On February 8, 2006, the Deficit Reduction Act of as 2005 was signed by President Bush, thus making major changes in the Medicaid eligibility rules. As with any major legislative initiative, the full ramifications of these changes won’t be known for several months. In the meantime, certain aspects of the bill are clear at this time. The first is that the Medicaid gifting or asset transfer rules have been changed so that the “lookback” period for all asset transfers is now 5 years. This includes […]
Tag Archives: Medicaid gifting penalty
Financial Gifts to Children and their Effect on Medicaid Qualifications
There are so many misconceptions surrounding Medicaid with respect to financial gifts that we thought we would address some of the more frequently asked questions: Q: “Is it true that under current Medicaid laws, a parent cannot make financial gifts to their children or others once they have entered the nursing home?” A: No. In fact, a proper gifting program is a great Medicaid planning technique. At the time an applicant applies for Medicaid, the state will “look back” 5 years to see if any […]