Would paying off a home equity line of credit with present assets and keeping it active for 9 more years be a way of keeping that money from my estate upon death. I understand that it would no longer be available upon my death but would not go to government if I were in a nursing home with no other assets? Thank You
2 Answers from Attorneys
The fact you do not owe the money on a home equity line would not protect you from either estate taxes or a medicaid lien.
If you put your home in a qualified personal residence trust (QPRT) and do not need the assistance of medicaid for at least 5 years from the date you transfer the home into the QPRT, then it will be protected from attachment from medicaid under current law.
I suggest you sit down with an attorney and examine your options to protect the home as well to limit any potential tax or gift tax implications.
The best thing you can do is schedule an appointment with an estate planning attorney. There are many moving parts to an estate plan, all of which must work together. Asking a question about any one aspect of an estate plan will not be helpful to you. You are more than welcome to contact our office.
Related Questions & Answers
I live in Massachusetts , I a'm Conservator for my Sister in Connecticut , my... Asked 6/29/13, 11:47 am in United States Massachusetts Elder Law
Should my 82 year old uncle have his two nieces and one nephew (me) listed as... Asked 4/25/13, 9:12 pm in United States Massachusetts Elder Law
A potential employer sent me e-mail that stated I was not being considered because I... Asked 3/31/13, 5:44 am in United States Massachusetts Elder Law
Who should NOT be attempting to have an irrevocable trust. My status is married,... Asked 2/25/13, 5:40 pm in United States Massachusetts Elder Law
Are all documents from Legal Zoom recognized in the Ma. Courts or should I hire... Asked 2/22/13, 11:52 am in United States Massachusetts Elder Law