Elder law planning focuses on helping seniors plan for future needs for long term care. This planning larges centers around preservation of government benefits to pay for long term care. The words “Government Benefits” and “Medicaid” often cause people to respond that these services are not for them because they have money. It is true for many of our clients who are middle class, lived frugally, and have amassed a decent amount of savings. For those with decent savings, determining whether to plan for long term care benefits is not an easy decision.
The question of whether a person has too much money to warrant planning for long term care benefits depends on numerous factors. Whether the person is married or single. Their age. The type of care they need. Whether they have dependents who need to be cared for. These and many other questions can influence whether elder law planning is needed.
For example, if a 73 year old woman has $600,000 in assets, she may or may not need to consider long term care planning. If she is single, has no children, and has monthly income greater than her monthly care needs, she may not benefit from long term care planning. However, if she is a widow, has $5,000 more in medical expenses than her income, and has a child with special needs, long term care planning may be appropriate. If she were to live ten more years, she would exhaust her entire savings. A long term benefit plan using a combination of VA Pension and Medicaid will ensure that she does not exhaust her funds.
Many financial experts seek to state a certain level of assets above which elder law planning is not necessary. This is not the right approach; if you or a loved one has a question of whether elder law planning is needed, schedule a free consultation with an experienced elder law attorney.