The Importance of a Well Crafted POA
As I have always told my clients, a power of attorney is as important, if not more important to you, as your will. Yet most people pay far more attention to the drafting of their will and give their POA little thought. How so? A last will and testament establishes my desires as to whom and in what manner I wish to leave my possessions and assets. While meaningful to me, it is more relevant to the persons receiving those assets after I die. A power of attorney, however, is critical to my well being, most often used at a time when I am most vulnerable, when I can no longer take care of my own affairs and need the assistance of the person or persons whom I designate as my agent(s). However, the power of attorney has always been an afterthought. Before computers, a common response to the need for a POA was to pick up a preprinted document from the stationery store, one that says in effect “I give my agent the authority to do anything that I can do as a principal”, with language no more
Home for the Holidays
Once again the holiday season is upon us, a time of joy but also stress. We often visit family members we haven’t seen in some time and that’s when changes in older loved ones become more noticeable. Some of the changes that may indicate your loved one needs some extra help: Weight loss Deterioration in personal hygiene Unusually dirty or messy home Unusually loud or quiet, paranoid or agitated behavior Local friends and relatives noticing changes in behavior Self-imposed isolation, stops attending activities Signs of forgetfulness such as unopened mail, piling newspapers, missed appointments, unfilled prescriptions Signs of poorly managed finances, such as not paying bills, losing money, paying bills twice Unusual purchases So what should you be doing if you see any of the above? A physical and neurological exam should identify any medical issues. A Geriatric Care Manager (GCM) can help assess the options available that will allow your loved one to continue to live a full, fruitful and safe life. Suggestions may include a home health aide, adult day care, and personal organizer to help with money management. If your loved one can no longer live alone, possible alternative living arrangements include another family member’s home, assisted living, senior housing or
New Medicaid and VA Figures for 2015
Each year, many of the programs that, as elder law attorneys, we deal with daily, such as VA Aid and Attendance and Medicaid, are adjusted for inflation through a cost of living adjustment. In the past month the Social Security Administration announced that Social Security recipients will receive a 1.7% increase in benefits starting in January. Both Medicaid and the VA Aid and Attendance program adjustments are tied to the same percentage increase. Here are the changes you need to know for 2015. The Medicaid income cap will increase by $33 to $2199 per month. This number is the limit on income per month needed to qualify for most Medicaid programs. The Community Spouse Resource Allowance will go up to $119,220. That is the maximum amount a healthy spouse may keep in countable assets (provided the married couple have at least that amount times 2 at the time the “snapshot of assets” is taken). VA Aid and Attendance pension benefits will also increase by the same 1.7% in 2015. This means that a single veteran can receive a maximum of $1788 per month, a married veteran can receive as much as $2120 per month and the widowed spouse of a veteran tops out
Changes to New Jersey Medicaid Have Finally Arrived!
So it has finally happened. Effective last Monday, December 1, New Jersey no longer is offering its Medically Needy program to individuals in need of nursing home level care. What this change does is effectively make Medicaid benefits possible to those at home and in assisted living facilities as well as in nursing homes, who have income in an amount greater than the income cap of $2163 per month (in 2014), thru the use of a Qualified Income Trust, also known as a “Miller” trust. As with any changes there is much confusion and misunderstanding about what it all means. I will be holding a Google Hangout on Friday, December 12 at Noon in which I will explain the changes and answer some of the questions that we have already received here at Hauptman & Hauptman. It’s a session you won’t want to miss. Be sure to mark your calendar and look out for further details later this week.
When the State Decides Who Gets Your Assets
Last week we were discussing whether and under what circumstance a person who is mentally impaired can execute a will. So what happens if a person dies without a will? How are assets passed in that case? New Jersey has a law that predetermines how assets are passed in cases where there is no will, what is known as an intestacy statute. I should first point out, however, that there are other ways to transfer assets at death without a will. Jointly held property with rights of survivorship is one way. When one co-owner dies the surviving co-owner(s) take ownership of the deceased co-owner’s share automatically by law. Another way to transfer property at death is to designate a payable on death or transfer on death beneficiary. But, any assets which are not co-owned and have no beneficiary designations will pass by way of the intestacy laws, provided there is no will. So, how do the assets get distributed? First, we must determine if there is a spouse. If the decedent (deceased person) has no descendants (ie. children, grandchildren etc.) or parents alive, the spouse receives the entire estate. The spouse also receives the entire estate if the decedent’s