People often ask our law firm about taxes, and we understand their concern. We appreciate they dont want to pay any more money in taxes, and we certainly dont want to give the government any more money. We are sure many people feel they would prefer to give the money to their kids. That is why its important for you to know more about the four death taxes that apply to Pennsylvania residents. Only three of the taxes apply in other states, but Pennsylvania also has inheritance tax. The four taxes I want you to know about, with regard to your estate plan, are the Federal Estate tax, the Pennsylvania Inheritance tax, the Capital Gains tax and the Secure Act. The Federal Estate TaxThe Federal Estate Tax does not apply to middle-class Americans. The current exemption allows for you to die with up to $12.9 million each. That would be $26 million for a married couple. Everybody asks about federal estate tax  because in the 1990s, the lifetime exemption was below 1 $million. As a result, many people were affected in the 90s. Fortunately since then the exemption allowance has been increased.The Pennsylvania Inheritance TaxThe Pennsylvania death tax is an inheritance tax, owed by the people inheriting the money. Your relationship to the person who passed away, determines the amount of tax you pay. When you leave money to your descendants, including your kids and grandkids, they will pay 4.5% tax. Leaving money to your ascendants such as your parents or grandparents is also 4.5% tax.If you dont have kids, and you leave money to your siblings, they will pay 12% tax. Leaving money to anyone else, including nieces, nephews, friends or neighbors, requires they pay 15% inheritance tax. This is substantial amount of tax to pay. However, to avoid your heirs paying any tax, you have to give up control of your money, which I advise my clients not to do. Pennsylvania inheritance tax rates for siblings or nieces and nephews, is discriminatory. Essentially, we are also discriminating against couples who cant have children. This is particularly relevant in families where a couple without children, who wants to leave money to their nieces or nephews. It doesnt seem fair that the inheritance tax rate is 15%.Rather Pay Inheritance Tax Than Capital Gains TaxThere is this idea among seniors, who think that putting their house in their kids name to save their kid paying 4.5% inheritance tax, is a good idea. What they dont realize is that it is preferable to pay the Pennsylvania inheritance tax, compared to paying capital gains tax. I believe that if your child is going to inherit $100,000, he can afford to pay the 4.5% inheritance tax. You should not have to be concerned about saving him 4.5%.Capital Gains TaxA capital gains tax is due upon the sale of an asset that has grown in value. If dad bought his primary residence for $100,000 and he sells it for $300,000, the gain of $200,000 is largely exempt from capital gains tax. If dad gives the house to his son, his kid owns it for $100,000. Assuming that dad has to go to the care home a few years later, his son sells the house to pay for dads care. Since the house is not the sons primary residence, he has to recognize a $200,000 capital gain. The same principle applies to rental properties if they are not the primary residence of the person selling the property. Essentially, this family made a $54,000 tax mistake, given that the rate of capital gains tax is 18%.If you leave assets in your estate until you pass away, and it is held in a trust, your kid inherits the assets at date of death. While your child will pay Pennsylvanias inheritance tax which will be $13,500, the stepped up basis is applied. This means that the house that Dad bought for $100,000, is now worth $300,000. His son has inherited the house for the date of death value, which is $300,000. He is allowed to sell it for $300,000 without having to pay the capital gains tax. The Secure ActAnother tax you need to know about is the Secure Act, which passed in October of 2019 and became law in January of 2020. This is the biggest tax hike against the middle class.Most middle class Americans have all of their money in home equity and retirement accounts. If you have a retirement account, an IRA, or a 401k, this Secure Act will affect you.Before the Secure Act was implemented, if my dad passes away, leaving me his retirement account, it becomes my retirement account, known as the inherited IRA. This meant that money could stay in the stock market with tax deferred growth for several decades. I would need to take distributions at regular intervals, but most of the money would stay in the fund. Since the Secure Act, the rules have changed significantly. Now, when you pass away and you leave your retirement account to your kid, he has to pull all the money out of the account, within 10 years. This means that one loses out on many decades of tax deferred growth. In addition, if you inherit the money when you are 55, you are likely still working and paying high income tax. Now you have to add your dads 401k which means youll be paying even more income tax.Let Us Help YouIf you want to learn more about how to protect yourself and your legacy, come to one of our Three Secrets Workshops. Call 724-564-6615 to register.

