Masshealth Exemptions: Funeral Expenses

Question: My mother is 95 years old and we are considering nursing home.  She has a total of approximately $20,000.00 in assets.  Can we save some of this money before applying for her nursing home services? 
 
Answer: Unfortunately, given her age, she can't simply transfer her funds to you.  So, let's find ways to spend her money down to $2,000.00 on the day of her nursing home admission. At that point, Masshealth will cover her nursing home costs.    
 
Here are a few opportunities for helping your mother spend down her assets:
 
Funeral / Burial expenses: your mom's money can be used toward the following:
 

• Cost of a burial plot;
• Up to $1,500 cash per person that is specifically set aside for funeral and burial expenses.   (This amount must be in separate, identifiable accounts; or in the form of life-  insurance policies up to $1,500 per person specifically set up for funeral and burial   expenses);
• Money set aside in an irrevocable prepaid burial contract or an irrevocable burial in reasonable amounts for future payment of funeral or burial expenses.

 
Shopping spree: your mom can buy new clothes or a TV.  It is best to track these expenses (don't use large sums of cash withdrawals from her account) and try to keep each single check or debit card transaction under $1,000.00.  This will help during the financial review portion of your application with Masshealth. 
 
Legal services: take her to see an attorney who can help the difficult Masshealth application process.  You will thank your mom taking this incredible administrative burden off your back.