Using A Trust To Protect Your Home From Medicaid

Out of all the expenses you can incur in old age, the most significant tends to be healthcare. Good healthcare is very expensive in the United States.

To obtain the healthcare you need, in a manner that is more affordable than normal, you can rely on Medicaid benefits. But, in order to do so, you must satisfy Medicaid’s asset requirements.

Even if you satisfy Medicaid’s asset requirements, they could try to reclaim the costs incurred by your care. This could lead to them taking your home, among other assets. You can prevent this with a trust.

Going over the importance of using a trust to protect your home from Medicaid, and speaking with a Florida Medicaid planning lawyer at Millhorn Elder Law Planning Group will help you obtain the healthcare you need.

How Can Medicaid Take Your Home? 

Medicaid can do something called “Medicaid Estate Recovery.” This is when Medicaid goes over your estate and takes what they can, in order to pay off the medical costs you incurred before your passing.

A number of different assets are exempt from Medicaid Estate Recovery. These include your homestead and jointly held assets; among various others.

Just as an example, if you pass away and Medicaid tries to claim certain assets from your estate, they may not be able to claim your main house. But, if you own any other houses/homes, they can try to claim those.

Even though the above is true, there is one thing to note: Medicaid can claim your homestead property if it is worth more than $730,000, as of 2025.

If you own a home that is worth more than $730,000, and Medicaid wants to take your home in order to reclaim the money they spent, they may be able to do so.

What Should You Do To Protect Your Home From Medicaid? 

The best way to protect your home from Medicaid is as follows: work with a Medicaid planning lawyer who can help you arrange your assets in a manner that protects them from Medicaid.

A good Medicaid lawyer will, in most cases, advise you to develop a trust. You can put your home into this trust and, in doing so, this home will be protected from Medicaid Estate Recovery.

The reason for this is as follows: every asset you put in a trust belongs to the trust. You don’t own these assets – although, you can still use them – which means that Medicaid cannot go after them.

You can develop a trust to protect your home from Medicaid. On top of that, a good trust can, and will, bypass the probate process. This means that your beneficiaries will receive their assets quickly, instead of waiting months.

Speak With A Florida Medicaid Planning Lawyer Today 

If you would like to develop a trust that protects your home from Medicaid, you should work with someone who can help.

Speak with a Florida Medicaid planning lawyer today and we will help you develop a trust that satisfies your estate planning goals. 

Sources:

ahca.myflorida.com/medicaid

medicaid.gov/medicaid/eligibility/estate-recovery