long term care  

The substantial cost of nursing home care for an elderly person can wipe away a family's savings and a family's inheritance plan.  Most people end up paying for nursing home care out of their savings until they run out, then they can qualify for Medicaid to pay for long term care.  Careful planning is necessary to make sure you receive benefits to which you might be entitled and to help protect your estate from such costs at the same time. 

Medicaid

People seeking Medicaid must satisfy an "income test" and a "resource test." A person whose income or assets are too high will not qualify for Medicaid benefits.  Both the Federal and the State Medicaid laws and rules are complicated and constantly changing.   It is important to understand that assets which have been given away (or sold for less than fair market value) can cause a penalty and a subsequent delay in eligibility for the Medicaid.  When you apply for Medicaid, you must disclose all gifts you have made within the last five years. The rules are different for married couples and many of the planning opportunities are only available to couples. However, both married couples and individuals may benefit from proper planning.

specialized trusts  

An Income Trust may allow you to qualify for Medicaid even if your income is above the Medicaid limit. These trust beneficiaries are, but for their level of income, otherwise eligible for Medicaid.  A Special Needs Trust allows a parent, grandparent or guardian to provide funds for a disabled child or adult without interrupting that person’s eligibility for government assistance.