What do you want to pass down to your children and grandchildren? Many people respond to that question by saying the house, a car, money, or Great-Aunt-Betty's ruby ring.But have you ever considered the things that you may be missing, such as the reason behind the family traditions you practice, lessons you've learned in life, or the stories that made you who you are today?All of these components make up your legacy. A legacy is a collection of items passed down from one generation of the family to the next. We are accustomed to hearing about the first set of answers above, but, until now, it hasn't been possible to pass down the things that aren't physical items.You have spent a lifetime creating family traditions, instilling values in your children, gathering real-life experiences and the lessons that come along with them. The possibility of passing on that information is incredibly powerful. Not only is it nostalgic and wonderful, but it also allows your legacy to live on far beyond your life.Imagine if you could record a video describing your family tree with photos and stories of each person rather than simply showing one on paper. What if you could leave a message to your future granddaughter to open on her wedding day one that is beyond your days? Conversely, what would it be like to watch a video of your grandparents having done that for you?Finally, technology has caught up to where you now have the opportunity to not only record these types of messages and stories but also secure them permanently and privately so they can be passed on to the family members of your choice.We all leave behind a legacy when we go, so I encourage you to consider this question: Are you passing down the right things?Editors Note: Article submitted by Robyn Sechler of Securing Memories. To secure your legacy visit www.SecuringMemories.com

"I didn't know how stressful this would be."This is a comment from a client of my firm, who recently placed her mom into a nursing home and is attempting to have Medicaid pay for the care. If you are in the process of applying for Medicaid benefits, you probably share this sentiment. A nursing home admission will result in tremendous financial stress for families. Nursing homes can cost more than $10,000 per month and you are often required to pay privately until you run out of money. The only other payment source is Medicaid, which has extremely complicated rules. Although there are exceptions, Medicaid generally allows a single person to keep up to $8,000 of available resources.Additionally, a single person can keep an exempt home and car. Unfortunately, once the person passes away, the state has a claim against their estate and the family may lose the exempt house and car. In the situation of a married couple with one spouse in the nursing home, the healthy spouse is allowed to keep half of the available resources (up to $123,600), plus the healthy spouse's retirement account, exempt house, and car. All other assets and potentially some of the family's monthly income must be spent on care. This can leave the healthy spouse destitute. When someone enters a nursing home, they must spend down their assets to the above limits to become eligible. Unfortunately, the process of spending down is confusing and full of pitfalls. Here are some mistakes to avoid: Spending down on the wrong items Applying at the wrong time Failing to make exempt transfers Misunderstanding the 5-year look back period Failing to protect the healthy spouse Working with non-lawyer Medicaid Advisors Failing to avoid Estate Recovery Failing to update Estate Planning Documents Thinking it is too late to protect assets Finally, many families fail to take advantage of more complex planning options.The law allows for several strategies that can be used to protect assets, especially if there is a healthy spouse. You probably won't learn these strategies from a caseworker, online, or from a nursing home employee. To be sure you are making the right decisions, you should consult with a Certified Elder Law Attorney to understand how to become eligible for Medicaid without making mistakes. If you are paying privately for nursing home care, call our office at (724) 841-1393 to schedule a Complimentary Initial Consultation.Editors Note: This article was written by Tim Sechler, Esq., a Certified Elder Law Attorney and Principal of Sechler Law Firm, LLC

I was at a family reunion recently, and I overheard a lady say that one of the challenges of getting old is seeing your parents aging. This lady is probably in her late 50s and she is the caregiver for her mom, who is in her 80s, with very serious health problems. Speaking with the owner of a relatively large business recently, he said that many of his employees are needing to take time off from work. This is because they are caregivers for their parents. This is a sign of the times, and there are an increasing number of people dealing with these issues.This One Is For The CaregiversMost of our presentations and educational content are focused on our clients, whether its retirees in their 60s or seniors in their 70s and 80s. We do estate planning across the generations, but given the increasing number of caregivers taking care of their parents, I wanted to reach out to the caregivers. The title of this blog What to think about when the unthinkable happens, refers to what we should think about and do as caregivers, if a parent becomes sick or passes away.Estate planning is really about the management of control and access. The control aspect refers to who is making the decisions, and access refers to what is allowed with regard to the finances. If my client has a stroke, or gets dementia, they may have mental faculty issues. As a result, they may not be able to manage their own affairs as they used to. If you notice your parents health