|
What is Elder Divorce and Why Would I Need It? |
There are many married people who become faced with health issues as they become older that can only be solved by obtaining a divorce.
Sounds crazy I know!
Let's take the example of 'A' and 'B' who are over 65, who have been married for over 39 years. There children are adults with their own lives and the couple
has just be handed the news that 'B', the husband, has dementia and must retire from his job.
'A' works and has to seek part-time in-home care from various people to walk
'B', drive him, prepare food and take him to doctors, etc.
'B's' dementia gets worse as time goes on and he becomes in need of full-time care or things were going along and
'B' had an serious emergency and had to be hospitalized.
Medicare will pay up to 100 days of his care both in-hospital and in a rehabilitation facility. Then Medicare will take over payments after the 100 days expired providing
'B' with skilled care only if 'B' is indigent and thus eligible for Medicaid. Otherwise,
'A' had to deplete her life savings for 'B's' care. What does 'A' do now?
These conditions have been created, in-part, by Medicare and Medicaid. Medicare, the health insurance program for those 65 or over, is designed largely to treat acute medical conditions and does not pay for more than 100 days of skilled nursing care and rehab therapy.
Medicaid, health insurance program for the poor, does pay for nursing home care, but only after an individual has spent down his or her assets or is poor by their standards. That is, he or she has depleted most all of their assets, including stocks, excluding a nominal amount usually
around $2,000. Spending down assets by transferring them to children or relatives is not a viable option because Medicaid looks for gifts the patient made within 5 years prior to applying for Medicaid and then denies coverage for the number of months the gift could have paid for the nursing home care.
The viable options can be bleak, however, if the patient is married, spending down assets to qualify for Medicaid, often means that the healthy spouse is left with insufficient assets for his or her retirement.
This is when the couple has to plan for divorce leaving 'B', in my example, poor without sufficient assets to support himself.
All situations are different and it is best to contact Mr. Radoff for advice in your situation. Mr. Radoff offers a
FREE phone consultation at: 1-800-595-2948.
|
|
