Are you working on long-term care planning for yourself or a loved one? For many families, finances are the most significant issue, leaving many looking to government programs for assistance. For veterans and their spouses, VA benefits and Medicaid offer solutions. Having dual eligibility could help overcome financial obstacles in long-term care planning.
This post looks closer at these programs and provides basic information to assist with planning.
Using VA Benefits and Medicaid for Long-Term Care
Understanding Medicaid
Medicaid is a program run jointly by the federal and state governments to cover care for low-income individuals. States play a key role in administering the program, so coverage and eligibility can vary. This post will focus on Florida Medicaid coverage.
Eligibility for Medicaid takes the senior’s income and asset levels into account. For Medicaid programs that would cover nursing home care or other long-term care services, the income limit is $2,829. The current asset limit for these programs is $2,000. Please note these limits change with time, and some income sources and assets may not count toward eligibility.
Click here to learn more about applying for Medicaid.
Understanding VA Benefits
One key difference is that VA benefits are federal with little state involvement. The purpose is to provide veterans and their families with financial and medical support. That may include assistance for long-term care. However, you must be a veteran or the spouse of a veteran to qualify for any long-term care services.
The VA bases eligibility on service history, care needs, and financial thresholds. However, the VA bases financial eligibility on net worth instead of income and asset limits, including the individual’s assets and annual income. As of this writing, the net worth limit is $159,240. Like Medicaid, some assets and income sources may not count toward eligibility. Seniors must enroll in standard VA health benefits before seeking long-term care services.
Dual Eligibility
With dual Medicaid and VA benefits eligibility, seniors can increase their long-term care options. To gain dual eligibility, seniors must first apply for VA benefits. In general, Medicaid is considered a last resort. They want to see that the individual has exhausted all other options.
Eligibility for one program can impact the benefits of another. For example, receiving Medicaid may reduce certain VA payments, and VA benefits could affect Medicaid eligibility. Despite this, dual-eligibility is generally beneficial and can add flexibility to your care options. Careful planning can also help you reduce these issues.
Navigating dual eligibility can be complex. Working with an elder law attorney can help you maximize your benefits while avoiding issues that may impact eligibility. They may also be able to help you set up asset protection trusts to obtain eligibility.
Do you need help managing Medicaid or VA benefits eligibility? Click here to contact the Scott Law Offices. Our elder law experts can help you with long-term care planning and asset protection. Reach out now to learn more.
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