by Olivia Wann

Perhaps you know an elder orphan.  The term elder orphan describes senior individuals living alone with little to no support system.[1] Maybe I’m a future “elder orphan” having not had children. This message resonates with my heart because I serve a population of elderly clients locally who are basically elder orphans, whether they have children or not.

By Olivia Wann

First let’s establish the difference between IRS rules and Medicaid eligibility rules.

The IRS sets limits on the amount you can give to another person without having to pay tax. In the year 2025, the annual gift tax exclusion is $19,000 per person or entity. This means you can give up to $19,000[1] to a person without paying a gift tax. Note that gift tax rates range from 18% – 40% and the donor—you—would pay the tax.

by Olivia Wann, JD

As discussed in prior videos, Medicare only pays a maximum of 100 days for nursing home care costs. The remainder of long-term care would be an out-of-pocket expense or covered by Medicaid if you qualify.  The state’s Medicaid program would seek reimbursement for funds paid for long term care meaning your home could be recovered by the state to satisfy any monies owed for your nursing home stay. The state can force a sale through a public auction.