In this episode, John Ross and Lisa Shoalmire discuss using Medicaid to pay for long-term care, specifically to pay for nursing home care and the two-part test.
Medicaid for Long-Term Care and the Two-Part Test
Episode Transcript
2 thoughts on “Medicaid for Long-Term Care and the Two-Part Test”
My financial advisor said to his understanding, having an IRA inside an Annuity protects those funds from the spend down for nursing home care. Is this correct?
Mr. Horton – It is true that under the newest provisions for Texas Medicaid, a “Qualified Retirement Annuity” is not considered in determining your financial eligibility for benefits. However, that does not necessarily mean you should run out and invest your IRA money in a qualified annuity. Medicaid rules are very complex and timing the purchase of an annuity for Medicaid purposes can be critical. Too much annuity, too little annuity, purchasing too soon or purchasing too late can all have an impact on whether or not that move is appropriate in your particular situation. I would recommend that you have a consultation with an Elder Law attorney before making investment choices based on Medicaid. My firm, Ross & Shoalmire (www.rossandshoalmire.com) does not charge for an initial consult if you’d like to discuss this with one of us. We can be reached at 903-223-5653.