[WSBAPT] Thanks but no thanks ..

[Marcus Fry]

Andrew:
Disclaimer is a gift under Medicaid rules.  Sorry I don’t have the cite handy.  If she is under the age of 65, a self-settled d4A (Medicaid payback) trust will work.  With the TEDRA, risk Medicaid asserting it was a gift.  Honestly, the Trust works really well because the assets can be spent over time.  Unless it is a huge amount, there is usually no payback because the assets are spent down.  I just got done with a client administering one of these trusts and there was $50 left.


Marcus J. Fry
Lyon, Weigand & Gustafson, P.S.

Confidentiality: This e-mail transmission may contain information which is protected by attorney-client, work product and/or other privileges.  If you are not the intended recipient, you are hereby notified that any disclosure, or taking of any action in reliance on the contents, is strictly prohibited.  If you have received this transmission in error, please contact us immediately and return the e-mail to us by choosing Reply (or the corresponding function on your e-mail system) and then deleting the e-mail.

From: wsbapt-bounces at lists.wsbarppt.com [mailto:wsbapt-bounces at lists.wsbarppt.com] On Behalf Of Andrew Hay
Sent: Tuesday, February 23, 2021 11:10 AM
To: WSBA Probate & Trust Listserv
Subject: [WSBAPT] Thanks but no thanks ..

Listmates

I have an estate where a nonprobate checking/savings account is divided 4 ways among the decedents 4 children.  One of the children– the only daughter --  is physically disabled receiving Medicaid and social security benefits.  There is a fair amount of money involved.

Under the will the daughter’s 25% goes outright to her long time partner (not married) – no trust is involved – he is the beneficiary.  The will, however, does not have language that would supersede the beneficiary designations on the account.  The 4 kids had expected this account would go through the estate but mom and dad named the 4 of them as beneficiaries on the account and now the bank wants to send the 25% to each of them.

Family wants to get this account back into the estate or have daughter to disclaim her 25%.  Or somehow avoid daughter losing benefits.

Options?

Can she disclaim a nonprobate asset?
Does SSA or Medicaid look fondly on disclaimers?
Can the family do a TEDRA agreement to work around this?



Andrew Hay
Hay & Swann PLLC
201 S. 34th St.
Tacoma, WA 98418
www.washingtonlaw.net<http://www.washingtonlaw.net/>
andrewhay at washingtonlaw.net<mailto:andrewhay at washingtonlaw.net>
253.272.2400 (w)
253.377.3085 (c)
THIS IS A CONFIDENTIAL COMMUNICATION AND IS INTENDED FOR THE DESIGNATED RECIPIENT ONLY.  IF YOU HAVE RECEIVED THIS COMMUNICATION IN ERROR, PLEASE NOTIFY THE SENDER IMMEDIATELY AND DESTROY ALL COPIES

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20210223/62130821/attachment.html>