How can I protect my mother's assets from the nursing home her husband is in?
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Last updated: Jun 30, 2011
Q
An anonymous caregiver asked...
My mom remarried 20 years ago after Dad died. She is in 80's with some dementia issues but self sufficient at this time. New spouse and she kept most finances seperate and rather secrective from each other. 2 years ago he had to go into nursing home. He had transferred all his assets ($500,000 or more ) to his kids well before then, left my mom with only a 'life estate' in the home they shared. nothing else. Great animosity between his family and my mom. No communication. She had about $150,000 in savings and we could not make a decision on agreeing to participate in his application for medicaid at his admission because we could not get an answer from his lawyer or family on what his assets were upon being admitted to the nursing home to determine what the 'snap shot' of their combined finances and what that would allow my mom to keep. Her husbands kids have POA and Medical POA and they admitted him to nursing home, my mom has signed nothing.
Due to the extreme stress and confusion on the matter, my mother decided to liquidate her assets and enjoy them before they potentially were taken by nursing home. So as of last year, she has no assets other then small ($800) Social Security. (His daughter as POA redirected all his income to another account which she claims she is handing over to the nursing home each month).
Apparently her husband had other assets that he has spent down until now to stay in the $5,000 a month nursing home and they have run out and are applying for Medicaid again. Recently the Nursing home director pressured my mother trying to get her to agree to participate in her husbands medicaid application or start receiving the montly bill. My mother told her she would opt for the 'spousal refusal' option, so that she did not have to participate and they could go ahead and file based on his assets alone. She does not want to explain that she opted to spend the assets she had during the 'snap shot' period (as she often heard her husband attorney urge him to do before the time came to go into a nursing home, telling him to 'spend his money, take a vacation, buy a new car, spend your money and enjoy it now....". After much agnst over this on our and our mothesr part and the threat of what she had saved all her life being taken, while his finances were securely now in his childrens hands, she chose to enjoy hers while she had it. It goes fast. )
She gave the nursing home notice in writing on the matter last week in regards to opting for spousal refusal and now the collection agency they employ is writing her threatening letters to either 'cooperate with her husbands attorney in applying for medicaid, or they may sue her in civil court for monthly costs."
My understanding is if she participated in his medicaid application, he would be penalized for her assets at the time of his admission anyway (the financial 'snap shot", so she did him a favor by opting not to participate, even though she is barely getting by now on her $800 a month.
Most importantly, since she has NO ASSETS other then a car, doesn't own the house she has life estate in, no savings etc., and only gets a small SS monthly payment, does it even matter if the nursing home opts to sue her in civil court? Can't get blood out of a stone? There is no life insurance or any other asset to consider, no ira any longer, etc. She can't afford an attorney (and the 2 she saw while she still had a bit of money never gave any clear answers and bilked her for high charges and never provided guidance).
Since it's all gone now anyway, is there even any need to be concerned if her only asset is ONE car?
****ONE LAST QUESTION, is there any reason I should hesitate to let her put me on the title to the car? She would like to leave it to me, but with no other assets hasn't updated her will. I wonder if my being on the title with her would be sufficient for me to claim it when she passes....or would make me liable if she happens to have an accident while still driving? Would a notarized staetment that she wants me to have it when she passes be sufficient or would her husbands family be able to claim it?
She is in Indiana. I don't know where else to turn for answers since there is no $ for attorney and our experience with the ones we have have been bad. I haven't been able to access anyone to determine if she can get legal aid and the few offices that do answer the phones on that, give the run around. HELP?!
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