The experience of having a spouse enter a nursing home can be very upsetting on an emotional and financial level. The best way to take care of your spouse, how to pay for their care, and how long they will be gone may be some of your concerns.
In order to reassure families, we address these important queries and worries in this article.
What Happens When One Spouse Goes to a Nursing Home?
Your Asset
If your spouse enters a nursing home, they might be qualified for Medicaid to cover their care costs. The state you live in will decide your spouse’s eligibility and will only count your spouse’s assets when calculating Medicaid eligibility. Typically, up to half of the couple’s assets may be kept by the spouse who is not residing in the nursing home (known as the “community spouse”). According to a rule known as the community spouse resource allowance (CSRA), the community spouse is entitled to up to $137,400 from the couple’s assets.
Even if they are still employed, the community spouse will not be required to contribute to the cost of the nursing home unless their income exceeds a certain amount. Conversely, if the community spouse’s income level is low, they may be entitled to a portion of the income of the spouse going into the nursing home (known as the “institutionalized spouse”). In addition to the general legal rights of the institutionalized spouse, there are additional ways to protect assets.
Your Income, Pensions, Or Social Security Payments
Medicaid will not count the income of the community spouse when considering Medicaid eligibility. Only the income of the spouse going into the nursing home is used to determine whether they qualify.
Even if the community spouse is still working, they will not have to contribute to the cost of caring for the spouse in a nursing home if Medicaid covers them. However, in some states, the community spouse is required to contribute to the cost of the other spouse’s care if their income is higher than a specific threshold.
If the nursing home spouse receives the majority of the couple’s income and the other spouse needs assistance with living expenses, they may be entitled to some or all of the nursing home spouse’s monthly income. What the Medicaid agency determines is appropriate for the community spouse will determine how much the community spouse is entitled to.
Your House
Fortunately, no matter how much it costs, you are not eligible for Medicaid if you own a home. In other words, when figuring out whether your spouse qualifies for Medicaid, your home is not an asset. Your car, furniture, prepaid funeral plan, burial plot, and any life insurance policies that are under a certain threshold are additional exempt items.
How to Protect Assets If Your Spouse Goes into a Nursing?
You don’t have to use all of your arduous savings and retirement funds to pay for your institutionalized spouse’s expenses if they enter a nursing home. The four alternatives listed below will help you make the most of your money while still getting Medicaid to cover nursing home costs.
Purchase Long-Term Care Coverage
The cost of an institutionalized spouse with a chronic illness or other issue that prevents them from taking care of themselves is something that long-term care insurance helps couples pay for. However, this coverage is expensive, and if you or your spouse don’t enter a nursing home, you might never need it. Nevertheless, getting long-term care insurance may reduce your wealth and make it easier for your spouse who is in a nursing home to qualify for Medicaid.
Draft a Life Estate for Your Real Estate
A life estate designates one spouse as the owner and the other as the property’s “remainderman,” or the person who will inherit it after the first spouse passes away. A life estate prevents state governments from attempting to seize the property once it is in place. The remainderman inherits the assets whether the surviving spouse passes away at home or in a nursing facility.
The five-year asset-transfer period for Medicaid is extended by the transfer of property made through a life estate. The community spouse may be required to pay a hefty fine to Medicaid if the institutionalized spouse dies within five years of drafting a life estate.
Buy a Medicaid-Compliant Annuity
The institutionalized spouse may be able to receive Medicaid benefits with the aid of a Medicaid-acceptable annuity. An annuity payment can deplete a couple’s resources, which might actually be helpful to a couple in this situation. The advantage is that the institutionalized spouse has fewer reportable assets and is therefore more likely to qualify for Medicaid benefits. Moreover, the annuity payments will be made to the community spouse on a monthly basis, and they can be used for any purpose other than paying for nursing home costs.
Tips for Maintaining a Relationship With a Spouse Who Enters a Nursing Home
Visit Regularly
A personal visit cannot be substituted for. Furthermore, if your spouse suffers from dementia, this may be difficult for you. Watching your spouse struggle or request to return home is difficult. During the COVID-19 pandemic, visits to nursing homes were prohibited. There are numerous accounts of how difficult this was for the families as well as the residents.
To make sure that you don’t let too much time pass, scheduling visits is a good idea. Making a personal stop will make your loved one feel cared for. Don’t forget to bring your grandchildren or grown children. A visit also gives you the chance to evaluate the care your spouse is getting.
Bring Gifts
Someone may feel loved and cared for if you bring thoughtful gifts. When decorating your spouse’s space, think about using fresh flowers or herbs. Another excellent suggestion is to give your loved one earbuds and some music, especially since they probably share a room with another resident. It can be difficult to drown out noise, but music can be helpful. Place photos of your family on the walls or the nightstand of your spouse’s room if they suffer from dementia.
Touch Frequently
Everyone needs to be touched, but when your spouse is in a nursing home, the touch they get may be impersonal or solely functional. Few other gestures can establish a connection like loving touch can. Having physical contact is especially important for dementia patients. Bring some lotion, and offer to massage your spouse’s neck and back or to rub some on their hands.
Stay Positive
Being in a nursing home can be depressing. Depending on their health, your spouse might not ever return home. However, it doesn’t follow that you can’t support initiatives for good physical and mental health. Regardless of how much time is left, a good quality of life is worth fighting for every day.
Summary
Planning ahead for the possibility of you or your spouse eventually entering a care facility is critical to protecting your assets as you age. By taking action in advance, you can prevent this from happening and protect your wealth and assets. There are many ways to put yourself in a better position if this occurs, from getting long-term care insurance to choosing the right annuity.
FAQs
Do I Have to Pay for My Husband’s Nursing Home?
Yes, everybody has to pay something (with a few exceptions such as Section 117 clients). People who have more than £23,250 in savings will be required to cover the full cost of the long-term residential or nursing facility.
Will I Lose My House If My Husband Goes into Care?
Nobody will force you to sell the marital home as long as you continue to reside there, and the property’s value won’t be taken into account when determining how much, if anything, your husband will be required to contribute to your son’s care expenses. Unmarried couples also fall under this rule.