is declining, as caregivers you need to consider the following:Power Of Attorney DocumentThe first thing you need is a document called a financial power of attorney, which shifts control when someone needs assistance. There are essentially two types of Power of Attorney documents:A springing power of attorney is based on the idea that you sign the document while you have the capacity, so that should anything happen, your child can take over. The problem is that nobody ever admits that they are losing capacity, especially if they have dementia. It then becomes a battle if the child needs to use the power of attorney, to act on behalf of a parent.The other type is a durable power of attorney, which you sign while you have your mental faculties. However, the document is effective immediately even if your child may not use it immediately. This type of Power of Attorney is preferred in most situations. Since dementia is progressive in nature, there will likely be a gradual decline in a seniors mental capacity. Over time, the child caregiver will need to take more responsibility to help their parent. Eventually the time will come when the parent cannot manage on their own. This is the time when the durable power of attorney will work, and is the primary way to plan for someones incapacity.Asset Protection Is ImportantAnother suggestion is to consider doing some asset protection, using an asset protection trust. I recommend these trusts for middle class and upper middle class families who are concerned about long term care expenses. We can work with you to create these trusts. The system in this country often results in seniors going broke if they need long term care. Nursing homes in Pennsylvania cost $180,000 a year and most people cant afford to pay that. Only when you are broke, can you get Medicaid benefits to pay the nursing home. Medicaid is the only payment source for long term care, and its important to understand the rules of Medicaid. One of the rules is that if you have transferred assets to an asset protection trust ahead of time, those assets are protected from long term care costs.We Can Help You To Find Long Term Care FacilitiesIf you have a parent who is starting to slip, they may need long term care at a later stage. Please take the time to understand the different types of facilities available to provide care for your loved one. We help our clients with this aspect, and we have a social worker on our team who is familiar with the different facilities. We help people find good care, which I believe is part of doing good estate planning.Take Care Of YourselfWhile you are taking care of a loved one, if you are a caregiver, you must get the resources to help you to take care of yourself. Here is link to a website with information on caregiver resources: https://www.hospiceandpalliativecareofkodiak.org/caregiver-resources. Jennifer who started this company did so after being a caregiver. She realized the many challenges that caregivers face from an emotional standpoint. You are not in this alone and you also need the support.Losing A Loved OneWhen we talk about the unthinkable happening, we are talking about losing a loved one. Perhaps youre the executor and you are wondering what you should do first if your loved one passes away. Let me reassure you that there is no legal or financial emergency that needs addressing in the first 48 hours. If you have just lost someone dear to you, allow yourself time to grieve. When it comes to the estate administration process, it is a marathon and not a sprint. This is especially pertinent when it comes to probate cases. Please contact the Sechler Law Firm or your estate planning attorney, to get help with the estate administration process. 

Think of your life as a story. In the early years, it was playtime and school. Then came love and work. Then came the kids, which eventually gave way to the empty nest years. Perhaps, you are lucky enough to have grandkids close by.During all these years, you've worked hard to be a good family member and neighbor. You've devoted yourself to your passions and interests. You've lived your version of the American Dream.Like all stories, though, yours too will end one day. After it does, how will you be remembered? Will you be remembered for all of the good things you've accomplished? Will they mention how great of a person/parent/neighbor you were?Or will your final chapters be marred by a lack of organization and planning? Will they say things like "He left us a mess to clean up," "He didn't have a will or trust, or even worse, "He lost it all in the nursing home"?I'll share something with you about my family. My grandfather spent his lifetime building a business and raising six kids. He was a WWII vet. He worked his tail off and was an active member of his small town. However, when I meet people who knew him, that's not what they tell me about.They almost all say something like "It's too bad he lost it all to the nursing home." See, my grandfather's last chapter isn't really about him. His last chapter was written by Alzheimer's Disease. It's about how he lost his cognition, his memory, and yes, his money.You don't have to leave this all to chance. You can plan for all of these issues. You can plan for a last chapter of dignity and respect. You can pick the stories they tell. You can choose organization over chaos. You can choose to leave a legacy over nursing home poverty. You can leave messages and instructions for your family. This planning requires you to become educated on your options and then you have to make the right decisions, just like you always have. The choice is yours; what's it going to be?Editors Note: This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC. Contact us at 724-841-1393 or www.SechlerLawFirm.com.*Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.

