Preparing to Age in Place

Everyone costs a lot of money for the help they give. Medicaid is a tough egg to crack. Like you, I would like to know more about the five year look back so I can act accordingly.

Here's my hard take on the risks of aging in place for non-multi-millionaires:

Remember that we have lived with uncertainty for our entire lives and have made it through to now with our personal mixes of joy and sorrow, pleasures and pains, successes and failures, seeking enough meaning to feel it's worth the effort.
And that's what it will be like until our last breath.
So far it has been more than good enough for me, and I deeply hope it is like that for everyone.

For me, aging in place means building a home and life that offer hope to continue with the most positive balance possible.

Money is part of this. It would be nice if we had a little more, but we do have enough to manage.
We looked into continuing care communities and found that the ones we can afford would require loss of our greatest joys (pets, woods, garden, fruit trees, river nearby, wild animals in our yard, family visits, favorite foods, musical instrument workshop) in return for a guaranteed bed in memory care.
The aging care professional we consulted felt we that with preparation we could have a far better life aging in our home, even with serious illness.

We have Social Security, some annuities and retirement investments. We can live without withdrawing funds for our usual expenses, and we have long-term care insurance.
Fancy vacations aren't likely.
We've always lived within our means, and sometimes those means were very slim, so we know how to find the joys of parks and the public library! In case of early death of one of us, a housemate is possible, as has been done in several nearby homes of similar design.

It's not a guarantee that our last days (or months or years) won't be difficult, but by staying where we are, I have had, since turning 70, five of the richest years of my life, so I feel the "wager" is worth it.

Looking at my balance sheet, if I had to choose between money and friends, the friends are what I need to nurture most because friends give my life more meaning, purpose, knowledge and sharing of world views, and without that, money is worthless.

Everyone costs a lot of money for the help they give. Medicaid is a tough egg to crack. Like you, I would like to know more about the five year look back so I can act accordingly.

Please let's talk about the original and ongoing purpose of Medicaid.

It is designed to provide assistance to those who have nowhere else to turn. That is no long-term care insurance, relatively low income, low assets, and high needs. I used it to help care for both my Mom and mother-in-law when ongoing medical costs outlived their savings.

Medicaid is not designed to assist those of us who have assets like homes, savings, retirement accounts or other property to "protect" them so we can pass them on to our heirs.

Spousal rules in most states to protect enough assets, like the family home, a vehicle, a burial policy, and modest retirement accounts, to prevent impoverishment. A lien for the value of Medicaid services provided may be filed against the home to be paid off when it is finally sold.

Back in the 1970's a whole "industry" sprang up to assist people in shifting and hiding their assets so they could collect Medicaid - thus were born the whole "5-year-lookback" rules (or in some cases a 3-year lookback.)

Off my soapbox now - I am old enough to remember when Medicaid (and Medicare) did not exist and my Dad and his brother, neither of whom could afford to do so, stepped in to take care of my Grandma's insulin, doctor and hospital bills.

@sueinmn and gone are the days when several generations of a family lived together and helped take care of each other. When did that change, and why?

I’m going to, more than likely, use my assets to pay for my care. If I have enough to pay for 4 years, and then when it’s gone can I get Medicaid? Is that how it’s supposed to work?

Over the last three weeks I've been working through one of the most difficult tasks of my recent years - My little shop had become so filled with left over parts, paints, glues and fillers, special tools...all left over from projects of the last 35 years. Doing any large project was delayed and burdened with the need to clear space for anything new, which became harder and harder.
So, I have done it.
Thrown out all those "maybe I'll need it some day" screws, bolts, electrical fittings, etc., etc.

It was depressing and hard work, as part of my identity was "the guy who can fix anything in his magical shop." Or maybe it was a mostly museum of my past efforts, a diary written in junk.

So now the shop is ready to welcome some new, big projects.
It's already paying off in the ease of efficient working.

Over the last three weeks I've been working through one of the most difficult tasks of my recent years - My little shop had become so filled with left over parts, paints, glues and fillers, special tools...all left over from projects of the last 35 years. Doing any large project was delayed and burdened with the need to clear space for anything new, which became harder and harder.
So, I have done it.
Thrown out all those "maybe I'll need it some day" screws, bolts, electrical fittings, etc., etc.

It was depressing and hard work, as part of my identity was "the guy who can fix anything in his magical shop." Or maybe it was a mostly museum of my past efforts, a diary written in junk.

So now the shop is ready to welcome some new, big projects.
It's already paying off in the ease of efficient working.

This is a gentle reminder to address your Comments to the person you are responding, or writing to.

It gets confusing when the messages are posted without the recipient address.

Their address is the @…….

For example, if you want to write only to me, @SusanEllen66
That is my address.