Irrevocable Trust Form

Does an Irrevocable Trust Protect Assets from Nursing Home Costs in Georgia

Taking care of the loved one when they really need is important. In Georgia Nursing home are entrusted to give nursing facilities where they provide comprehensive care to people who require medical care 24x7. This care requires financial contribution and hence there is a nursing home cost. This cost is based on level of care given, geographical location, type of room and the services. The nursing cost in Georgia is increasing and sometimes it may attach the property and assets of the people also.

Protection of the property and assets is very essential when a person is looking for nursing home facilities. The rising nursing cost can deplete saving and attach the property assets also. The best to save the assets is having irrevocable trust form in Georgia. Strategies for assets protection make assets safe. One of those strategies is Irrevocable Trust.

Understanding irrevocable trust

An irrevocable trust is the best method available to Georgia residents who want to shield assets, plan for long-term care, and secure wealth for the future generation. The question is how the irrevocable trust helps in protecting the assets.

When irrevocable trust is made, there is protection as there is proper financial planning. It is properly structured and funded well before the look-back period. When the irrevocable trust is executed, it removes assets from the ownership of the person. It allows retaining some benefits, such as income from the trust. Careful consideration can be taken as per the current financial needs and future care requirements.

A properly structured irrevocable trust helps in protecting the assets from nursing home costs by helping qualify for Medicaid.

How It Works

  • Medicaid Eligibility: It is well known that nursing home care is very expensive. Some of the elderly people depend upon Medicaid. To qualify, a person’s countable assets should be within strict state limits.
  • Loss of Control: When irrevocable trust is created, there is transfer of the personal ownership permanently. There is removal of personal ownership and control. When a person is no longer the legal owner there is no question of legally demand the principal back for own purpose. In case of medical aid, those assets become free from the purview of the eligibility. These assets are not counted to pay for medical expenses.
  • Medicaid Asset Protection Trust (MAPT): This is the particular type of irrevocable trust for the long-term care planning. It agrees to move assets out of the name of owner while the income generated is allowed to be kept by the owner.

It is necessary to take professional guidance before taking Irrevocable Trust for the property and saving it to be counted for nursing home cost. There are complexities and state guidelines which require expert advice. Find legal forms online now! Click to access.

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