John recently attended one of our Sechler Law Firm Elder Law Workshops. At the beginning of the workshop, he asked one of the most common questions we get: Should I use a will or a trust in my estate plan?. Its a good question and one you should be asking yourself.There was a time when most middle-class people used wills.  Trusts were reserved for the rich and famous.  Those times are long gone. See, it used to be the case that trusts were primarily used by wealthy people to avoid taxes and administrative headaches.  Those are still great reasons for wealthy people to do trust planning.  But what about the Middle Class?At the Sechler Law Firm, we frequently recommend using trusts for a very specific reason: we want to protect our clients from nursing home costs. Consider the following:       One-third of seniors will develop dementia.        Two-thirds of seniors will need long-term care.        The average monthly cost of a nursing home is almost $15,000 per month.       The average nursing home stay exceeds two years.  When we are meeting with our retired (or soon-to-be-retired) clients, our job is to help them understand what issues could upend their retirement plans. The answer is almost always the risk of one of them getting sick.Simply stated, Asset Protection Trusts are the best way for most people to protect their home and savings from the crazy government rules that require you to go broke if you get sick.John was asking the right question.  The answer for him was to plan with a trust to protect his house.  Whats your answer for long-term care costs?Editors Note:  This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC.  See our ad on the Back Cover or visit www.SechlerLawFirm.com. *Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.

Your Kids Will Thank YouOne of the questions I often ask people who come to our workshops, is What do you want to accomplish when doing your estate plan?  Most people tell me they want to protect stuff from the nursing home, while others want to be smart about taxes. Some people say they just want to make things easy for their family. They dont want to be a burden and they want to keep the family peace. With this goal in mind, I want to share some tips on how we can put together a meaningful plan for your family to reduce their stress when you are affected with health issues. When you pass away, your family will go through the grieving process, but you dont want it to be a stressful time from a financial and or legal standpoint. Rather, you want to set your kids up for success.What Does It Mean By Setting Your Kids Up For Success? Often, when people do an estate plan theyll want to write a Will. When they pass away, the kids tend to take over as executor or trustee. If a parent gets sick before they pass away, the kids may take over as power of attorney or guardian. What Is Guardianship?Lets assume that people dont do any planning, and have no legal documents. Should they become incapacitated, their kids will end up in guardianship. Lets take Fred for example, who hasnt done any planning, and is a widower. If he has a stroke, his kids need to get control of the money and make decisions. However, if Fred has not done any planning, his kids cannot make decisions simply because they are his children. They have to go through a process called guardianship. This means taking Fred into the courthouse to be declared legally incapacitated, by a judge. The judge may request that the guardian reports back regularly, so that the judge can make sure the guardian is the right person to make the decisions. This can be an expensive legal process, which can also be emotionally challenging.Can Guardianship Be Avoided?Its easy to avoid the guardianship process by simply having a Power of Attorney document. This document lists somebody to be your agent, who will be your legal and financial decision maker. In the event that you become incapacitated, somebody else can act on your behalf. They can walk into any bank or financial institution with the Power of Attorney document, and do what needs to be done, while acting in your best interests. Fortunately, we dont need the courthouse to make it happen. While we cannot prevent getting sick as we get older, whether its having dementia or a stroke that affects us, we can give our kids the legal authority to make decisions. Communicate With Your KidsIn addition to having a Power of Attorney, you also need to have a Will or a Trust in place. We encourage our clients to use a trust instead of a Will, to avoid going through the probate process. Regardless of whether your child is the executor of a Will or the trustee of trust, when you pass away, they will have roles and responsibilities. It is important for you to communicate with your children to tell them about what their future roles and responsibilities will be. It is not enough to just create a document and leave it on the shelf. You need to tell your kids where your assets are, where you bank, who the financial advisor is and who the attorney is. Avoid The StressIt often happens after a parent has passed away, that the adult children come to us with a bag of their parents documents and paperwork, trying to make sense of it. The kids are not only grieving after losing a parent, but they now have to sort through mom or dads belongings and paperwork. They are also confused about what their responsibility is as an executor or trustee. I urge you to make it easy for your kids to fulfil their roles, by sharing details of where your assets are. You dont have to share details of the value of your assets while youre still living, but I encourage you to share the necessary details with your kids. This will help them with the administration and avoid a stressful situation.Why You Need An Advanced DirectiveWho would make any health care decisions, if you are affected by a health issue and cannot make decisions? You need to decide who that person will be, and communicate with them. If you are elderly woman with no surviving spouse, one of your children will have to make decisions if you are unable to. You would need a document called an Advanced Directive, stating what must be done if you get sick or become incapacitated. It is wise to appoint two different family members to make financial and healthcare decisions respectively.Consider Having A Life Care PlanI encourage you to consider enlisting our help to create a Life Care Plan, which we offer at Sechler Law Firm. This plan takes into consideration where you will get care, and how you will pay for it. It means your family will not have to worry about whether they have made the right decision about your care. We have a social worker and a healthcare professional on our team, because life care planning is more about healthcare planning than it is traditional legal work. However, we consider it to all be part of doing estate planning. To find out more, call 724-564-6615.  You can also learn more by coming to one of our Three Secrets Estate Planning Workshops. Call to register for an upcoming free workshop!  

