Furthermore, if Veterans can put promissory notes or trusts in place well in advance of the projected need for VA benefits (at least 3 years after implementation, missing the look-back period), these planning strategies might still be viable options. It’s a good idea to seek advice before you sell your home if you’re in any doubt about how this will affect your income from benefits. In order to be eligible for the Department of Veterans Affairs (VA) pension benefits, such as the basic, aid & attendance, and housebound pensions, there are income and asset requirements that must be met. When "sell value," you start with the business goal that the customer would like to achieve–then tie that value to a specific benefit generated by a particular feature. Selling while the market is healthy could produce a needed influx of funds. So this article discusses what can be done when the client has or is seeking Medicaid long term care (ICP or Medicaid Waiver) benefits and wants to sell their home. If you are a veteran thinking about selling your home, seek professional VA assistance, as these professionals are well versed in strategies for protecting the proceeds from the sale of one’s home. Selling Property While Receiving Social Security Disability Benefits My question involves a person located in the state of: Texas I want to move my dad from Texas to Idaho. We often link to other websites, but we can't be responsible for their content. (Also note: Gifting one’s home or selling it under fair market value can also result in disqualification for Medicaid benefits due to Medicaid’s look back period.). The higher-value home would then still be excluded as an exempt asset, protected from creditors, and able to avoid Medicaid estate recovery. You risk not selling your home for what it's worth. (Learn more about asset protection in the next section). This site is for information purposes; it is not a substitute for professional legal advice. Contact your local Social Security office to find out if your SSI benefits will continue after the sale. Here's how. This is true even when the individual resides in a nursing home or assisted living facility, as there is an assumption the veteran has “intent” to return to the home. Instead, it is usually suggested that the home be sold after the death of the veteran. not counted by Medicaid for eligibility purposes).

ALL RIGHTS RESERVED. Generally, one’s home is considered an exempt (non-countable) asset, but what happens if one sells his or her home after being approved for VA benefits? Florida requires someone to sell their home in order to qualify for Medicaid? Discuss the sale of your home with your benefits counselor before you make any permanent moves toward selling. If you dig into the Department of Children and Families ESS Medicaid policy handbook (which I call the Florida Medicaid manual), you will find Sections 1640.0537, 1640.0543.03 and 1640.0307.01, which are helpful.Â. Use of this content by websites or commercial organizations without written permission is prohibited.

Irrevocable trusts (meaning it cannot be changed or terminated), sometimes called VA asset protection trusts, are another asset protection strategy that has sometimes been used to protect the proceeds from the sale of a veteran’s home. You can verify that you are attempting to sell the real estate by providing your listing agreement with a real-estate broker, MLS listing, newspaper listing, etc... You also must be reasonable. While "selling benefits" is more effective than "selling features," it isn't always clear to the customer why that benefit is important in the larger context of the customer's business. Will this affect my benefits? For VA purposes, when a veteran has moved into a care facility, such as an assisted living facility, a memory care unit, or a nursing home, it is assumed there is “an intent” to return home.

If your property is worth $200,000 and you are "attempting to sell" it for $800,000, that would not pass the good-faith effort test. Pension Credit is a means-tested benefit. So, if you receive SSI disability, and not SSDI, selling your mobile home might only impact your benefits if you received an amount of money in excess of the asset limits previously mentioned. Even with the money saved on commissions, you may walk away with less than you should have. The situation is as follows: - Two years ago, "person A" (over 65) was no longer able to look after herself and moved … Aramais: I am 71 years old and still working while receiving my Social Security benefits. Sometimes the goal isn't to just sell the house - its to upsize or downsize. However, the veteran can use the proceeds of the sale to pay for long-term care and once the extra assets have been “spent down”, the veteran can re-apply for pension benefits. In the event that a veteran sells his/her home while receiving VA pension benefits, the proceeds from the sale will count as assets as soon as the money is deposited in the bank. Most businesspeople (including many who sell for a living) define "value" as "the most product for the least amount of money."

However, once the home has been sold and the proceeds deposited into their bank account, the proceeds are not exempt, meaning they are counted as part of their net worth. (Note: I picked up this important distinction from Nancy Martini, CEO of PI Worldwide.

Make sure you keep the office that pays your benefits informed of any change to your income, savings and circumstances, to avoid overpayment. There are several steps you’ll need to follow: If it can be liquidated, the trust counts towards one’s net worth. This addition of assets will likely disqualify the couple from receiving VA pension benefits. Example: "Our widgets have dual-plug potzeebies!".

Trusts, although extremely tricky and generally not recommended, were also a method that was occasionally used to lower one’s net worth. Without asset protection or purchasing a new home within the same calendar year, the scenarios below may all result in ineligibility.