In cases where someone is not initially eligible for Medicaid because they do not meet asset limitations, there is a possibility of “spending down” assets in order to attain Medicaid eligibility. If you think this may be something you need to consider, discuss your situation with a Medicaid attorney first. Spending down assets basically means using your countable assets to pay off debts or expenses, instead of paying for nursing home care. However, this must be done in a very particular way in order to avoid the potential penalty period for fraudulent transfers.
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