When you go into a nursing home and want Medicaid to pay the bill, you must be below the governments asset thresholds. Unfortunately, you essentially must go broke before the government will help pay for your care.  When someone with assets goes into a nursing home, they must pay privately for care or take other legitimate actions to get the countable assets low enough for eligibility. The process of decreasing assets to become eligible for benefits is called Medicaid Spend Down. This is not a Do-It-Yourself project.Unfortunately, the Medicaid eligibility rules are extremely complex. Many families make mistakes during this process and end up losing their hard-earned assets. Other families are too fearful to take any action at all. They simply use up all their resources on care.The proper approach is to get competent legal advice on what steps a Medicaid applicant is allowed to take according to the rules. Simply stated, if you follow Medicaids rules, there may be legitimate strategies to protect assets. If you break their rules it will cost your family substantial funds.Certified Elder Law Attorneys can help your family understand the governments rules. Perhaps more importantly, they also know some exceptions to the rules. A good elder law attorney guides you through the spend down process and helps you file the Medicaid application. Then, if necessary, the attorney will contend with Medicaid on your behalf.If you have a loved one paying privately for a nursing home, give us a call at (724) 564-6615.

The legal needs of seniors are unique. They must concern themselves with a variety of programs like Social Security, Medicare, and Medicaid.  Seniors also have unique estate planning concerns. They may have to rely more on family members and need well-crafted legal documents like a good Power of Attorney.  Many of our senior clients are also concerned about the cost of long-term care. Nursing homes, for example, can cost over $10,000 per month. It seems to me that most families don't spend their entire lives working just so that they can lose their savings to a nursing home in their later years.  Asset Protection from nursing home costs is a key area where Certified Elder Law Attorneys help their clients. We deal with issues like Medicaid, protecting the house, and the 5-Year Lookback Period on a daily basis.  There are ways to plan to protect your savings. While the best plans are put into place long before the need for care arises, there are still some very good strategies available even after someone enters a nursing home. For example, it is possible for a married couple to protect the vast majority of their assets, even after one spouse has entered a nursing home. With single nursing home residents, it is still possible to protect about half of their savings. Editors Note: This article was submitted by Certified Elder Law Attorney Tim Sechler, Esq., Sechler Law Firm, LLC. 

As we age, our legal needs become increasingly complex, especially when it comes to programs like Social Security, Medicare, and Medicaid. Seniors also have unique concerns when it comes to estate planning and a well-crafted power of attorney. Wills and Beneficiary Designations arent usually enough. Those devices direct your assets after you die, but do not protect them so you can live.A major worry for many seniors is the cost of long-term care facilities which can quickly add up to more than $150,000 per year in Pennsylvania. Its unfortunate that people work hard their whole lives only to see their savings depleted.Certified Elder Law Attorneys specialize in asset protection from nursing home costs, dealing with issues like Medicaid and navigating the 5-Year Lookback Period daily. We develop strategies that help protect what youve worked hard for.Our clients often wonder if its too late to protect their savings once theyve already entered a nursing home. Fortunately, there are still strategies available to married couples to protect most of their assets, and more than half of single residents savings can be safeguarded. Editors Note: This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC.  Contact our office at 724-564-6615 or visit www.SechlerLawFirm.com.  *Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.

