When applying for Medicaid for a loved one with Alzheimer’s or Parkinson’s disease, it’s very important to start the process as early as possible. One of the most confusing aspects of applying for Medicaid is understanding and meeting the asset limitations. Assets are divided into two categories for Mediciad purposes: exempt and non-exempt.
Exempt assets do not affect your ability to qualify for Medicaid, but non-exempt, or countable, assets certainly do. Exempt assets include:
- Your home
- One vehicle of reasonable value
- Pre-paid burial plans
- Life insurance with a cash value of up to $1,500 (combined for all policies)
- Household goods, including jewelry
- Cash up to $2,000 in most states (can be as low as $999 in Missouri and as high as $13,800 in New York)
The vast majority of other assets fall into the confusing category of non-exempt assets. Liquidating assets to reach the limits can cause you not to qualify for Medicaid, so while we will cover more about non-exempt assets in future blog posts this month, it is important to seek counsel with an experienced Cleveland elder law attorney before you apply if you have any assets outside of those listed above.
