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Globally the rules of the Medicaid program are designed to discourage individuals from transferring savings and other countable resources to adult children, siblings, or others in order to satisfy the Medicaid resource test and qualify for nursing facility coverage. If an elderly individual who is living at home (or the individual's spouse) disposes of resources for less than fair market value within 36 months of applying for Medicaid, then the individual is subject to a period of exclusion from coverage for nursing facility services. The 36-month "look-back" period is extended to 60 months in the case of transfers into or from certain types of trusts.

You should check with a Medicaid Lawyer in your state before ever gifting to anyone. Even the best of intentions can cause serious consequences when a senior citizen gives away money and needs government benefits.

 

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