The Plight Of Nursing HomesA few weeks ago, an article about a financial crisis in the Nursing Home Industry ran in the Post Gazette. Recently, I discussed this crisis on my radio show.  The article exposed a serious financial shortfall in dollars from the state subsidies for Nursing Home Medicaid patients. Nursing Home owners and administrators were interviewed about the financial difficulties they are facing due to the costs of care being greater than the states contributions. Some owners were concerned about being forced to shut down. Legislators responded by putting provisions in the budget to increase the state contribution for Medicaid patients. While the provisions may help to alleviate the financial loss, the system remains fragile if not broken. Currently, around 65% of nursing home residents in Pennsylvania are on Medicaid, because Medicare doesnt pay for custodial long-term care in a nursing home. Given the statistics that one in three seniors is going to die with dementia, it means they will likely need care that is provided in a nursing home. The average cost of a skilled nursing facility in Pennsylvania is almost $15,000 a month. Long-term care in a skilled nursing facility is probably the single biggest medical expense that seniors will have, and a significant percentage of the population cannot afford that.Paying For Long Term CareThere are four different ways to pay for skilled care. One way is to pay privately. Second, if it is only a short-term stay for a few weeks, Medicare may pay. The third option is using long-term care insurance, which is costly. The fourth option is to go broke in order to become eligible for Medicaid to pay for care. With so many nursing home residents being on Medicaid, the financial crisis facing nursing homes is understandable. Medicare Only Pays For Acute CareIt hardly seems fair that a senior who has a heart attack and receives open heart surgery to save him will be provided with Medicare benefits. Medicare pays for this acute care including surgery and hospitalization for the heart attack patient. He may go on to live another 20 years at home, and he wont need to pay for his care. However, if a senior has a severe stroke, he still goes to the hospital and is taken care of, but he will need long-term care in the nursing home for the rest of his life. The stroke patients care in the hospital is also going to cost Medicare $400,000, as it did for the heart attack patient. Unfortunately, Medicare, which seniors rely on for healthcare in their retirement, only pays for 20 days of rehabilitation in a nursing home. Medicare may pay up to 100 days with heavy co-payments, after which the senior has to pay $460 per day, for as long as he lives, or until he runs out of money. Once he runs out of money, Medicaid starts paying for the nursing home.The Cause Of The Financial CrunchThis problem is largely attributable to the Covid crisis, with increased deaths of the elderly and the staff who worked in nursing homes contracting Covid. Costs associated with covid care and protective equipment became costly over time.  Many healthcare workers did not return to the industry after Covid, causing a staffing shortage and overwhelmed facilities.  Caregivers who stayed are seeking higher compensation in light of the change in work conditions. If you consider the wave of baby boomers who are now seniors, many of them are needing long-term care. With 65% of them on Medicaid, it is a crisis that needs to be resolved. If financially struggling nursing homes are forced to close, who will care for the increased aging population that will soon be nursing homebound? Finding adequate facilities might become a challenge. A Big PlusFortunately, this plight has been recognized, and $515 million has been offered to long-term care facilities. This money will go towards alleviating this financial crunch. The nursing homes are receiving $1000 more per month, in reimbursement for each senior who is on Medicaid. This rate is probably not as much as the private paying rate, but it is a significant increase in revenue. This increase will help the nursing homes cover costs and provide care, and allow the nursing homes to hire and train good people to take care of the seniors.UnresolvedThis increase is a great boost for long-term care facilities, but the issue of seniors going broke to be eligible for Medicaid, has not been resolved. Additionally, the amount of money seniors are allowed to keep has not been increased. If a single person, Joe, goes into a nursing home, he is only allowed to keep $8000. If Joe has a house and $200 000 in savings, he has to spend that money down. He would have to write checks every month for $15,000 to the nursing home. Joe needs to do this until he is left with about $8,000, and only then he is eligible for Medicaid to pay for his care. However, all of Joes income must go to the nursing home every month. This means he can only keep $45 per month. Joes allocation of money is not being increased, despite the rising costs for basic provisions. Having only $1.50 per day for his personal needs is not much at all to enjoy retirement. Nobody Wants To Go Broke In A Nursing HomeWhile Joe still owns a house, he would not be able to afford the maintenance costs for the house for very long. Having only $8,000 is not enough to cover these costs. If Joe sells his house it would yield $150,000 cash. Given Joes $8,000 allowance, he cannot keep $150,000 cash, because he risks losing his Medicaid benefits. He would have to spend that money down to once again becomes eligible for Medicaid. He can only keep $8,000. Essentially Joe would lose the house and his savings to long-term care costs, which is a great shame. Joe didnt want to go broke in a nursing home. Sadly, this is an issue many seniors face, and it must be resolved.You Can Protect AssetsFortunately, there are ways to protect assets. The law allows you to take legal steps with trusts and different techniques to protect assets. Long-term care costs are the biggest issue facing middle-class Americans in retirement. Find out more when you come to one of our Estate Planning and Elder Law asset protection workshops. Register for a workshop call 724-564-6615.

