Transfers into the Name of a Potential Medicaid Recipient

Although it is illegal to require payment for a fixed time in order to stay in a nursing home, we know that many nursing homes set such a requirement and rather than fight the issue, payment is often made for the required period of time.

Suppose an individual does not have sufficient funds? It would be appropriate for a child to pay money to the individual so that the required number of months be paid.

There is no penalty for a transfer to an applicant. The penalty only refers to a disposition of assets under 42 U.S.C. Section 1396(p)(c).

That is, a disposition of an asset (resource, income) can give rise to a penalty. However, a transfer of assets into the name of an applicant does not give rise to a penalty, and would fulfill the requirement of the nursing home.


Disclaimer: This article does not constitute legal advice and each person may have unique facts for which legal consultation may be necessary.

© March 2012, Post 188