In 2019 the Florida Medicaid eligibility income cap for an individual is $2313.00/month gross. What if a person needs long term care and has a monthly gross income higher than $2313.00/month? What if they are counting on Medicaid in order to remain in a facility?
Florida Medicaid rules permit the establishment and use of a Qualified Income Trust (QIT) in order to meet the income eligibility cap. This Trust agreement is drawn up by an attorney and signed by the Medicaid applicant or his/her Power of Attorney (POA). The POA document must comply with the Florida Law and Medicaid rules in order to be valid in the Medicaid process. In 2015 The Florida Law drastically changed with respect to POA documents. POA documents drafted prior to 2015 (even if done by an attorney), and POA documents drafted in other states need to be reviewed and likely need to be redone. Please do not wait to get POA documents done. Dementia, Strokes, head injuries, and declining health could interfere with the ability to get POA documents later when they are critically needed to complete the Medicaid application process. POA documents retrieved from on-line sources are most often NOT going to meet the requirements.
The Trust document indicates who will be the Trustee for the Trust account. Usually the Trustee is the same person as the POA. The Trust document is taken to a bank along with the POA document and a bank account is opened that will be the Trust account (QIT).
The Medicaid applicant’s monthly income is deposited into the Trust account. The Medicaid Applicant is required to pay their income to the nursing home every month except for $130.00/month personal needs allowance. The Trustee has the responsibility of making sure the applicant’s income goes into the account and that the nursing home is paid every month. The applicant’s $130.00/month personal needs allowance can be kept in a different bank account for spending on personal needs such as clothing and toiletries.
The Nursing home co-pays that I have seen are averaging $170.00/day. That is a co-pay meaning another insurance, such as Medicare is paying part of the cost. $170.00/day quickly adds up and is $5,100.00/month. When the other insurance stops paying, the person needing care in the facility is responsible for the total bill – not just the co-pay. Medicaid is necessary. The process of getting it can be very complex. It is best to consult with an attorney who practices in Medicaid Law.
Diana Mangsen focuses her practice as an elder law attorney in Clearwater, Largo, St. Petersburg, Dunedin, Palm Harbor and the Tampa Bay area.
For more information, visit our website at
https://www.mangsenlaw.com/
or call (727) 888-6282.
