Aging costs in Delaware and across the United States are very expensive, leaving many older adults impoverished and without adequate care needed to survive. Medicaid asset protection is a way for aging adults to protect a portion of their assets while receiving financial assistance from state and local governments to help with costs associated with aging.
Medicaid asset protection helps seniors qualify for benefits
Many elders are rapidly depleting their assets to afford the costs associated with aging. Seniors who require nursing home care are losing assets the fastest because nursing home costs are the most expensive. Assisted living is the next most expensive, followed closely by home health care. Medicare covers health costs for most seniors over 65 years old, but it does not cover all costs, and those remaining balances are often more than the average person has in assets. Medicaid coverage varies by state, so be sure to check with your state’s guidelines for clear guidelines.
How Medicaid spend-down affects your assets
To qualify for Medicaid assistance, you must be at a certain level financially. There are ways to protect your assets while trying to qualify for Medicaid benefits. Here are three specific ways you can use your assets to lower your income and qualify for Medicaid:
- Home renovations allow you to use some of your assets improve the condition of your home.
- Carrying debt into your retirement years can be a heavy burden. Paying down debt relieves the stress and helps spend down your assets.
- Surprisingly, automobile repairs are also a spend-down solution and count toward asset reduction.
How much you should spend down depends on your state’s Medicaid laws. By using these asset protection strategies, you may be able to qualify for Medicaid coverage and lower your out-of-pocket health care costs.