Western Pennsylvania Medicaid Planning Attorney Pittsburgh Probate Lawyer PA

1. How do I protect my assets from nursing home costs?

There are several ways to protect your assets from nursing home costs. If you plan in advance you will have more alternatives. Advance planning includes the following: the use of irrevocable trusts, gifting, converting non-exempt assets into exempt assets, permissible spending down and the purchase of annuities and long term care insurance. Of course, every situation is different. If you consult our offices, we will go over your individual situation. We will also tell you the benefits and detriments (if any) of each alternative.

2. What is the difference between a Will and a Trust?

A Will takes effect after you pass away. Generally, if your estate is over $25,000 and if you have a Will your estate may have to go through probate. There are many types of trusts. A Living Trust is the type of Trust that most people have. If you have a Trust and have transferred your assets to the Trust, then your estate will not have to go through probate.

3. What is probate?

Probate is a court process. Generally, there are several steps to the probate process. The court appoints a person to be in charge of the decedent's estate. This person is called the personal representative. The personal representative gathers the decedent's assets; pays the decedent's appropriate bills; he or she may sell certain of the decedent's assets; files tax returns; and distributes the decedent's assets to the appropriate persons or entities. All of this is done under the court's supervision.

4. What happens if I die without a Will?

In Pennsylvania if you die without a Will the Laws of the Commonwealth of Pennsylvania dictate who will be in charge of your estate and who will inherit your estate.

5. What is a guardianship proceeding?

A guardianship proceeding is also a court process whereby the court appoints a person or entity to be in charge of your affairs if you are unable to do so. All of this is also done under the court's supervision. A proper estate plan may avoid the need for a guardianship.

6. My parent has just passed away. Do I have to pay his/her bills?

Generally, you are not responsible for your parent's bills (unless you have assumed the responsibility by signing for them). If you become personal representative of your parent's estate, you will be responsible to pay his/her bills but only out of his/her assets (not out of your assets).

7. Why do people want to avoid probate?

Probate has become a bad word in our society. It can be a time consuming and costly process. Proper estate planning can avoid probate. If you do need to go through the probate process, our office can help you through every step of the process.

8. Should I put my house in joint tenancy with my children?

Usually it is not a good idea to put your house in joint tenancy with your children. First, if your child is sued, his/her creditor can collect any judgment the creditor has against your child from the equity in your house. Second, if your child wants to sell the house when you pass away, your child may have to pay unnecessary capital gains taxes if you gift your house to your child while you are alive. Third, if you go into a nursing home and need to qualify for Medicaid, the State may have a lien on your house for any amounts paid for Medicaid benefits.

9. How do I protect myself if I do not wish to be kept alive on life support machines?

A document called an Advanced Directive of Living Will will protect you from this situation.

10. Does a Living Trust protect my estate from nursing home costs?

No. Living Trusts do protect your estate from the need for probate and a guardianship proceeding and may in some cases save taxes. But, if your assets are in a Living Trust and you need to go into a nursing home, then all of the assets contained in the Living Trust will be counted to determine whether or not you qualify for Medicaid.

Frequently Asked Questions