Nursing home Medicaid is a program funded by the Federal government and administered by the Georgia Department of Community Health to provide for nursing home coverage for those who have a medical for such care. Along with showing a medical need for nursing home care, the applicant most meet income and asset requirements to receive nursing home Medicaid. For Medicaid purposes, a receipt of money by the Medicaid applicant during a month is considered to be income to the applicant for that month. Any assets in the applicant’s name at the beginning of the next month are considered to be resources.
There are several types of assets that do not count for purposes of Medicaid qualification. The exclusion of assets is often very complicated as the provisions that exempt one type of assets can make other assets countable. For example, if the Medicaid applicant has life insurance, the amount that can be funded into a burial account can be reduced. There are caps on the value of resources that can be excluded, such as the cap on the equity in a residence. There are other asset rules that are not intuitive. If the Medicaid applicant wishes to exempt an expensive luxury car, such is permitted, but they cannot exclude the value of a recreation vehicle.
There is also rumors abounding about how to qualify for Medicaid if the applicant has too many assets. One of the persistent rumors is that the funding of a revocable trust makes assets not countable for Medicaid. It does not. Only under certain situations will the funding of a trust reduce the amount of countable assets. Due to the competing, confusing, and constantly changing rules governing Medicaid planning, it is recommended that those with too many assets to qualify for Medicaid seek the assistance of an experienced elder law attorney.