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Are Gift Cards Considered "Gifts" When It Comes to Medicaid?

  • August 10th, 2023
Q
Are gift cards considered "gifts" that will create an issue with Medicaid eligibility? My elderly mother may need a nursing home in the next couple of years due to mild dementia/Alzheimer's. She likes to give her grandchildren cash gifts at Christmas and is upset because I told her she must stop due to the five-year lookback. So, I'm wondering if gift cards are an acceptable alternative to cash and won't cause an issue.
A

It shouldn’t be an issue if they are consistent with her past gifts. But if she increases the amount or starts making gifts during the year, that’s likely to raise red flags.

Harry S. Margolis practices elder law, estate, and special needs planning in Boston and Wellesley, Massachusetts. He is the founder of ElderLawAnswers.com and answers consumer questions about estate planning issues here and at AskHarry.info.

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Last Modified: 08/10/2023

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