Showing posts with label Florida Medicaid. Show all posts
Showing posts with label Florida Medicaid. Show all posts

Jun 18, 2019

FREE FLORIDA MEDICAID AND ESTATE PLANNING SEMINAR - CHOOSE ONE OF THREE LOCATIONS


FREE SEMINAR!

Hear about how you or a loved one may qualify for Florida Medicaid and veterans "aid and attendance" benefits before losing everything to long-term care costs - even if your loved one is already in a nursing home.  

Find out how good estate planning can protect you, your family and your assets from the many other threats we face as we age.

Attendees are eligible to receive a free, one-hour consultation from one of our attorneys (assuming we can assist you).
No reservations necessary. Light refreshments.


PORT ST. LUCIE
Tuesday, June 25
1:30 pm to 4:00 pm 
Port St. Lucie Holiday Inn,10120 S. Federal Highway
  
BOYNTON BEACH
Wednesday, June 26
1:30 pm to 4:00 pm
Courtyard by Marriott, 1600 N. Congress Ave.

PALM BEACH GARDENS
Thursday, June 27
1:30 pm to 4:00 pm
Palm Beach Gardens Marriott, 4000 RCA Blvd.


  More information at The Karp Law Firm website, or call us at  (561) 625-1100

Feb 27, 2017

David Cassidy, 1970s teen hearthrob, suffering from dementia

Fans knew something was wrong when he could not remember the lyrics to songs he'd sung for decades. But for David Cassidy, it was a long-held fear come to fruition.

The 1970s teen heartthrob who gained fame on the Partridge Family television show, David Cassidy announced last month that he is suffering from dementia. He is no stranger to the disease. His grandfather had dementia. His mother, actress Rachel Ward, was diagnosed with Alzheimer's Disease in 2002, passing away ten years later at age 89. In recent years the musician has become an advocate for Alzheimer's research; in 2012, he auctioned off some of his old costumes to benefit the Alzheimer's Association.

Cassidy is not shying away from discussing his diagnosis. "People don't really want to talk about it, but we need to, which is why I'm going to be speaking publicly about it," Cassidy told the Daily Mail. He will appear on the Dr. Phil show on March 1, and the March 6 issue of People will feature an interview, "My Battle with Dementia." Cassidy's last concert, capping off 49 years of touring, is scheduled for March 4 at BB Kings in New York.

Nearly 80% of dementia cases are caused by Alzheimer's Disease, but other diseases may also trigger it. For example, vascular dementia is caused by damage to the brain's blood vessels. Lewy Body dementia, which afflicted Robin Williams and radio personality Casey Kasem, is brought on by  abnormal protein deposits in the brain. Those with a family history of dementia appear to be at greater risk. It occurs mainly in older people; a 2016 study in the Journal of the American Medical Association found that only 3% of people between ages 65 and 74 have dementia. Although the disease is degenerative and progressive, certain habits, such as a healthy diet and exercise, may forestall the diagnosis or slow progression.

It's a modern-day catch 22: Thanks to medical advancements, we are living longer. But because we're living longer, we are more likely to experience chronic disease. And it's not only a medical problem: Increasing numbers of families now struggle with the cost of a loved one's long-term care. Although there is no cure yet for dementia, there may be a solution to the financial dilemma it can create. You may be able to tap into Medicaid benefits without "spending down" and losing your nest egg to nursing home costs. And if you are a veteran or the widow of a veteran, you may under certain circumstances qualify for VA Improved Pension with Aid and Attendance.  Contact our firm for assistance from our Florida Bar Certified Elder Law Attorneys. 

Jan 27, 2017

Veterans Aid and Attendance Benefits: Look-Back Period Likely On the Way

This blog's followers know that in January 2015 the Veterans Administration proposed several changes to the eligibility requirements for Improved Pension with Aid and Attendance. These are benefits available to elderly and disabled veterans who have served during wartime periods and who need help paying for at-home help, assisted living or nursing home expenses. Spouses and widows may qualify under certain circumstances, too. Read details about these benefits and current eligibility requirements here.

Among the most significant of the proposed changes is the establishment of a look-back period on asset transfers. Currently, the asset limit is $80,000, with no look-back period and no penalties for asset transfers. The V.A.'s final ruling has been delayed while veterans groups and other advocacy groups weigh in on the proposal. Now, it's widely expected that a look-back period will be announced and become operational sometime after May 2017. Both a five year look-back on asset transfers (which is what Medicaid long-term care benefits currently impose) and a three-year look-back have been discussed.

With this change in the works, it would be to your advantage to apply for Veterans Aid and Attendance benefits before the look-back is imposed. Several of The Karp Law Firm's lawyers, myself included, are V.A.-accredited and can help you develop a plan that best takes advantage of any V.A. benefits, and coordinates with Medicaid benefits that may be available to you or your loved one. 

By the way, V.A. Aid and Attendance pension rates are pegged to the Social Security Cost of Living Index. Due to the recent COLA increase, pension rates have also increased, albeit by just a few dollars. The new rates took effect December 1, 2016 and also appear on our website here.

Jan 13, 2017

You are invited to attend one of our free January workshops

Please Join Us!
The Karp Law Firm's January 2017 Estate Planning Workshops 
 These informative presentations are free, no obligation and you do not need a reservation - just show up!
 
You'll hear about:

Why living trusts can still benefit middle class people who have no concern about estate taxes.
 

How trusts can be created or revised to protect your children’s inheritance from divorce and creditors.
 

Why you may need to revise your existing Living Trust in light of the new estate tax laws.
 

What you may own and still be eligible for Medicaid

The truth about look-back rules…why you may still be eligible for Medicaid even if you’ve transferred money in the last 5 years

How you may still be eligible for Medicaid for nursing home care even if you earn more than $2199 per month (the income cap in Florida)

How you may provide for your spouse before you spend it all on nursing home expenses

How assets may still be preserved if you are currently in a nursing home

How an irrevocable trust may preserve and protect assets

Why your nursing home insurance may be inadequate to meet your needs Veterans Benefits:

How veterans and their widows Veterans Benefits

How veterans and their widows may receive VA benefits to assist with home care, assisted living, or nursing home care expenses.


Workshops are conducted by 
Joseph S. Karp 
Genny Bernstein 
Florida Bar Certified Elder Law Attorneys

Dates and Times:
Wednesday, January 18, from 1:30 p.m. to 4 p.m.
Palm Beach Gardens Marriott 
4000 RCA Blvd. 
Palm Beach Gardens, FL
or
Thursday, January 19, from 1:30 p.m. to 4 p.m.
Courtyard by Marriott 
1601 N. Congress Ave. 
Boynton Beach, FL

Nov 27, 2016

What can clients expect following the 2016 election?

The most contentious election in recent memory is over. Whatever your opinion of the results (and I'd venture to say you probably have a very strong opinion), my job is to analyze the impact of the election on the issues that concern my clients, and to recommend steps they may take.

Specific predictions are impossible, of course. However, we can make some educated guesses about what a Trump presidency would look like based on (1) what was said on the campaign trail; and (2) the GOP platform, since it now controls both houses of Congress. Here are some possible scenarios that could impact clients:


Changes to Florida Medicaid Benefits for Long-Term Care?

During the campaign, Trump did not mention the growing long-term care crisis that is bringing more and more middle class families to financial ruin. Clients who do not have long-term care insurance to cover nursing home expenses often turn to Florida Medicaid long-term care benefits, and, with our help, can preserve a significant portion of their assets without going broke. 

Currently, the Centers for Medicare and Medicaid Services set the basic ground rules for Medicaid, with the states having some leeway to fine-tune the rules. Republicans have long advocated replacing this system with "block grants," whereby each state would get a chunk of money, most likely a smaller chunk than they receive now. Each state would then have the freedom to formulate its own eligibility standards and other rules. If this occurs, the potential negative implications for clients could be profound. For example, as a cost-cutting measure, Florida or any state could extend the look-back period beyond the current five years, and/or well spouses of nursing home residents could lose their current financial protections.

Recommendation: 

If you believe you have inadequate protection from long-term care costs, take action without delay.
  • Look into long-term care insurance. Many types of policies are now available, other than traditional policies. Read my prior post on these new types of hybrid policies. Call our office and we can put you in touch with someone who can help you select a policy. 
  • In the alternative, start doing Medicaid planning, taking the steps necessary to protect your assets. Call my office for assistance.



Medicare to be Reconfigured?

Currently, 57 million seniors receive Medicare benefits. In the months leading up to the election, Trump said little about the program. However, his website now mentions "modernizing" Medicare, with the help of Congress. We do not know what "modernizing" means, but we do know that House Speaker Paul Ryan has long supported dismantling Medicare's current configuration and replacing it with a voucher system. Under that system, seniors would get a subsidy to be used to purchase private health insurance. The new system would apply only to future beneficiaries, not to those already receiving benefits. 

The GOP has also expressed a desire to increase the age of eligibility from 65, to 66 or 67. Rep. Tom Price (R-GA), House Budget Committee chair, recently told reporters that the GOP will likely begin pushing for major cuts to Medicare within the coming months. 

Some experts also expect dismantling of other programs benefiting seniors that were put in place by the Great Society program and by the New Deal. We'll have to wait and see.




Scrap the New Fiduciary Rule for Retirement Accounts?

As I reported in a prior post, beginning in April 2017 a new Department of Labor rule requires those providing financial advice on tax-advantaged retirement accounts such as IRA's and 401k's to adhere to a "fiduciary" standard. Under that standard, the advisor's recommendations must be based solely on the client's best interest. If a more expensive or riskier investment is suggested, the advisor must explain the reasons for the recommendation. This differs from the current rule, whereby an advisor is legally obligated only to steer clients into "suitable" investments - even when the suitable investment is more advantageous for the advisor than for the person being advised. It is precisely such conflicts of interest that the new rule was designed to eliminate. 

The new rule was applauded by consumer advocates, and generally opposed by the financial industry. Trump has made no specific mention of it, but CNBC in October 2016 reported that a key Trump advisor said that the President-elect will likely push for its repeal.

Recommendation:
  • If you are receiving advice on your retirement accounts from a broker-dealer, be sure to ask the rationale for any recommendations. Ask if there are other options available that may be better. Do not make hasty decisions.
  • Whether or not the fiduciary rule stands, note that a Registered Investment Advisor, unlike a broker-dealer, is legally obligated as a fiduciary and must act in accordance with your best interest. If you would like to consult with one of Karp Financial Services' Registered Investment Advisors, please call 561-626-1130. 



Estate Tax to be Eliminated?

The estate tax put $18 billion in federal coffers in 2015, but affected only about 5,000 estates, according to the Tax Policy Center. Beginning January 1, 2017, an individual may pass $5.49 million tax-free (up from $5.45 million in 2016); a married couple can double that amount. The excess is taxed at 40%. Obviously, only the very wealthiest Americans are impacted by the estate tax. Proponents of the estate tax point to its role in mitigating the accumulation of dynastic wealth. Critics view it as an inherently unfair form of double taxation. Trump falls into the latter group and has specifically called for its elimination.

He has also proposed eliminating the step-up in basis for inherited assets over $10M. If this comes to pass, assets over this amount will be subject to capital gains tax of 20%, based on what the decedent paid for the asset, not on the day-of-death value which is the current rule. It is unclear whether the tax would be levied when the asset is inherited, or only when it is sold. Paul Ryan, however, has said he is in favor of retaining the step-up.



Income Tax Brackets Changing?

Under the President-elect's income tax plan, the current seven income tax brackets would be reduced to three, as follows: 
  • For married couples filing jointly with taxable income of up to $75,000; and for single filers with taxable income up to $37,500: 12% marginal tax rate. 
  • For married couples filing jointly with taxable income from $75,000 to $225,000; and for single filers with taxable income from $37,500 to $112,500:  25% marginal tax rate. 
  • For married couples filing jointly with taxable income of $225,000 or greater; and for single filers with taxable income of $112,500 or above: 33% marginal tax rate.

Contrary to popular belief, not all middle class taxpayers are expected to benefit from Trump's proposed tax plan. The non-partisan Tax Policy Center estimates that nearly 8 million middle class families would pay higher taxes under his proposals, a view shared by the conservative Tax Foundation and American Enterprise Institute.

