there. In addition the spouse of a nursing home resident may keep one half of the couple's joint assets up to $119,220 (in 2016). For more information on Medicaid’s asset rules, click here. 
To qualify for Medicaid, you should transfer your money to your children. Medicaid law imposes a penalty on people who transfer assets without receiving fair value in return. This penalty is a period of time during which the person transferring the assets will be ineligible for Medicaid, and the length of the penalty period is determined, in part, by the amount of money transferred. The state will look at all transfers made within five years before the application for Medicaid. That doesn't mean that you can't transfer assets at all -- there are exceptions (for example, applicants can transfer money to their spouses without incurring a penalty).

And from Nolo:

Medicaid Estate Recovery
The federal government has an established policy requiring that all states must try to recover the costs paid on behalf of those who received certain types of Medicaid coverage during their lifetime.[b] All states attempt to recover long-term care costs, including home health services and hospitalizations while in long-term care, and some try to recover regular Medicaid costs as well (though they can generally only recover costs paid for those who were 55 or older or institutionalized when they received Medicaid benefits).
[/b]When an individual becomes eligible for Medicaid, federal law requires that the state send the individual a written notice describing the rights of the state to recover Medicaid-paid medical costs following the individual’s death.
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