To Our Clients and Friends: Below are updated numbers for 2021 that are frequently used in our Elder Law practice and which may be of interest to clients: Medi-Cal Spousal Impoverishment Numbers for 2021 The new Community Spouse Resource Allowance (“CSRA”) is $130,380. The Minimum Monthly Maintenance Needs Allowance (“MMMNA”) for the “At- Home” Spouse… Read More »
Blog Posts Page 9
Stimulus Payments Will Not Impair Medi-Cal, SSI, Nor Covered CA Eligibility
Q. My wife and I are both on SSI and Medi-Cal and we just received $1,200 under the federal stimulus program, and hope to receive another round if Congress and the new administration approve more. Will these payments mess up our public benefits, which we depend upon? A. The short answer is “No”. Some background may… Read More »
Medi-Cal Myths Uncovered
Q. In talking with friends, I discovered a lot of misunderstanding about how the Medi-Cal program works if one needs help with the high cost of nursing home care. I wonder if you would clarify matters. A. Sure. I have also discovered much misunderstanding, even among care professionals. Here are the most common “myths” regarding the… Read More »
Preservation of Parent’s Low Property Tax Rate Soon to Be More Difficult for Children: Planning ‘Window’ Closing
Q. I understand that the recently passed Proposition 19 on the California Ballot will make major changes in the property tax structure. Is that true? A. Yes, indeed. California voters just narrowly approved Proposition 19, overhauling our property tax rules originally stemming from the passage of Proposition 13 in 1978. Most notable are the new… Read More »
Consider Tax Savvy Year-End Gifts
Q. My wife and I are considering making large gifts to our two children and four grandchildren, and we would like to do so in a way that is “tax wise”. Do you have any advice for us? A. Yes. Many people mistakenly believe that one cannot gift more than $15,000 per year/person without incurring a… Read More »
Social Security Benefits To Increase Modestly in 2021
Q. Has there been any word as to whether there will be a cost-of-living increase in Social Security in 2021? A. Yes. Just recently, the Social Security Administration announced a 1.3 percent rise in benefits in 2021, an increase even smaller than last year’s cost-of-living increase. Cost-of-living increases are tied to the consumer price index,… Read More »
Special Planning for an Incapacitated Spouse
Q. My wife suffers from dementia and has been in a nursing home for some time. About a year ago, we put everything in my name so she could qualify for a Medi-Cal subsidy to help pay for her care. We currently have only simple wills which leave everything to the survivor of us, and… Read More »
Giving Your Home to Your Children Can Have Income Tax Consequences
Q. I am thinking about giving my home to my son now, so that probate can be avoided and my affairs simplified when my time comes. Any comment as to whether this plan makes sense? A. Caution: Giving your home to your son during your lifetime can have adverse income tax consequences. Example: assume that… Read More »
The ‘CARES ACT’ Allows You To Skip IRA MRD’s This Year
Q. What options would I have this year regarding my IRA Minimum Required Distributions, which I would normally take by year end? A. Good question. Here are three. While not intended as an exclusive list, they are top of mind for me: Option #1: Skip MRD’s Altogether This Year. This is a new option for… Read More »
Evictions Halted in California Through September 30, 2021
Q. I lost my job due to the Covid Pandemic, and now find that I am having difficulty paying my rent. I am worried about being evicted from the home my wife and I are renting. Is there any advice you can offer? A. Yes. Governor Newsom just signed Legislation (AB 832) on June 28,… Read More »