Estate Recovery

What Is Medicaid Estate Recovery?

A qualified income trust, or QIT, is a trust that Medicaid requires if a Medicaid applicant has a monthly gross income of more than three times the SSI poverty limit, Medicaid will deny the resident’s application for benefits. For 2019, this figure is $2,313. It is adjusted each January.

Medicaid knows that an income of that amount is really not enough to pay for long-term care. Therefore, Medicaid permits the QIT process to get around this problem.

At Kentucky ElderLaw, PLLC, we prepare qualified income trusts, also known as Miller Trusts, for our clients. They must be prepared properly to comply with federal and state law. We prepare legally sound trusts to help you obtain the Medicaid coverage you need.

How Does Estate Recovery Work?

Naturally, most estates of Medicaid recipients have little or no money, since that is one of the eligibility requirements for Medicaid. Therefore, Medicaid estate recovery will not recover anything if there is nothing.

In Kentucky, there is no estate recovery if there is a surviving spouse or a totally disabled adult child, or if the estate is below $10,000. However, the definition of estate is much broader than the probate definition and includes property held jointly with another person, assets in a revocable trust, life estates and other assets owned at the moment before death. For this reason, it is important to engage in Medicaid planning for the surviving spouse of a Medicaid recipient.

Get Help Recovering An Estate

Kentucky ElderLaw, PLLC, can help clients in Southern Indiana and throughout Kentucky who may face an estate recovery claim. You can reach our Louisville office at 502-581-1111, our Bowling Green office at 270-467-0002 or our Shepherdsville office at 502-955-1005. You can also send our office an email.

Start The Conversation In A Free Consultation

Your first consultation with Kentucky ElderLaw, PLLC, is free, so you have nothing to lose by contacting us to talk.

Let’s Talk About Your Goals

Our attorneys have the knowledge and compassion to lead you through planning your estate and planning for long-term care, which can be daunting, confusing and frustrating. Call us at 502-581-1111 to arrange your FREE consultation or fill out the form below to contact us for an appointment.