Originally Posted by ChrisC
Medicaid treats the homestead as a resource -- you leave the homestead for a nursing home and it then has to be sold to cover nursing home expenses -- try gifting the homestead to children -- Medicaid will punish you a long time!
Again, glad to hear this! Rumors aboud concerning kiddies grabbing Mom and/or Dad's extensive assets and leaving tax payers to foot the bill for their old age care. It's good that's not true per your description of the process.
In our own case here, MIL owns a modest condo (and little else) and has SS as her only income. Our expectations are that Medicaid will wind up footing much of the bill if MIL requires years of NH care but that they will require her assets (in this case a $140k condo) to be liquidated and used in her behalf first. I wouldn't expect MIL to be able to gift the condo to DW and have Medicaid pick up the NH costs from the get-go, although I know many folks do.