If you’ve begun an inquiry about establishing eligibility for Medicaid long-term care benefits, you have most likely run across the term “look-back rule.” This term seems to go hand-in-hand with Medicaid eligibility. But, the question may still remain:
What is a look-back rule?
In this Elder Law Minute, Wes Coulson, Illinois Elder Law attorney, explains the look-back rule and what it means for you when establishing eligibility for Medicaid long-term care benefits.
What is a Look-Back Rule?
Hi, I’m Wes Coulson and this is your Elder Law Minute. If you’ve begun an inquiry about establishing eligibility for Medicaid long-term care benefits, I’m pretty sure that by now you’ve run across the term “Look-Back Rule.” So, obvious question here: What does that mean?
Well, what it means and refers to is a question that you will find on the application that asks: Have you within the past five years given away or otherwise transferred ownership of any assets for less than their fair-market value?
If the answer to that question is “Yes” then you need to tell them about that as part of the application process. And if they find that that was some kind of a gift then they are going to say, “Well, your eligibility is delayed on account of it.”
One thing though, listen to what I said about the “within the past five years.” If something happened five years and two months ago, and the question is “Was that done within the past five years?” then the answer to that question is simply, “No, not within the last five years.” In which case there is nothing more to talk about. Hope that helps in your understanding. Thanks.
For more information on the Look-Back Rule, visit these articles:
- Medicaid Transfer Penalties and the Look-Back Rule
- Look-Back Rule and Delay in Eligibility
- Understanding the Medicaid Look-Back and Transfer Penalty Rules
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Coulson Elder Law is dedicated to providing families in the St. Louis area with their Elder Law needs. Our practice areas include Asset Preservation Planning, Veterans Benefits, Medicaid Eligibility, Alzheimer’s Planning, Special Needs Planning, Estate Planning and more. We understand the financial challenges you may face as you and your loved ones grow older. At Coulson Elder Law, our clients’ well-being is our number one priority. For immediate help, call (877)995-6876 or Contact Us and we will get in touch as soon as possible.