When determining Medicaid eligibility, there are many rules about which assets you are and aren’t allowed to keep. Many of us own a residence, but what if you own farm land? As it turns out, farm land can be treated as an exempt asset if it is considered as part of your residence. So, how does Medicaid actually determine this?
In this Elder Law Minute, Wes Coulson, Illinois Elder Law attorney, continues with the series What You Can and Can’t Keep with Medicaid and discusses the Medicaid rules on farm land and offers insights on how to determine if it can be considered an exempt asset in the eyes of Medicaid.
What you can and can’t keep with Medicaid: Farm Land – Part A
Hi, I’m Wes Coulson and this is your Elder Law Minute. As part of our series on what assets the Medicaid rules do and don’t allow you to keep, I want to talk today about farm land.
This, as it turns out, is such a complex subject that I’ll start with saying two things. First, that what I’m saying here is going to be generally speaking. Second, this is going to be the first of a two-part discussion in two different Elder Law Minutes, so please stay tuned for the second one.
Farm land can be treated as an exempt asset, in other words something you don’t need to get rid of as a condition of being eligible for Medicaid, if it is considered as part of your residence. It is considered that way if it is adjacent to and surrounds the residence. The fact that there may be a road in between, that separates part of the farm from the homestead, doesn’t matter. As long as it’s on both sides of the road, it’s still considered as part of the residence. If it’s not, then it could still be considered as an exempt asset if it’s income-producing property, which most farm land is. It has to meet certain requirements. Now, I’m going to stop by saying those things may sound good, but they’re not nearly as good as you might think. Thanks.
Next week, Wes Coulson continues this discussion on how Medicaid treats farm land in What you can and can’t keep with Medicaid: Farm Land – Part B.
For more information on Medicaid and Asset Preservation, visit these articles:
- What you can and can’t keep with Medicaid: Cars and Trucks
- What you can and can’t keep with Medicaid: Life Insurance
- What’s the Difference Between Estate Planning and Asset Preservation Planning?
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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.