If my mother gives $35,000 of her $65,000 to her children as gifts will this make her ineligibile for Medicaid, where can I find written inro on this

Medicaid is designed to pay long-term care costs for elderly and disabled individuals who do not have enough money to pay for their own care. When you complete an application to qualify for Medicaid, you must provide a detailed list of your assets and monthly income. Additionally, a five-year look back period will apply, where past financial transactions will be reviewed. In particular, the Medicaid Office will be looking for monetary gifts and transfers/sales of property for less than fair market value that have occurred during the past five years. Your mother could be subject to a penalty for any monetary gifts or transfers of property made during the look back period. The length of the penalty will be based on the amount of the gifts/transfers. During the penalty period, she will not qualify for Medicaid and will be expected to pay for her own care expenses. You should consult with an Elder Law attorney in your area prior to giving any money away. An Elder Law attorney can review your mother's situation and help her decide how to use her money and preserve her eligibility. The Medicaid rules are complex and change often, so you should not make any of these decisions without consulting an attorney first. Tonya R. Coles Elder Law -- Estate Planning -- Probate 614-228-6600 www.tonyacoles.com