If a transfer of the applicants’ assets for less than fair market value has occurred, a Medicaid penalty period may be assessed. A Medicaid penalty period is a period of ineligibility based on the dollar impact of the “gifting” that has occurred.
If you are wondering about transfers and how it will impact your Medicaid application, it is important to understand that proper analysis of the transfer is imperative. Not all transfers are destined to result in Medicaid penalties. It depends on the circumstances and the context of how or why the transfer occurred. Proper documentation and presentation are both important components in minimizing the potential impact of a Medicaid penalty.
In order to appropriately prepare for Medicaid eligibility it is critical to understand Medicaid Penalties and what transfers are allowable and which transfers are not. Mistakes can leave applicants vulnerable to periods of avoidable ineligibility.
Contact Senior Planning Services for you free comprehensive Medicaid consultation. Call us today.
Learn about other common Medicaid concerns: