I decided to keep my safety net rather than wipe out my meager savings and CDs. I'll figure out a different route with the health care.The government can waste billions, but they still will worry about our "peanuts" in savings, They rather help illegal aliens. Oh well thanks everyone for your answers. always helpful.
Just a question? Are you talking about Medicaid for NH care or Medicaid for health insurance. Therevr different rules. My nephew is allowed 20K as income a year. He is on SSD so receives Medicare and Medicaid. If health insurance then I wouldn't pay cash. If u can spend 15K on a car you can afford insurance. Do you think you will need Medicaid for NH care in the next five years? Just curious.
States Medicaid can place a maximum value on exempt assets. Like for a home it’s 550k for most states but 800/850k upper east coast. Cars can have value limit as well. You really imho need to clearly find this out ASAP before buying a car.
If your thinking of getting a car and your near future means entering a AL or NH to live permanently, it doesn’t make sense to buy a new car. You will not have any real $$ anymore to realistically afford, gas, insurance, maintenance, repairs as Medicaid requires all your monthly income to be paid directly to the AL or NH each month as Per the medicaid copay or SOC (share of cost) requirements. All you have once on institutional Medicaid is a small personal needs allowance. Avg is $50 or $60 a mo.
Plus when you sell it, it must be a fmv or Blue Book value, which if over 2k makes you ineligible for Medicaid as your over asset limits. So you end up needing to do a legit spend down asap to stay ok for Medicaid. To me it’s a lot of drama & doings for something so not needed if you live in a facility.
Under Medicaid you are permitted to have one car and one home. Buying yourself a new one, I would think, would qualify as legitimate spend down. Just do not give it away to anyone or sell it for less than market value.
The money is supposed to be going for your care in a facility or medical bills. A new car won't qualify. They can look back 5 years to see what you've done with any money you've had.
Whose money are you spending? Yours or the person you are caring for? If it is the money from the person you are caring for, then I don't think it would qualify as a spend down for medicaid item. I may be wrong.
11 Answers
Helpful Newest
First Oldest
First
ADVERTISEMENT
If your thinking of getting a car and your near future means entering a AL or NH to live permanently, it doesn’t make sense to buy a new car. You will not have any real $$ anymore to realistically afford, gas, insurance, maintenance, repairs as Medicaid requires all your monthly income to be paid directly to the AL or NH each month as Per the medicaid copay or SOC (share of cost) requirements. All you have once on institutional Medicaid is a small personal needs allowance. Avg is $50 or $60 a mo.
Plus when you sell it, it must be a fmv or Blue Book value, which if over 2k makes you ineligible for Medicaid as your over asset limits. So you end up needing to do a legit spend down asap to stay ok for Medicaid. To me it’s a lot of drama & doings for something so not needed if you live in a facility.
They can look back 5 years to see what you've done with any money you've had.
sorry I yelled