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He’s suffering from a chronic illness and has dementia.

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This is attorney work. It’s way way too complicated to ever attempt to DIY. Start by looking for a CELA level of elder law attorney. Does not have to be in your city; Just as long as in your State. Medicaid is run by each State uniquely.

Be sure to mention that a regular income source is residual business income. The issue - in my understanding - on $ like this is that it tends to get viewed as an annuitant type of income. And anything “annuitant” has to be within IRS approved actuarial tables for your hubs age to be ok for LTC Medicaid (the program that will pay for custodial care in a facility) with the $ affixed for the incoming year. A good elder law practice will have a CPA that evaluates stuff like this, so you will need to bring in all the paperwork on the old biz along with other financials and tax filings. And if the biz $ takes hubs over the allowed monthly income max, the atty probably can figure out how to suss out one of his income sources to go into a Miller Trust or a pooled income trust. Jusy what options exists vary by State. Really none of this stuff is DIY.

Heres how it could work: hubs fully assessed to be “at need” medically for custodial care in a SNF, so ok for that aspect of LTC Medicaid. Now your State has “at need” financial at $2,829 income and 2K asset max. And you as the community spouse can retain up to 130K. Y’all have only 52K in savings, so 50K is yours alone in a new bank account and hubs has 2K placed into his. So ok on assets. But income that’s over the $2829 as he gets $3,100 in SSA and then $2500 in an actuarially sound residual biz earrings a mo. He’s $5,600 a mo income so over the $2829 max, but in no way covers the private pay rate of f 9K a mo for a NH in your State. So what might can be done is to have his SSA go into a Miller Trust which kinda becomes its “owner” and it’s $3100 is paid to the NH via the Miller. Now he has only $2500 a mo so under $2829. HOWEVER you have a mortgage and a car note and you really need some of his income to keep your household afloat as your own income is not enough. The atty then does documentation to establish that you kinda really need $1500 of his income each month to be able to cover mortgage and your own living costs in the community. You need Community Spouse Resource Allowance of $1500 waived over to you from his $2500 a mo old biz income. Medicaid approves your CSRA so that his Share of Cost he’s required to pay the NH is only 1K less his States personal needs allowance. Voila! You as a CS with CSRA now are better off financially + he’s fully eligible for LTC Medicaid. Plus via that attorney, you are better prepared for dealing with however LTC Medicaid does Estate Recovery once hubs passes.
Realistically imo couples and LTC Medicaid is atty work as all sorts of issues to be evaluated and perhaps tweaked. And you want to start on this before he ever enters a facility and files for LTC Medicaid as it usually “sets” income and assets to the day of application filing. (It’s called the snapshot day). Basically you need to get on this sooner rather than later. Good luck and let us know what happens. We do learn from each other!
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Reply to igloo572
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You need to talk to an Elder lawyer. Your assets can be split. You receiving money monthly from a sale ofva business could effect his monthly income which could put youbover the income cap set by your State.
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Reply to JoAnn29
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Best to ask an eldercare attorney in your state. Each state has certain regulations. And, you need to follow laws specifically for your state. It will be money worth spending for sure.
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Reply to AMZebbC
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Gabby,
For me, this is both a legal and moral question. The legal question is so VERY complex that even Igloo, on this Forum--who is a master at knowledge in this wise--recommends that when there is marriage, marital assets, and so on it is NOT DIY. That is to say very dangerous to do it yourself; you need legal guidance by a GOOD CELA certified Elder Law Attorney. Expensive? Yes, but crucial.
First of all you are dealing with marital assets here, and how things are documented and licensed for tax purposes and secondly you are dealing with Medicaid which is a joint federal and State program, and each state has different rules.

While a Forum of caregiving strangers is great for which is best incontinent wear for night, who should be POA and what do they do, and etc. For LEGAL questions, and MEDICAL questions and FINANCIAL questions it is off you go to the experts.

I leave moral questions to you; and leave legal guidance and options to your attorney, and I wish you the very best of luck in protecting your own assets so well as you are able.

Take care.
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Reply to AlvaDeer
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