NY State transfer of assets to children

[nucemgd]

NY State

Can your parents "transfer" a house into their childrens names?

My parents and my sisters agree that we would like to protect my parents properties in the event that either of them become disable or end up in a nursing home.

My parents are married yet haven't lived together in 20yrs, they are not legally separated. They have an excellent relationship and my mother has been living with a man for 15yrs. My parents have filed taxes as married living together even though that is not technically correct.

There are two properties, one completely paid for the other with a small mortgage and a lot of land. My parents names are on each others titles/deeds.

My mother would also like her partner to have "half" of her assets when she is gone. The family agrees with this as the man has been her caretaker for some time. This "half" is from my mothers side only and we have discussed that it would not include my fathers assets in the event that he passes before my mother. I assume that even though my parents have not lived together for many years that my mother would still get the house/money, etc...

What is the best solution to ensure that their properties stay with the children in the event one of them needs long term care?

My parents are going to discuss with an estate attorney soon but I wanted to do a little research too.

Sorry for the long post!!

Thanks in advance

 

[TinkerBelleLuvr]

My parents have filed taxes as married living together even though that is not technically correct.

I want to only address this issue. since your parents are married to each other, their only choices on file is married, filing jointly, or married, filing separately. This is assuming that neither party is providing more than half the support of a dependent that would allow them to file as had of household. Therefore, your parents are filing correctly.

 

[curb1]

You said, "What is the best solution to ensure that their properties stay with the children in the event one of them needs long term care"?

They will probably have to sell the houses to pay for "long term care". Are you planning on paying their care for them?

 

[nucemgd]

"You said, "What is the best solution to ensure that their properties stay with the children in the event one of them needs long term care"?

They will probably have to sell the houses to pay for "long term care". Are you planning on paying their care for them?"

I guess I don't really know. I'm unsure if Medicare pays for ltc or what.

 

[trust_id_09]

Medicare does not pay for LTC

"You said, "What is the best solution to ensure that their properties stay with the children in the event one of them needs long term care"?

They will probably have to sell the houses to pay for "long term care". Are you planning on paying their care for them?"

I guess I don't really know. I'm unsure if Medicare pays for ltc or what.

Medicaid does, but she has to declare poverty first. How is she going to manage that while owning properties?

A viable solution would be to put the property(ies) in Trust and perhaps you, as the Trustee and gift the property to the children when they become of age.

That said, there is a caveat though, she will incur a 60 months penalty before she qualifies for institutional madicaid(i.e. Long term Nursing home stay).

Good Luck!

 

[FlyingRon]

Could be longer, could be shorter depending on the value of the property and what the state computes the daily LTC cost to be.

 

[trust_id_09]

Ltc

Could be longer, could be shorter depending on the value of the property and what the state computes the daily LTC cost to be.

Actually, the State set the term whether one establishes a trust or transfers assets outright. It is still 60 months until further notice (i.e. Big brother decides to change the term). It used to be three (3) years for assets transfers outright and five (5) for Trusts. Big brother is watching and trying to catch up with the writer of that post.

 

[Zigner]

Why shouldn't the parents' assets be used to pay for their care? Why should the rest of us shoulder the burden?

 

[trust_id_09]

Tax Payers shoulder burden all the time...

Why shouldn't the parents' assets be used to pay for their care? Why should the rest of us shoulder the burden?

I did not create the loop hole Zig. I am not happy about it either. But the Law makers dont care about Jane like myself, these loopholes are created to benefit the big wigs.

Why can't the educated minds capitalized on what the rich have been milking for years. Only now, w/ more access, i.e. forum like this one, educate the average folks to take advantage of the Laws of the Land and nibble at a little piece of the pie. Even if it is at the expense of you and me as taxpayers.