DPW
Changes the
N
umbers
The
Department of Public Welfare has revised some of its rules regarding
eligibility for Medicaid payment for long term care.
In a recent Operations Memorandum (OPS040811) the Department
provided written notice of the following changes:
1. The
long term care facility monthly private pay rate is increased to
$5,787.38. This figure is used to calculate the length of the Medicaid
waiting period that results from transfers of assets that are non exempt
from fair consideration rules.
2. The
Community Spouse Basic Minimum Monthly Maintenance
N
eeds Allowance is raised to $1,562. The
Excess Shelter Standard is increased to $469.
3. Due
to interest rate shifts, the CD interest rate of 3.0% used in the
calculation of community spouse income is adjusted to 1.5%.
A rate of 1.5% is to be used in these spousal computations.
4. Some
life expectancy tables are updated.
5. The
requirement of face-to-face interviews on reapplication determinations has
been eliminated.
The new amounts, procedures and life expectancy
tables are to be implemented retroactively effective
July 1, 2004
.
Things
to Consider Before Cashing
Your
Savings Bonds
Written By:
Attorney, Kevin Grebas, Marshall & Associates.
Deciding
on the best time to cash in your
US
savings bonds is more complicated than many people realize. There are
several important factors that the savvy investor will want to analyze
before making his or her decision.
First, the investor should consider the rate at which
the savings bonds are earning interest.
In today's low-interest climate, people may be surprised to learn
that their savings bonds are actually providing them with a higher rate of
return than many other available investment options.
The current interest rate on newly purchased I Bonds is 3.39% and
Series EE Bonds earn 2.84%. Rates
on savings bonds change every May and December.
Penalties are another important consideration for
investors. Both Series EE
Bonds and I Bonds impose early redemption penalties.
While investors may sell their bonds after one year, they will
forfeit the interest earned for the three most recent months if they
redeem the bonds within the first five years of purchase.
After the first five years, there are no penalties for selling the
bonds.
The date on which the savings bonds accrue interest
is yet another factor that investors should consider in deciding when to
liquidate. In order to avoid
forfeiting interest unnecessarily, investors need to know when their bonds
accrue interest payments. Interest
is paid to Series HH Bonds only twice per year.
Investors who cash these bonds just one day early will lose six
months worth of interest. There
is less of a concern with bonds that add interest at the beginning of
every month; and investors looking to sell these bonds may want to do so
at the beginning of the month, as soon as the interest payment has been
posted.
Investors should also be aware of the distinction
between the original and final maturity dates of their savings bonds.
The date on which a Series EE bond is worth its face value is known
as its original maturity. Original
maturity dates are important for paper Series EE bonds which are sold at
one-half of their face value. The
amount of time it takes to reach original maturity is determined by the
bond's interest rate. Final
maturity, on the other hand, is the date on which a bond stops earning
interest. This occurs 30
years from the date of purchase for I Bonds and most Series EE Bonds and
20 years from the date of purchase for Series HH Bonds.
Investors should keep track of all their savings bonds so that they
do not hold bonds that are no longer earning interest.
Deferring taxes is something that interests many
investors. The interest
earned on savings bonds is exempt from state and local income taxes but
not from federal income tax. With
I Bonds and Series EE bonds, investors can defer reporting and paying
taxes on the interest earned by the bonds until the year the bonds are
sold. Up until August 31st
of this year, investors also had an option of continuing deferral of
federal income tax for an additional 20 years by exchanging Series EE
Bonds for Series HH Bonds. However,
this option is no longer available.
By doing a little research, investors can ensure that
they sell their savings bonds at the appropriate time and maximize the
return on their investment. More
information on
U.S.
savings bonds is available at http://www.publicdebt.treas.gov/sav/sav.htm.
Attorney
Grebas can be contacted at the
Wilkes-Barre
office of Marshall & Associates, 570-822-6919, or by e-mail at webmail@paelderlaw.com.
Does
Your Club Or Organization
N
eed
A Speaker?
If
you are interested in having an attorney or geriatric planning specialist
from
The
Elder Law Firm of Marshall & Associates speak to your group, or at an
upcoming event, please contact
our
Public
Ed
ucation
Coordinator, Melissa Bottorf
at
mbottorf@paelderlaw.com
or 1-800-401-4552
Lisa
Barner Promoted to
Assistant
Department Manager
Lisa
Barner, a Planning Specialist for the Elder Law Firm of Marshall &
Associates, has been promoted to Assistant Department Manager of the
firm's Long Term Care Services Department.
