What Difference Does Nursing Home Planning Make?

With the average monthly cost of Nursing Home Care in Pennsylvania being $9,792.65, will my husband and I have to sell our home and spend our savings should one of us be admitted to a Nursing Home?

This is a typical question and concern of many of our retired clients. With legal advice and planning, for many married couples the answer is NO! With proper planning, in many circumstances a married couple will not need to spend a penny of their savings on the Nursing Home spouses care! The Commonwealth of Pennsylvania through the Department of Welfare’s Medicaid program will provide payment of care at a Nursing Home. You must be financially eligible to qualify for Medicaid; however, the regulations enable the at home spouse to keep numerous assets including:

  • A house and contents
  • One vehicle
  • Savings of up to $120,900.00

In CERTAIN CIRCUMSTANCES the AT HOME SPOUSE may KEEP ADDITIONAL SAVINGS and INCOME.

The Department of Welfare desires the at home spouse to have not only a house, vehicle and savings but also a monthly income of at least $2,003.00. If income of the at home spouse is below $2,003.00, the Department of Welfare may allow the at home spouse to keep additional assets and/or the nursing home spouse’s income. Before the at home spouse can keep additional assets, they must first look to income to the nursing home spouse to supplement her income. She will be permitted to keep additional assets only if the couples combined income is less than $2,003.00.

Remember there are numerous other rules and circumstances to consider before a family decides on a Nursing Home plan. Effective Nursing Home planning requires a broad knowledge of the rules and an understanding of the circumstances to which they will be applied. This is a challenging and important task. A task families should face only with the help of trusted experienced advisors, the Law Office of Lugg and Lugg.