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The cost of long-term care in New York continues to rise, leaving many families wondering how to protect their savings and still get the care they need. Medicaid is one of the few programs that can help cover nursing home and home care costs—but qualifying isn’t automatic. With the proper planning, you can protect your assets, avoid unnecessary penalties, and give your family peace of mind.
Here are three key tips to keep in mind if you’re thinking about Medicaid planning in New York.
1. Start Early—Timing Matters
Many people wait until a health crisis forces them to take action. Unfortunately, waiting too long can limit your options. New York’s Medicaid program has strict rules about income, assets, and when you’re allowed to transfer property.
One of the most important rules is the five-year lookback period for nursing home Medicaid. This means any gifts or transfers made within five years of applying may lead to a penalty period where you won’t qualify for coverage, even if you meet all other requirements. For home care (Community Medicaid), there’s currently no lookback period, but that may change. New York has proposed a 30-month lookback for Community Medicaid, which could be implemented in the future.
Early planning gives you more control, more flexibility, and more peace of mind.
2. Use a Medicaid Asset Protection Trust (MAPT)
One of the most effective tools for Medicaid planning in New York is the Medicaid Asset Protection Trust, or MAPT. This type of irrevocable trust allows you to transfer assets—like your home—out of your name while preserving your right to live there.
Here’s how a MAPT works:
- Protects your home from being counted toward Medicaid eligibility or recovered after your death
- Triggers the five-year clock—once five years pass, assets in the trust are sheltered
- Lets you retain use of the property while removing legal ownership from your estate
- Can hold other assets, such as savings or investments, depending on your needs
Because MAPTs must be created at least five years before you apply for nursing home Medicaid, it’s best to act sooner rather than later.
3. Get Guidance from a Knowledgeable Attorney
Medicaid eligibility rules are complicated. Small mistakes, such as transferring assets too late or failing to disclose income, can result in penalties or even denial of coverage. Working with an attorney who focuses on estate and Medicaid planning can help you:
- Review your current financial situation
- Structure a plan that meets eligibility rules without giving away your hard-earned assets
- Prepare trusts, deeds, and other documents that comply with New York law
- Coordinate your Medicaid strategy with your estate plan
Many families also benefit from aligning Medicaid planning with related concerns, such as avoiding probate, preserving property for children, or preparing powers of attorney.
Why Choose Merlino & Gonalzes for Medicaid Planning
At Merlino & Gonzalez, we understand that Medicaid planning isn’t just about paperwork—it’s about protecting your future and caring for your loved ones. We work with individuals and families across New York to develop personalized strategies that align with their health needs, financial goals, and estate plans.
Whether you’re looking to protect your home, set up a trust, or plan for long-term care, we’ll walk you through each step and explain your options in clear, understandable terms. Our team takes a proactive, compassionate approach to help you avoid last-minute stress and make informed decisions now that support your future.
Talk to a Medicaid Planning Attorney in New York Today
Planning for long-term care may not be easy to think about, but doing it early puts you in the driver’s seat. By starting before a crisis hits, considering protective tools like MAPTs, and working with an experienced attorney, you can preserve your assets and protect your peace of mind.
If you live in New York and want to discuss how Medicaid planning fits into your estate plan, we’re here to help. Let’s talk about the steps you can take now to prepare for the future with confidence.