In this first of a six part series on the Medicaid Look-Back Rule and Transfer Penalties Series, Wes Coulson discusses routine gifts and whether or not they may incur a transfer penalty when applying for Medicaid.
Will routine gifts cause a Medicaid Transfer Penalty?
Transcript:
Hi I’m Wes Coulson and this is your Elder Law Minute. This is the first of a six part series where we’re going to talk about various aspects of the Medicaid Look Back Rule and Transfer Penalties. The first three, including this one, are going to deal with various aspects of what is considered a transfer that may delay eligibility for Medicaid.
One of the questions we get a lot, “Well, what about regular things like birthday, holiday gifts, graduation presents, and things of that sort?” As a general proposition what they are looking for is whether those things are within the look back period, consistent with your established patterns of giving. In other words, if you’ve always given your children $100 a piece for their birthday, and you continue to do so, that’s probably not going to be considered a transfer. If $100 gifts become $500 or $1000 dollar gifts as you get older and closer to nursing home care, that’s probably going to cause a penalty. Thanks.
For the complete Medicaid Look Back Rule and Transfer Penalties series, visit these articles:
- Withdrawals from Joint Accounts: Are they subject to transfer penalties?
- Will transferring assets between spouses cause a Medicaid Transfer Penalty?
- Look-Back Rule and Delay in Eligibility
- Gifts and the Five-Year Look Back
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.
