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Tampa Estate Planning Attorneys > Blog > Medicaid Planning > Medicaid Planning Protects Your Life Savings And Offsets Long-Term Care Costs In Florida

Medicaid Planning Protects Your Life Savings And Offsets Long-Term Care Costs In Florida


You work hard all your life to provide for your loved ones and to put money away for the future. Unfortunately, with aging often comes the need for increased help both in terms of your health and in performing even basic household tasks. For many older adults, long-term care is eventually needed. However, it can quickly wipe out your life savings. Our Tampa Medicaid planning attorney explains how to prevent this from happening while also ensuring you get the quality care you need.

The High Costs Of Long Term Care In Florida

There is a high demand for long-term health care. Unfortunately, paying for it can wipe out your life savings. According to the Florida Health Care Association (FHCA), there are currently over 650 nursing homes located throughout the state, which house more than 70,000 residents. The average annual cost for a private room in one of these facilities is over $100,000. Assisted living and at-home care run about half this cost, which is still enough to completely deplete your finances, leaving nothing for your heirs.

Rather than paying these costs out of pocket, there is another option available. Medicaid provides insurance for millions of people. The FHCA estimates that payments made on behalf of covered individuals represent more than 60 percent of all long-term care spending. However, there is a catch: to qualify, you must meet income and asset guidelines.

How You Can Qualify For Medicaid

Medicaid generally only covers low-income individuals. In applying for benefits, it also looks at items such as the value of your home, your retirement or other pension benefits, and any money or other assets you may have accumulated over the years.

Typically, when long-term care is required, the person pays for it out of pocket until their savings are completely depleted. At this point, Medicaid kicks in and begins covering these expenses. A Medicaid planning trust provides an alternative by allowing you to transfer ownership of property and assets to a trusted third party, known as a trustee. These funds are then managed and distributed according to your specifications. Among the benefits a Medicaid trust provides include:

  • You can now qualify for Medicaid services;
  • You can remain in and keep your home for as long as you wish, while Medicaid pays for home health care;
  • In the event you require nursing home care, Medicaid covers the costs;
  • You can continue to receive disbursements that allow for basic living costs and other expenses;
  • In the event of your death, funds held in trust are distributed among your beneficiaries.

Request A Consultation With Our Tampa Medicaid Planning Attorney

At Strategic Counsel Law Group, L.C., we assist you in creating a Medicaid trust, which helps cover long-term care costs while protecting your life savings. To discuss your options, call or contact us online and request a consultation with our Tampa Medicaid planning attorney today.




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