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How do i set up an shared bank account for my parent on Medicaid?
Posted on 2/1/23 at 10:36 am
Posted on 2/1/23 at 10:36 am
My mom is on medicaid and lives in a nursing home. Medicaid takes all but a few bucks of her income which doesn't allow for much. My two siblings and I want to set up an account that allows us to pay for some things beyond what the nursing home can provide. Ideally, the three of us would be able to contribute money to that account and all access it as needed. We'd prefer our mom to be able to use the account to pay for a few things like her cell phone, occasional take out meals, etc. However, if she can't be on the account for Medicaid purposes, we could manage by making sure we pay the helpers using other means (venmo, cash, etc). My mom still has a credit card that she uses and we pay it off but I'd like to use the new account to do it as opposed to taking turns doing it now and trying to keep it even.
I know she can't have anything in her name. Some of the money we'd deposit would be cash and I'm concerned that could cause a wrinkle if it's too much. A friend suggested an LLC and to open a business account so my siblings and I would all have equal access to it. In the event of my mom's passing, we could close the account and spit it up. Then it seems I'd have to worry about filing tax documents for the LLC. Maybe I'm overthinking and a simple joint account would work.
Any guidance is appreciated.
I know she can't have anything in her name. Some of the money we'd deposit would be cash and I'm concerned that could cause a wrinkle if it's too much. A friend suggested an LLC and to open a business account so my siblings and I would all have equal access to it. In the event of my mom's passing, we could close the account and spit it up. Then it seems I'd have to worry about filing tax documents for the LLC. Maybe I'm overthinking and a simple joint account would work.
Any guidance is appreciated.
Posted on 2/1/23 at 10:55 am to notbilly
I believe that the Medicaid asset limit is $2,000 here in Louisiana so in our case there wouldn't be an issue with a joint account as long as it, along with any other accounts, doesn't exceed that limit at (I think) midnight leading into the first of each month.
Best of luck to yall, I know that nursing home situations can be tricky.
Best of luck to yall, I know that nursing home situations can be tricky.
Posted on 2/1/23 at 11:27 am to notbilly
How about your siblings and you open a checking account in your names only and giving your mom a debit card to use?
Posted on 2/1/23 at 3:54 pm to ev247
quote:
I believe that the Medicaid asset limit is $2,000 here in Louisiana so in our case there wouldn't be an issue with a joint account as long as it, along with any other accounts, doesn't exceed that limit at (I think) midnight leading into the first of each month.
That is what I was told as well. The problem with using her one account is that we'd have to constantly monitor it to make sure that account balance doesn't get too high. We'd prefer an account that would could dump money in and not worry about for a few months. This isn't income or her assets, but if it's in her name, that is how it would be seen.
quote:
Best of luck to yall, I know that nursing home situations can be tricky.
Thanks. The learning curve on this is a more than I care to take on, but there isn't another option.
Posted on 2/1/23 at 3:56 pm to PlanoPrivateer
quote:
How about your siblings and you open a checking account in your names only and giving your mom a debit card to use?
That seems to be the best option at the moment. Thanks
Posted on 2/1/23 at 8:09 pm to notbilly
quote:
How about your siblings and you open a checking account in your names only and giving your mom a debit card to use?
Do this, the asset is not your mother's, how your siblings and you wish to have this money spent is your business.
Posted on 2/1/23 at 11:48 pm to PlanoPrivateer
quote:
How about your siblings and you open a checking account in your names only and giving your mom a debit card to use?
Maybe a pre-paid credit card as an alternative?
Posted on 2/2/23 at 1:26 pm to PlanoPrivateer
quote:
How about your siblings and you open a checking account in your names only and giving your mom a debit card to use?
Open a venmo account. Get a debit card for it and let her have the debit card. Add money to it when you need to. You can also set up any direct deposit to automatically deposit into the account. Saves the trouble of having to open a checking account somewhere
This post was edited on 2/2/23 at 1:37 pm
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