Gift Exemptions

There are a few broad gift exceptions that don’t incur penalties. Here they are:
  • gifts between spouses;
  • gifts to disabled children; and
  • gifts to disabled persons under age 65.

There are some special exceptions that relate to the Medicaid application’s home. If a child lives in the home and keeps the parent out of the home for more than two years, the parent can transfer title to the home to that child. Also, if there is a child under age 21, the parent can transfer title to the home to that child.

There are some very useful asset protection powers within these gift exemptions. We know how to navigate these exemptions to the best advantage of our clients’ goals. These exemptions can be so powerful as to keep all assets within the family that would be subject to
spend down. If you would like to find out more about how these exemptions could help protect your family‘s hard earned assets, contact us for a consultation.