In her new position, Lisa will continue to assist
seniors and their families with long term care planning issues, including
Medicaid eligibility and home care options.
N
ow she will also be responsible for working closely with the firm's
Department Manager and lawyers to supervise and assist department staff in
the life care planning process and in providing ongoing analysis of
regulatory and planning changes.
Lisa
received her B.S. in social work from
Lock
Haven
University
in 1993. She has been
certified as a care manager by the
N
ational Academy of Certified Care Managers, and is a member of the
N
ational Association of Social Workers and the Family Caring
N
etwork. Lisa has been a planning specialist at Marshall & Associates
for 8 years.
Back
issues of The
Elder Care Law Alerts
are available on our website.
You
can even search our site by a keyword
or phrase!
Marshall
& Associates Holds Bake-Off to Benefit
Alzheimer's
Memory Walk
This year the Marshall & Associates Memory Walk
team will be hosting a Bake-Off to raise money for the Alzheimer's
Association.
Staff members will be baking delectable desserts that
will be available for tasting on Friday, October 1st from
9:00AM-1:00PM
at the Marshall & Associates offices in
Williamsport
and
Jersey
Shore
. Stop in to one of those offices for a sampling of the desserts and to
vote for your favorite by placing a dollar in the ballot box.
Whichever dessert receives the most "votes" wins and the money
raised will go to the team's Memory Walk contribution total.
Do you enjoy really delicious desserts?
Do you have a favorite staff member at Marshall & Associates
who you would like to support? Come
out and support them by voting for their baked goods and donate to a great
cause at the same time!
If you have questions about the bake-off or would
like to make a donation to our team, please contact Melissa at
1-800-401-4552 or at mbottorf@paelderlaw.com
CLICK
HERE to visit our team's website
"Paying
for Long Term Care" Presentations Set
G
etting good information about options for long term care is critically
important for seniors. Four out of every ten people reaching age 65 will
spend some time in a nursing home and many more will require home care and
assistance with daily living.
The
Elder Law Firm of Marshall & Associates is known throughout
Pennsylvania
for the expert help we provide seniors who are faced with long term care
needs. We help families struggling to care for their loved one at home
find the programs and financial help they need.
If
nursing home placement becomes necessary, we work with the facility to
help make the transition go as smoothly as possible. We make certain that
the nursing facility gets paid in a timely manner while helping the family
qualify for government programs that help pay the costs.
Marshall
& Associates occasionally holds free educational forums to help
educate families about the options that are available to pay for long term
care in the home or a nursing home. Join
us for one of these free presentations and learn what you need to know
about how to get the help you need and protect your family's financial
security when your spouse or parent is faced with a long term illness.
Each
presentation is FREE and open to seniors, their families, elder care
professionals, and anyone else who needs to learn more about this complex
subject. Each presentation
lasts about 1 ½ hours, including a "Question & Answer" Session.
-
Wednesday,
September 8th, 2004
at
6:30PM
Lycoming
Mall Community Room
Pennsdale
-
Wednesday,
September 15th, 2004
at
11:00AM
Marshall
& Associates Conference Room
1065
Highway 315,
Suite
402
Wilkes-Barre
-
Thursday,
September 16th, 2004
at
6:30
PM
Evangelical
Community
Health
Center
Rte
15,
Staples
Plaza
Lewisburg
Reservations
are suggested, but not required. SIGN
UP ONLINE
or call 1-800-401-4552 for more information or to reserve your spot for
one of these free seminars!
Reservations
are suggested, but not required. SIGN
UP ONLINE
or call 1-800-401-4552 for more information or to reserve your spot for
one of these free seminars!
Back
issues of The
Elder Care Law Alerts
are available on our website.
You
can even search our site by a keyword
or phrase!
Do
you have a friend or colleague who would enjoy reading the
Elder Care Law Alert? If
so, please feel free to forward it to them. Simply use the "Forward"
button on your e-mail program.
To
subscribe or unsubscribe to the Elder Care Law Alert,
simply
send your request to:
webmail@paelderlaw.com
*Attorney
Marshall
is certified as an
Elder Law Attorney by the
N
ational Elder Law
Foundation under authorization from the Pennsylvania Supreme Court
© 2000-2005
Marshall & Associates www.paelderlaw.com
