Does New Jersey’s Medicaid Penalty Apply Only to Gifts?
When I define the Medicaid penalty for our elder law clients, they usually think only in terms of gifts. However, the penalty is triggered by much more than simply gifts. It is a transfer for less than fair value that causes a penalty. Fair value is not measured subjectively, but
How is New Jersey’s Medicaid Penalty Calculated?
In New Jersey, Medicaid calculates the transfer penalty as follows: The total amount transferred for less than fair value in the five years immediately preceding the application divided by the average monthly cost of nursing home care in New Jersey. The quotient is the number of months the Medicaid applicant
New Jersey’s Medicaid Penalty and Look Back – Not the Same Thing
Assets must be spent down to necessary limits before New Jersey Medicaid eligibility is achieved. That means that assets have to be spent for product or service of equal value. New Jersey will not take the applicant’s word for it. They require 5 years of financial records as part of
How Does New Jersey Medicaid Value Real Estate?
New Jersey only counts the equity value of real estate as an asset, so that one must subtract all encumbrances (ie. mortgages) first. The value of real property is determined by taking the tax assessed value and multiplying by the reciprocal of the assessment ratio as recorded in the most
How Does New Jersey Medicaid Treat Outstanding Checks?
Assets must be under the required levels as of the first moment of the first day of the month in which Medicaid eligibility is desired (and maintained each and every month thereafter). The applicant must be below $2000 for Medicaid Only and $4000 for Medically Needy Medicaid. This is best
How Does New Jersey Medicaid Treat Assets Held in Joint Accounts?
When a savings or checking account is held by the Medicaid applicant with other parties, all funds in the account are considered the applicant’s so long as he or she has unrestricted access to the funds regardless of their source. When parent and child, for example, are co-owners New Jersey