Deficit Reduction Act of 2005. This presentation covers the Medicaid Asset Transfer and Partnership portions of this law only Current as of: July 1, 2006. President Bush (At Bill Signing February 8, 2006).
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Deficit Reduction Act of 2005
This presentation covers the Medicaid Asset Transfer and Partnership portions of this law only
Current as of: July 1, 2006
“…without reforms to entitlement programs, spending for Medicare, Medicaid and Social Security alone will be almost 60% of the entire federal budget by 2030.
That will leave future generations with impossible choices -- staggering tax increases, immense deficits or deep cuts in every category of spending”
Pickler, AP/Houston Chronicle, 2/8/06
Review for any transfer made for under fair market value back to 04/01/06
Review for any transfer made for under fair market value back to 04/01/04
1 Only transfers made for “under fair market value”
A penalty period of 51 months, starting 3/1/06 – 14 months left to pay
A penalty period of 51 months, starting 4/1/10
1 The home is exempt for the first 6 mos. 2. States can increase to $750,000
State LTCi Partnership Program
1. Four states were allowed full Partnership Plans during this time. The states were New York, Connecticut, Indiana and California.
1 Even if policy is re-issued, this requirement is based on the age of original sale.