Shawn Weera on The Need for Extra Medicaid Planning For Second Marriages

Prenuptial agreements are completely ignored by the government when calculating Medicaid benefits

Grand Rapids, MI - May 16, 2018 /MarketersMedia/ —

It is no surprise that older Americans consider remarrying for companionship or for health reasons later in life. For many older Americans in second marriages, the prospect of future long term care needs is an issue that should be considered early because there are considerable financial risks involved, even if the partners have signed a prenuptial agreement. Shawn Weera, a Michigan attorney recognized as a specialist in elder law, has offered some important advice on the topic.

“Prenuptial agreements are completely ignored by the government when calculating Medicaid benefits,” says Shawn Weera, “While many couples in a second marriage might think that they have separated their assets, this is not the case. What it means is that the property and resources of the spouse remaining at home will be used to determine whether benefits will be paid, and further, it could mean that the healthy spouse will see their assets dramatically reduced by long term care expenses.”

Medicaid rules state that the spouse of a nursing home resident (called the “community spouse”) may keep one half of the couple's joint assets up to $119,220 (2016 rules) – meaning that despite any prenuptial agreement, the community spouse could be required to pay for all long term care costs until their assets are reduced down to $119,220 before being entitled to Medicaid benefits. It is good to note that the applicant's home will not be considered a countable asset for eligibility purposes, provided the equity in the home is less than $552,000, although in certain states, that may be as high as $828,000.

The way to deal with this is though advanced planning. Couples should consider adopting an asset protection trust while their health is good to avoid the Medicaid “Spend Down Rules.” With an asset protection trust, a spouse’s resources can be preserved for their family and potentially also keep the intent and effect of any existing prenuptial agreement intact. Due to the Medicaid look back rule, planning should be done as soon as possible, because any uncompensated transfers, such as transfers to a trust, must be done a full 60 months before a spouse needs to apply for Medicaid benefits. If there is not enough time to comply with the 60 month look back rule, it may still be possible to preserve part of the community spouse’s assets, but in general crisis planning such as this can cost twice as much as advanced planning, with fewer assets protected.

Nationally-recognized elder law expert Shawn Weera, JD, MFP, is a licensed attorney in private practice, who for more than a decade has assisted thousands of families deal with the many issues associated with retirement, social security, probate and estate taxes and helping wartime veterans and their spouses receive special benefits to help pay for in-home care. For 15 years, he has been helping retirees protect their assets through efficient and wise planning. Recognizing that each client has unique goals and situations, he shuns the “cookie-cutter” approach and develops particular and highly implementable strategies to provide long-term security and peace of mind.

Shawn Weera - Michigan Elder Law Attorney: http://shawnweeranews.com

The Elder Law Firm P.C. - Home - Facebook: https://www.facebook.com/MichiganElderLaw/

Shawn Weera - On New Medicaid Estate Recovery Laws: https://finance.yahoo.com/news/shawn-weera-medicaid-estate-recovery-203800822.html

Contact Info:
Name: SWN
Email: contact@shawnweeranews.com
Organization: ShawnWeeraNews.com

Source URL: https://marketersmedia.com/shawn-weera-on-the-need-for-extra-medicaid-planning-for-second-marriages/346124

For more information, please visit http://shawnweeranews.com

Source: MarketersMedia

Release ID: 346124

Latest News

Dig it: Archaeologists scour Woodstock '69 concert field

Jun 21, 2018

BETHEL, N.Y. — Archaeologists scouring the grassy hillside famously trampled during the 1969 Woodstock music festival carefully sifted through the dirt from a time of peace, love, protest and good vibes. Perhaps they would find an old peace symbol? Or a strand of hippie beads? Or Jimi Hendrix's guitar pick? The five-day excavation did reveal some non-mind blowing artifacts: parts of old aluminum can pull tabs, bits of broken bottle glass. But the main mission of Binghamton University's Public Archaeology Facility was to help map out more exactly where The Who, Creedence Clearwater Revival, Janis Joplin and Joe Cocker wowed...

Kate Spade Foundation to donate $1M for suicide prevention

Jun 21, 2018

NEW YORK — Kate Spade New York has announced plans to donate $1 million to support suicide prevention and mental health awareness causes in tribute to the company's late founder. To start, the company said Wednesday the Kate Spade New York Foundation is giving $250,000 to the Crisis Text Line , a free, 24-hour confidential text message service for people in crisis. The company also said it will match public donations made to the service from June 20 through June 29, up to an amount of $100,000. Kate Spade New York also says it will host a Global Mental Health...

World Cup: No Russian? No Problem. There's an app for that

Jun 21, 2018

SAMARA, Russia — Randall Garcia and his wife were on a bus in the Russian city of Samara when a local resident stared at the couple and pointed his phone at them. The screen read: "Good luck Costa Rica!" Lionel Messi, Cristiano Ronaldo, or Neymar may be the stars of the World Cup. But Google Translate has been the Most Valuable Player for many fans to leap over the language barrier in Russia. They have used the mobile app version to order food, change money and meet new people, especially in cities like Samara, where most people only speak Russian....

Director: FBI won't repeat mistakes noted in watchdog report

Jun 21, 2018

WASHINGTON — The FBI is determined to not repeat any of the mistakes identified in a harshly critical watchdog report on the handling of the Hillary Clinton email investigation, Director Chris Wray said Monday at a congressional hearing at which he repeatedly sought to distance himself from his predecessor. Wray told lawmakers that the FBI accepted the findings of the inspector general's report and has begun making changes, including about how it handles especially sensitive investigations. The FBI is also reinforcing through employee training the need to avoid the appearance of political bias, a key point of criticism in last...

Apple sets up iPhones to relay location for 911 calls

Jun 21, 2018

SAN FRANCISCO — Apple is trying to drag the U.S.'s antiquated system for handling 911 calls into the 21st century. If it lives up to Apple's promise, the iPhone's next operating system will automatically deliver quicker and more reliable information pinpointing the location of 911 calls to about 6,300 emergency response centers in the U.S. Apple is trying to solve a problem caused by the technological mismatch between a 50-year-old system built for landlines and today's increasingly sophisticated smartphones. An estimated 80 percent of roughly 240 million emergency calls in the U.S. this year will come from mobile phones, most...

About Us

Science Thread delivers quality and fascinating science and technology content that matters on a daily basis and makes it go viral.

Contact us: sales@sciencethread.com