MEDCottage or Granny Pod–Part 2

The actual name for the “granny pod” is MEDCottage and it is a type of mobile residential unit that can be rented on a monthly basis. It can be parked in your backyard, you can connect your water and electricity to the unit and it transforms into an independent room for your elderly relatives. This innovative concept is becoming quite popular all over the country, especially in the state of Virginia where the zoning restrictions have been relaxed for these hi-tech homes by the government, which are expected to be available next year.

The MEDCottage has vinyl siding on the exterior and French doors with a white trim around them, while the interiors are fully equipped with a comfortable suite of rooms, with a kitchen and toilet. In short, the MEDCottage is a complete home in itself with all amenities needed to live a safe, comfortable life and ideal for the elderly.

What makes the MEDCottage even more suitable for the elderly is that inside the unit there is state-of-the-art health monitoring equipment and a lift to take an incapacitated person from the bedroom to the bathroom. There is also a camera installed just a foot above the floor that is adequate to view the person’s feet, so if he/she fell down it would immediately be seen. It has been estimated that falls in the home are one of the primary reasons elderly people have to be taken to hospitals and nursing homes, so having this “Feet Sweep” camera would be a big help in the timely assistance in case of such accidents. In addition to these useful conveniences, the MEDCottage has lighting along the floors that would help the elderly in easy movement around the unit. There are monitoring systems that offer regular updates on the medical status of the occupant, like heart rate and temperature and also provide information about medicine intake and other details.

The thought of relegating your older relative in a separate unit in the backyard may not sit easy with most people, but Rev. Dupin says that it is in line with the independent nature of most Americans. The space of the MEDCottage with the family and yet apart is symbolic of American self-reliance and independence. It is not that we can declare loudly that we do not want our older family members in our home, but neither would they wish to live with us. The MEDCottage is an acceptable alternative where the elderly are near their family but are not stepping on anyone’s feet in the process. It is a wonderful way for the older generation to remain part of the family, enjoy the company of their grandchildren and feel safe and content, without being any sort of a burden on others.

Rev. Dupin does not think that his parents would be living in a “granny pod” but certainly visualizes a future where he might be living in the backyard of one of his children.

 

Call one of elderlaw attorneys at Cohen & Oalican, LLP Boston, Andover and Raynham to see if this fits into your  long term care plan.

PROTECTING YOUR HOUSE FROM THE COST OF NURSING HOME CARE Part 3

Cohen & Oalican, LLP discuss: PROTECTING YOUR HOUSE FROM THE COST OF NURSING HOME CARE Part 3 of 7

The Transfer Penalty and the Look-Back

If you give away your assets it will make you and your spouse ineligible for Medicaid benefits for up to five years. When you apply for benefits, Medicaid reviews five years of bank statements in order to identify any disqualifying transfers. This is known as the “look-back period.” Any transfers that happened before the five year period are protected and do not have to be reported to Medicaid. However, if you apply for benefits during the look-back period, Medicaid imposes one month of ineligibility for approximately every $8,000 you give away. In addition, the clock does not start “ticking” on the ineligibility period until you are in a nursing and have spent down your assets.

The easiest way to explain the transfer rules is by way of an example. Let’s assume Mrs. Smith transfers her condo worth $320,000 to her grandson on March 15, 2010. On April 15, 2011, Mrs. Smith suffers a stroke and is admitted to a nursing home. Assume she spends down her assets below $2,000 as of August 2011. Because she would be applying during the look-back period, Medicaid would impose thirty two (32) months of ineligibility ($320,000 ÷ $8,000 = 32 months). The transfer penalty would not start until August 1, 2011 and would end in April 2014.

Keep in mind, that the rules are different for married couples. If a husband is in a nursing home with a wife living in the community, Medicaid allows the husband to transfer their home to the healthy spouse, without imposing any ineligibility period. The house is then completely protected from the husband’s nursing home costs (even after the wife’s death.) Although, planning can be more complicated for a single person there are several options available to protect the house regardless of whether you are married or single.

Consult with one of the attorneys at the offices of Cohen & Oalican, LLP to create your personalized Medicaid plan.

This has been Part 3 in a series of 7, brought to you by Cohen & Oalican LLP, Elder Law Attorneys Boston, Raynham, Andover