If you have a “living” trust your assets are still NOT safe from long-term care costs.
Here’s a free tip that even ‘savvy’ estate planning clients are often unaware of: revocable or ‘living’ trusts do not offer any protection from long-term care costs!
That’s right; even if you have set up a living trust to protect your assets from creditors and probate, your assets can still fall prey to the high costs of long-term care. If you or your spouse require nursing care later in life you could ended up spending all of the assets in your living trust (over $10,00 per month) before MassHealth will accept you.
But there is still hope. To fully protect your assets and home from long-term care costs, as well as creditors and probate, you need two things: (1) an irrevocable trust and (2) a five-year head start. Assets must be placed into an irrevocable trust at least five years prior to a MassHealth application in order to be fully protected. That means the time to plan is now!
Call the Heritage Law Center for a free consultation on how using an irrevocable trust can protect you and your loved ones now and in the future. The time to act is before you face a crisis. Call us today.