If a client is entering a nursing home, can they transfer assets in order to qualify for Medicaid? Can they gift a home to a child or must they sell it?
A. Nursing home residents cannot have given away assets within the 60 months prior to applying for Medicaid as a nursing home resident. If they have given away assets or sold them for less than fair market value, an asset transfer penalty (ineligibility period) may be assigned to the person. The penalty will run from the date the person otherwise qualified for and had applied for Medicaid as a nursing home resident. There are exceptions to this rule, so any questions should be directed to the local Office of Public Assistance.
