The basic Medicaid rule for nursing home residents is that they must pay all of their income, minus certain deductions, to...Read more
You will have to consult with an Illinois elder law attorney for a definitive answer, but here are the general rules. First, your parents’ share of the condominium would at first blush be considered a countable asset for purposes of determining their eligibility for benefits. However, on second look it may be disregarded as an inaccessible asset because it would be difficult or impossible for your parents to sell it without your cooperation.
Second, while Medicaid may or may not consider the condominium to be a countable asset, there are no allowances made for your parents to contribute to its upkeep. If both are receiving nursing home care or one passes away and the other moves to a nursing home, most of their income will have to go to the facility as their contribution. If one of your parents is still living at home, he or she will be entitled to some or all of their income, which may or may not be enough to continue to help you out.
Local Elder Law Attorneys in Ashburn, VA
Jean Galloway Ball is certified in Elder Law by the National Elder Law Foundation. She is a 1977 honors graduate of the National Law Center, George Washington University, and she did her undergraduate work at the University of California at Berkeley, graduating Phi Beta Kappa in 1971. She is admitted to practice in Vir...
For Jeffrey Hammond, the practice of Elder Law is personal. Jeff’s many years of experience in law and in business did not prepare him for the crisis he faced in 2005 and 2006 when his father suffered a stroke and both of his parents suffered from dementia and other medical problems. At that time, Jeff began an i...
In practice since 1987, Fairfax Attorney Evan Farr is widely recognized as one of the leading Elder Law, Estate Planning, and Specials Needs attorneys in Virginia and one of foremost experts in the Country in the field of Medicaid Asset Protection and related Trusts. Evan Farr has been quoted or cited as an expert by n...
Third, you should check to see whether you own the condominium as joint tenants or as tenants in common. If the latter, it could be subject to claim for Medicaid reimbursement after your parents pass away. (For an explanation of the difference between the two forms of ownership, click here.)
Finally, it may make sense for your parents to transfer their half of the condo to you. However, doing so could make them ineligible for benefits for the following five years. There’s an exemption to this so-called “lookback” period if the recipient is disabled. If you are receiving SSI or SSDI, no penalty would apply to a transfer to you.
As you can see, this gets complicated. I strongly recommend that you or your parents consult with an Illinois elder law attorney.
For more on Medicaid's rules, click here.