Medicaid in Pennsylvania requires a patient to have $2400 in allowable assets in order to qualify for the Long-Term Care benefit.

We apply Medicaid rules to your situation in order to preserve as many of your assets as possible while getting to that $2400 limit.

Medicaid also allows for many financial protections. Just as a tax preparer knows the laws to make the most of your tax return, we help you make best use of Medicaid guidelines and spousal impoverishment rules. This results in preserving as much of your savings and retirement accounts as possible.

We maintain a Philosophy of simplicity and affordability in helping people preserve assets, pay for their final expenses, or pass on a legacy. Medicaid allows two types of insurance policies in planning. Medicaid Compliant Funeral Trusts and Medicaid Compliant Annuities.

Medicaid Compliant Funeral Trusts (FET)- Though an insurance product, we like to think of these as a Medicaid Compliant Savings Account when designed in accord with county Medicaid burial reserve guidelines and as part of the financial plan. These are good tools to use in the “spend-down” process. They also allow for excess funds to be used for the estates probate costs and executor fees.

Outside of the usual FET, a family can pass up to $100,000 on to their family without the expense of setting up a Trust through an Attorney. Unlike other trusts, there is no additional fee to set up these trusts.

Medicaid Compliant Annuity(MCA) - These are specialized products you may choose if you are planning for long term home care or moving to a nursing facility. They are allowed within Medicaid Guidelines for the purpose of converting assets into an income stream. Often for the non-nursing home spouse. See the next section for more information.

One tool Medicaid allows families to use is called a Medicaid Compliant Annuity (MCA). MCA’s are a wealth transfer tool used to convert patient assets into a stream of income or to transfer to someone else.

MCA’s, have specific requirements which must be met to qualify Medicaid.

Once determined that they may be suitable for you, we will assist you in filling out a request for a MCA design plan from the Insurance company. Once you see the plan you can make the final determination whether it suits your needs and whether to move forward.

These ARE NOT regular Annuities which financial planners use for retirement income. There are specific rules that an MCA must meet in order for the monthly payments to be excluded from being paid to the nursing home.

Because these tend to preserve tens, or hundreds of thousands of dollars from going to the nursing home, they are often seen as a high value proposition.