This matter arose from the imposition of a transfer penalty on Petitioner’s receipt of Medicaid benefits. Beginning in 2018, Petitioner resided with her son, R. R., and R. R. ‘s wife. Petitioner previously resided in her own home. On November 1, 2018, Petitioner and R. R. executed a “Room Rental Agreement, ” wherein Petitioner agreed to.. read more →

A New Jersey appeals court ruled that a Medicaid applicant who began paying her daughter after the daughter provided two years of free caregiving did not rebut the presumption that a transfer of assets to a relative who previously provided services for free is an uncompensated transfer of assets for Medicaid purposes. E.B. v. Division of.. read more →

E.A. began residing in a home owned by her adult daughter, B.C., in September 2004. From September 2004 to June 2005, B.C. received no compensation for any caregiver services or lodging provided to her mother. From June 2005 to September 2006, B.C. received E.A.’s Social Security benefits of approximately $1500 per month to offset the.. read more →

A New Jersey appeals court held that payments made by a Medicaid applicant to her daughter pursuant to a written care agreement under which the daughter provided various services were actually gifts and subject to a transfer penalty. P.W. v. Division of Medical Assistance and Health Services (N.J. Super. Ct., App. Div., No. A-4756-11T3, April 29,.. read more →

Very often, family members provide assistance in caring for an aged or disabled loved one.  The assistance is often provided at great personal and financial sacrifice by the family member involved in care-giving. One way to alleviate the financial sacrifice experienced by the care-giver to some extent is by utilizing a Personal Services Contract (“PSC”)… read more →

(The following is part of a discussion, taken from a listserv, or electronic bulletin board, concerning benefits available for veterans, their dependents and survivors from the Department of Veterans Affairs.) Question: I have a client who has applied for Aid and Attendance Benefits (A&A) from the Department of Veterans Affairs (VA). The client is moving.. read more →

Here are my selections for the top ten (10) twelve (12) New Jersey elder law / public benefits / Medicaid cases decided in 2010: (1) R.C. v. Division of Medical Assistance and Health Services and Hudson County Board of Social Services, OAK DKT. NO. HMA 08047 – 10 (Hudson County, October 22, 2010): Judge Awards.. read more →

A New Jersey administrative law judge (ALJ) recently held, contrary to a court order awarding wages for services rendered, that a payment to the adult children of a Medicaid applicant for services rendered under a power of attorney was properly considered to be a gift by the State’s Division of Medical Assistance and Health Service.. read more →

A New Jersey appeals court recently held that a life care contract between a nursing home resident and her daughter, in which the resident paid her daughter a lump sum for the future provision of personal care services, is not a transfer for fair market value for the purposes of Medicaid eligibility. E.S. v. Division.. read more →

In a matter involving personal service agreements, five petitioners brought a court action challenging determinations by the Oneida County and Herkimer County Department of Social Services (DSS) which denied Medicaid benefits to applicants who had executed personal service agreements while residing in a nursing home.  In each case, DSS found there had been a transfer.. read more →

Combining a series of related cases, a New York appeals court determined that five Medicaid applicants’ personal service agreements that provide lump sum payments for future services are transfers of assets for less than fair market value. Matter of Barbato v. New York State (N.Y. Sup. Ct., App. Div., 4th Dept., No. 711 TP 08-02216, Aug… read more →

As I reported in a blog post in October at, ALJ Paone ruled, in a case entitled C.S. v. Division of Medical Assistance and Health Services and Union County Board of Social Services, that Medicaid applicants who prepaid for personal care services to be provided in the future by family members under Life Care Contracts were ineligible for.. read more →

The pace of decisions in Medicaid appeals has picked up recently, with several significant decisions being rendered in courts and administrative agencies in New Jersey. As a result, there has been a spike in interest by attorneys who seek to identify and understand the estate planning strategies that can successfully accelerate eligibility for Medicaid benefits.. read more →

What emerging case law is demonstrating about Medicaid planning techniques: SITUATION PLANNING TECHNIQUE Applicant does not have a community spouse Use a promissory note with a “gift and loan” strategy. G.L. v. DMAHS, Docket No. HMARP 05080-2008N (Middlesex County), Final Agency Decision Oct. 23, 2008. Applicant has a community spouse Use funds above the resource.. read more →

In a trio of cases which were consolidated because the cases presented a common question of law, NJ Administrative Law Judge Joseph A. Paone recently ruled that a Medicaid applicant’s prepayment for personal care services to be provided in the future by a family member under a Life Care Contract constituted a transfer of assets.. read more →