Additionally, it is unclear as to what tax deductions would be retained or scrapped. 

Recommendation:

At this juncture, there is little actionable information to go on. Stay alert to developments, so that you can take advantage of any possible tax benefits and avoid pitfalls. Consider using a financial advisor to help you stay current, and who can inform you of any benefits and complications of particular investments.  



We will keep our eye on all these issues and report any new developments to you. Keep up with the news by checking this blog, our website, and our Facebook page. You may also subscribe to our monthly e-newsletter here. 

Nov 13, 2016

Please attend one of our free Florida Medicaid Planning and Estate Planning Workshops this week


Learn more about Florida estate planning, wills and trusts, Medicaid planning, veterans benefits, and long-term care planning at our free Senior Survival Workshop. These presentations are open to the public and free of charge. You don't even need a reservation - just show up! Attendees are eligible to receive a free, one-hour consultation from one of our attorneys (provided that we are the right law firm for your needs, of course).
 
The information you glean from the seminar will make your one-on-one consultation with us as productive as possible.  The workshop also allows you to become familiar with the members of our law firm - consider it a kind of a test drive -- with no obligation. We hope you'll join us. (We recommend that you bring a jacket or sweater, since hotel rooms can be cool.)
 
Palm Beach Gardens
Tuesday, Nov. 15, 2016
1:30 p.m. to 4:00 p.m.
Palm Beach Gardens Marriott
4000 RCA Blvd.
(East of I-95, south of PGA Blvd.)

 
Boynton Beach
Wednesday, Nov. 16, 2016
1:30 p.m. to 4:00 p.m.
Courtyard by Marriott
1601 N. Congress Avenue
(Between Boynton Beach Blvd. and Gateway Blvd.)
 
 
Port St. Lucie
Thursday, Nov. 17, 2016
1:30 p.m. t0 4:00 p.m.
Port St. Lucie Holiday Inn
10120 S. Federal Hightway
(North of Port St. Lucie Blvd.)


May 18, 2016

How will you pay for long-term care?

Genworth just released its latest analysis of long-term care costs. Nationally, the current median cost for a semi-private room in a nursing home is $82,125 per year; for a private room, $92,378. That's an increase of 2.27% from last year. Florida costs are higher, of course: $89,060 for a semi-private room and a whopping $100,375 for a private room. (Oklahoma is the most affordable state for long-term care, but even there, the cost for a private room in a nursing home exceeds $60,000 annually.)

There is every reason to expect the price of these services to continue to rise. Certainly increasing numbers of people will need services: Genworth reports that 70% of Americans reaching age 65 will at some point depend on long-term care services. And a recent article in US News & World Report notes that  while 12 million Americans need long-term care today, the number will be 27 million by the year 2050.
  
As yet, we have no effective public policy to address this crisis, nor is there one on the immediate horizon. Families in Florida and across the country continue to struggle. Families are going broke shouldering the burden. Interestingly, a 3/26/16 article from NerdWallet reports that medical debt (including debt incurred in long-term care facilities) is the number one cause of personal bankruptcy in the U.S. 

Most Americans are unaware of this grim situation unless they've been personally affected by it.  Polls of Americans over age 40, conducted by the Associated Press in cooperation with the University of Chicago, reveal the public's persistent misconception that Medicare pays for long-term care. It doesn't: Medicare provides limited benefits for skilled nursing care, but none for custodial care. Fifty-four percent of poll respondents say they are doing little or nothing to plan to finance future long-term needs. Of course, there may not be much the the average person can do. Saving up to self-fund sounds nice, but given the astronomical costs involved, it's just not financially feasible for many people. Long-term care insurance is another possibility, although it can be pricey, and  once someone is too old or too sick, coverage is generally not available or prohibitively expensive.

The last possibility is Medicaid. While Florida Medicaid has look-back rules and penalties built into its regulations, our attorneys can often help a family preserve a significant amount of assets and gain access to benefits before "spending down." Even at the last minute - when a loved one is about to enter a nursing home or is already residing in one -- the right legal guidance may allow you to avoid financial ruin. Better yet, Medicaid planning can be done in advance. Contact The Karp Law Firm to schedule a consultation.
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