Medicaid Cuts

In a 51-50 vote, with Vice President Cheney casting the tie-breaking vote, the U. S. Senate passed the Deficit Reduction Act of 2005 ("DRA").  The legislation now goes back to the House for another vote due to the fact that the Senate and House versions of the bill have some differences.  It is unknown when the House will reconvene to vote again on the measure.  One thing we do know,

however, is that the new Medicaid rules will become effective for any transfers occurring on or after the date the legislation is enacted - presumably sometime this month.  What that means to our clients is that for anyone who needs to do Medicaid planning, the time to act is immediately. 

We have an extremely full calendar this month because of this situation, so anyone needing to do transfers or planning should call the office to schedule an appointment as soon as possible.  We will make every effort to accommodate as many people as possible.

Comments

[Bob O'Toole]

You're providing a valuable service by keeping your visitors and subscribers up to date on the drastic changes that will be the result of the Balanced Budget Act.

As a geriatric care manager I want to emphasize the fact that the need for capable elder law attorneys will still be great.

The costs of long-term care have a devastating effect on both those who need care and their family caregivers.

The need for planning ahead to minimize the impact of long-term care on assets is no less important. But there is much more as you know. Important documents such as powers of attorneys, health care proxies and an updated will still need to be in place.

Firms like yours will also have a growing role in helping clients who are victimized by America's crumbling network of affordable care.

Planning alternatives such as long-term care insurance(at least enough to cover the new asset protection rules), reverse mortgages, annuities with long-term care riders as well as life settlements should all be explored and reviewed with an elder law attorney.

Nursing homes are in terrible shape. Because they receive most of their funding from Medicaid, the joint federal and state health plan for the poor.

Public funding of home care is minimal, and the cost of home care can be as high as nursing home care if care is needed around the clock.

Obtaining Long-term care insurance is a far more affordable alternative than most people think. Having the resources to pay for the enormous cost of long-term care will determine where you'll receive care and what the level of quality of that care will be.

Great blog. Keep on helping your subscribers to keep up with the everchanging elder care landscape.
Bob O’Toole, MSW
Geriatric Care Manager
Informed Eldercare Decisions, Inc.
Dedham, MA