You could believe like many others that you shouldn't need
to make special needs care plans because of your good health. The problem with
that kind of thinking is that things can change, especially in 20 years. No one
among us can forecast their future health. According to statistics, at least
two-thirds of those over 65 will eventually need some kind of long-term care.
In the end, Medicaid & special needs planning is still something you should
think about even if you are currently healthy.
How Can Medicaid Planning Help You To Prepare?
Medicaid benefits are designed to assist low-income people
in paying for healthcare. Since Medicaid is a needs-based assistance program,
having more than $2,000 in assets disqualifies you. Although some assets, such as your home, are
exempt, it is still quite simple to exhaust your funds before Medicaid starts
paying for your long-term care costs. The objective of Medicaid
and special needs planning is to prevent you from using up all of your
resources while maintaining your eligibility for assistance.
The Purpose of Having a Special Needs Planning
Special
need planning is the process of creating a comprehensive plan to ensure that an
individual with special needs has the necessary resources and support
throughout their lifetime, as mentioned in Roman Aminov Estate Law Firm of Queens.
This type of planning takes into account various aspects of the individual's
life, including financial, legal, medical, and personal matters.
An
effective special needs plan should include:
- A Special Needs Trust (SNT): A legal arrangement that allows assets to be held and
managed for the benefit of a person with special needs, without affecting
their eligibility for government benefits like Medicaid.
- Guardianship or
Conservatorship: A legal arrangement that
appoints a responsible adult to make decisions on behalf of the person
with special needs.
- Financial Planning: Ensuring that the individual's financial resources are
sufficient to cover their ongoing Medicaid
and special needs planning expenses.
- Medical and Health Care
Planning: Identifying and coordinating
the necessary medical and support services.
- Education and Employment
Planning: Identifying appropriate
educational and employment opportunities and support services.
- Housing and Community
Inclusion: Identifying suitable housing
options and promoting community integration and inclusion.
Medicaid Eligibility and Special Needs Planning
One
of the primary concerns in special needs planning is preserving the
individual's eligibility for Medicaid and other government benefits. Since
Medicaid is a means-tested program, having too many assets or income can
disqualify an individual from receiving benefits. According to RA
Estate Lawyer NYC,
to maintain Medicaid eligibility,
assets should be placed in a Special Needs Trust (SNT). This type of trust is
specifically designed to hold assets for the benefit of a person with special
needs without jeopardizing their eligibility for government assistance.
There are two main types of SNTs:
- First-Party Special Needs
Trusts: Funded with the individual's
assets, such as an inheritance, lawsuit settlement, or personal savings.
These trusts must include a "payback" provision, which states
that upon the individual's death, any remaining funds will be used to
reimburse the state for Medicaid benefits received during their lifetime.
- Third-Party Special Needs
Trusts: Funded with assets contributed
by someone other than the individual with special needs, such as family
members or friends. These trusts do not require a payback provision and
can distribute the remaining funds to other beneficiaries upon the
individual's death.
Both
types of SNTs allow the trustee to use trust funds to provide supplemental
support and enhance the quality of life for the individual with special needs,
without affecting their Medicaid and special needs planning as well as
eligibility.
A
Roman Aminov Estate Law Firm
of Brooklyn can work with you on your estate planning needs and special
needs. They have the experience to create trusts that will assist disabled and
elderly people to pass down their estates and assets to their chosen
beneficiaries without putting beneficiaries' Medicaid benefits in
jeopardy. Roman Aminov Estate Law Firm of
NYC can help you and your loved one with Medicaid and special needs
planning.
Law Offices Of Roman Aminov 147-17 Union Tpke, Queens, NY
11367 (347) 766-2685 https://www.aminovlaw.com/queens-ny-estate-lawyer
Roman Aminov Estate Law Firm of NYC 260 Madison Ave STE 204, New York, NY 10016
(212) 201-9299 https://www.aminovlaw.com/
Law Offices Of Roman Aminov 54-14 74th St, Elmhurst, NY
11373 (347) 384-6854 https://www.aminovlaw.com/an-elmhurst-ny-estate-lawyer/
Aminov Law Estate & Probate Lawyer Astoria 35-37 36th St, Astoria, NY 11106 (718)
971-9555 https://www.aminovlaw.com/astoria-ny-estate-lawyer/
Law Offices Of Roman Aminov 2270 Grand Ave, Baldwin, NY
11510 (516) 350-0555 https://www.aminovlaw.com/
Law Offices Of Roman Aminov 215-03 Jamaica Ave, Queens
Village, NY 11428 (347) 384-6745 https://www.aminovlaw.com/queens-village/
Law Offices Of Roman Aminov 118-35 Queens Blvd #400, Forest
Hills, NY 11375 (347) 694-8856
https://www.aminovlaw.com/forest-hills-ny-estate-lawyer/
