“One of the questions I regularly get is whether a person is automatically disqualified from Medicaid if he or her income is too high. The short answer is no. . . . As a practitioner in elder law, one of the biggest areas of concern I have is the over use of annuities to provide for the care of an individual. Done wrong, the asset you just converted to an annuity may cause an individual to have too much income if the applicant needs to apply for government benefits. It may ultimately result in someone converting retirement assets into a stream of income, which will be siphoned off and ultimately be paid to Medicaid.”
LTC Comment (from Stephen A. Moses, President, Center for Long-Term Care Reform):
Read the content of this column in between the two quotes above to learn how Miller income diversion trusts work, how they allow even high-income people to qualify for Medicaid LTC benefits, and why this Medicaid planning lawyer advises against annuities for funding long-term care.