Many elderly residents of Connecticut have never ventured into the world of estate planning. Others have made an estate plan but left many critical questions unanswered.
Even after they finish making an estate plan, the owner of the estate assets may be required to make crucial decisions, such as the choice of a trustee, choosing a financial adviser or an attorney for the trust.
Other issues
The person whose assets are subject to the estate plan and any trust faces a number of other issues. Among these are:
- Preservation or transfer of assets if the maker’s spouse enters a nursing home
- Medicaid planning strategies
- Ensuring that supplemental and long-term health insurance policies are up to date
- Planning for disability
- Establishment of a conservatorship or guardianship for the testator or his or her spouse
- Long-term care in a nursing home
- Choice of nursing home or long-term care facility
Medicaid planning
Medicaid is a federal program that provides financial support for medical needs and long-term care. This is important for estate planning purposes because Medicare — which millions of older Americans rely upon for health care — does not pay for long-term care.
However, unlike Medicare, eligibility for Medicaid depends on the income and assets of the applicant. Unless they have very low income and assets, applicants are ineligible for Medicaid.
To get around this problem, many older adults use trusts for Medicaid planning. A Medicaid adviser can help in planning the most effective management of the testator’s assets.