Asset Protection & Medicaid Planning

Safeguarding Your Future

At Boroja, Bernier & Associates PLLC, we understand the importance of protecting your wealth and ensuring that it is passed on to future generations without the threat of creditor claims, lawsuits, or Medicaid recovery. Our team specializes in asset protection strategies that provide peace of mind for individuals and families throughout Macomb County, Oakland County and Metro Detroit. Whether you’re preparing for long-term care or simply seeking to shield your assets, we can help you navigate the complexities of Medicaid planning and asset protection trusts to safeguard your financial future.

Medicaid Asset Protection Trusts (MAPTs)

A Medicaid Asset Protection Trust (MAPT) is a powerful tool designed to help individuals qualify for Medicaid long-term care benefits while preserving assets for their loved ones. Medicaid has strict income and asset limits, which can make it challenging to qualify for coverage, especially when individuals have significant savings or property.

A MAPT allows you to transfer ownership of certain assets into an irrevocable trust, meaning that the assets are no longer considered part of your estate when applying for Medicaid. This strategy helps protect your wealth from Medicaid’s “look-back” period (usually 5 years), which could penalize you for asset transfers made within that time frame. By placing assets into a MAPT, you can reduce your countable assets, allowing you to qualify for Medicaid while ensuring that your hard-earned assets are passed down to your heirs.

Key Benefits of Medicaid Asset Protection Trusts:

• Protect Assets from Medicaid Recovery: MAPTs can safeguard assets from being used to pay for long-term care services, ensuring your resources are preserved for your family.
• Avoid Medicaid Penalties: MAPTs allow you to make asset transfers that comply with Medicaid’s rules, minimizing penalties.
• Control During Your Lifetime: While the assets are no longer in your name, you can still retain some control over the trust, such as the ability to receive income generated by the trust assets.

Asset Protection Trusts

An Asset Protection Trust (APT) is another effective strategy for shielding your assets from creditors, lawsuits, and other financial threats. Unlike a MAPT, which is specifically designed for Medicaid planning, an APT is used to protect assets in the event of lawsuits, judgments, or claims from creditors.

An irrevocable asset protection trust works similarly to a MAPT by transferring assets out of your ownership, but it focuses on protecting those assets from potential financial risks such as lawsuits. Once assets are placed into an APT, they are no longer accessible to you or your creditors, providing a level of security against potential financial challenges.

Key Benefits of Asset Protection Trusts:

• Shield Assets from Creditors: APTs provide protection from creditors, including those involved in business disputes or personal lawsuits.
• Preserve Wealth for Future Generations: The assets held in an APT can be passed on to your heirs without the risk of being lost to creditors or claims.
• Tax Advantages: In some cases, an APT can provide tax benefits by reducing your estate’s taxable value.

Combining Medicaid Asset Protection with General Asset Protection

Both MAPTs and Asset Protection Trusts are essential tools in a comprehensive estate plan. By combining these strategies, you can protect your wealth from both long-term care expenses and potential financial risks. Whether you’re facing the need for long-term care or seeking to shield your assets from creditors, these trusts can offer significant peace of mind.

How BBA Law Can Help

At Boroja, Bernier & Associates PLLC, our team of attorneys are dedicated to helping individuals and families protect their financial futures. Our attorneys specialize in Medicaid planning and asset protection strategies that safeguard your assets from creditors, lawsuits, and Medicaid recovery. We work with you to tailor a plan that meets your unique needs, ensuring that your assets are protected while also maximizing eligibility for Medicaid long-term care benefits.

Contact us today at 586-123-4567 to schedule a free consultation and learn more about how Medicaid Asset Protection Trusts and Asset Protection Trusts can help you protect your future and your family’s legacy.