What is the penalty or disqualification period for transferring property?
It’s generally a five-year look-back period. However, if you transfer assets and are trying to qualify for Medicaid, sometimes you can get those gifts back and then still qualify. Other times, you have to take the amount of the gift, divide it by what’s called the penalty divisor. Currently, it’s about 8,300 dollars, so that you take that amount, divide it by the 8,300 dollar number, and then you get the number of months that you are penalized and have to privately pay for nursing home as opposed to being able to use the Medicaid benefits that would be other wide available to you. Once you get through that period, then Medicaid will be able to pay for your nursing home care.