That is really scary. I’m in Pa., where the last governor held the line on Medicaid expansion. The one we have now would do this in a New York second. Underscores estate planning and if possible, divesting assets to children long before the government can get their hands on them. Thanks for that heads up.
I believe the term is “Preferential Transfer” and the government can go back on your heirs for transfers to them before you die, if you die within a certain period of time after the transfer. It used to be three years, but it may have been extended to five or seven because of 0bamacare.
As you stated, long before you retire, make sure you have your ducks in a row with a competent financial advisor. The main assets most Americans have are their homes and their 401 retirement savings. Both need to be sheltered by astute estate planning. And there are ways of doing this.
The biggest rip-off is the “retirement community” or “assisted living community.” Basically, they are cruise ships that never leave their dock. And they carry huge liens on your estate; they are designed to take 100% of any inheritance you would have considered leaving for your kids. Their lobbyists are quite effective, too. In many states, there is legislation limiting the number of assisted living communities to drive up the costs, and they stand second in line behind the funeral home and ahead of the government when it comes to taking your estate.
My state went for Medicaid Expansion yet the state exempted costs incurred under e-Medicaid from any future estate recovery efforts. A handful of other states did as well.