Neither you nor your spouse living in your residence

If both of you are living away from your home, this fact will impact your eligibility for both Medicaid and the wartime veterans pension benefits. Exempt under both qualifying rules, the unoccupied home is treated as an asset. Additionally, if left vacant for too long, the normal capital gains exclusion upon its sale may be forfeited, and insurance costs will dramatically increase. A full understanding of these factors beforehand will greatly aid you in making the right relocation decisions.

Since the occupancy of the owner/applicant is an important factor in the application for benefits under several programs, this becomes a factor deserving of careful thought. This occupancy reality can change quickly, and sometimes the occupancy of one spouse depends heavily on the occupancy of the other. Each situation is different and requires careful consideration. Whatever action is proposed, try to provide for maximum flexibility in time to activate, as well as the most elements involved in the move as is possible to envision.

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Getting Started:

Make the necessary evaluations on your own with help of family and friends, if advisable, and then, if prudent, obtain professional evaluation services. Your most likely sources for professional help will come from

an Elder Law Attorney to help with considerations for either the Medicaid or VA pension benefits,

a CPA to consult with your family on tax consequences,

and a Geriatric Care Manager (often found through your medical provider or a community social service organization) / Senior Real Estate Agent to help you smoothly transition out of a home.

Some Insights:

You’ll be employing some crystal-ball gazing skills with this one, and all you can do is all you can do. It will be sufficient, since most families are completely blindsided by this development. Taking some advance thought will make all the difference. Much planned activity in this regard will appear to be essential immediately, but be sure to take the time you need. Other options always open up, and they will suffice to meet your needs. Never allow yourself to be pressured.

Dive In:

Your state Medicaid Manual (available online) under Residence

Your state or local Department of Veteran Affairs office