|
HOW SINGLE PEOPLE CAN PROTECT THEIR HOME
In a
previous article, we mentioned how married people can protect their
principal residence from being eroded by the costs of long term care. In short, the partner facing long-term care can convey the
marital premises to the at-home healthy spouse within the statutory
time frame.
Single
homeowners pose a different situation as there are no at-home healthy
spouses to transfer the house to.
Consequently, single people can rely on the following devices:
-
transfer
to a minor, blind, or disabled child.
-
transfer
to a sibling who has an equity interest
in the home and who has resided there for at least
one year before the Medicaid applicant became
institutionalized.
-
transfer
to an adult child who has resided in the
home for the past two years, if the child provided care
which permitted the loved one to stay at home, rather
than in an institution or facility.
No such
transfer, however, should be undertaken without the advice of an
attorney who is schooled in the area of Medicaid planning.
Unless
all options are explored, transfers to any of the above-named
individuals may have certain tax consequences.
Alternatively, it may make those people ineligible for certain
programs of public assistance.
|