If I asked you to think of a mental image of a lawyer, you would probably see a cold-hearted, calculated, robot in a suit who wants to argue at the drop of a dime.  Elder law doesnt work that way. One of our primary goals is to help our senior clients find the care they need without going broke in the process. A typical client is someone who is already in a nursing home and is quickly burning through their assets. We employ strategies to help protect your home and savings while gaining access to the government healthcare programs youve been paying into your whole life.The government has very complex rules for eligibility for programs like Medicaid, which can pay for long-term care expenses.  Some of the rules are harsh (heard of the 5-year lookback period?).  Some of the rules are great (you can use trusts and annuities to protect assets).  The trick is to know which rules hurt and which rules help.  Then we make the rules work to protect our clients. Simple at a high level; complicated in the details.A nursing home admission is a legal problem and you should seek legal advice. Nursing homes cost almost $15,000 per month in Pennsylvania and the government doesnt help until you go broke. It is not uncommon for elder law attorneys to protect up to 90% of a familys savings, even after a nursing home admission.  And when we get those kinds of results for a client, yes, they frequently want to give us a hug, and thats just fine by us. You shouldnt be nervous or intimidated about calling a lawyer.  Were here to help. If you want more information about how the Medicaid process works give us a call 724-564-6615.Editors Note:  This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC. *Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.

To recognize your service as a Veteran, here is some education to highlight the benefits that veterans may get. Essentially there are two Veterans Administrations there is the Veterans Health Administration, and the Veterans Benefits Administration. The Veterans Benefits Administration The Veterans Benefits Administration deals with retiree pensions, service connected disability benefits and improved pension. You could expect to receive a financial reimbursement from the Veterans Benefits Administration. The idea behind the VA improved pension is based on wanting to prevent our wartime veterans from going broke after their services, due to long term care needs.The eligibility requirements for the improved pension is based on the different tiers of care offered. Theres a traditional improved pension and there is whats known as Housebound benefits. In addition there is the Aid and Attendance program catering for those with an increased need for care, when we want to keep people in their home with privately paid caregivers. With this level of care, there are often out of pocket medical expenses, but there is a program which compensates people on a monetary basis for these expenses. Veterans can get between $2,000 and $3,000 in reimbursements to help them.Improved Pension BenefitsThere is also a benefit for the widow of a veteran who has unreimbursed medical expenses which includes a personal care home. The Eligibility requirest the deceased spouse to have been a wartime veteran. He didnt need to serve in the war, but was required to have served 90 days of continuous active duty. One of those days had to have been during a period of war. The veteran would have also needed to be disabled within the VA definition of disability, requiring some form of care. To find out more about the improved pension and the Aid and Attendance program, there are veteran service organizations that will help you with these applications. The social workers at the VAs will point you in the right direction.The Veterans Health Administration The Veterans Health Administration provides access for veterans to receive healthcare in clinics and hospitals. Most veterans are eligible for some level of care and there are different eligibility criteria, depending on how long you served for, or if you were disabled. It is a complicated system and the information on the VA website is vague. I believe it is my duty to provide some helpful information for veterans who may need some form of long term care, either now or in the future.If you are eligible for VA health care coverage, you have to go to a VA and apply for benefits. This involves an analysis for your eligibility to receive healthcare. In addition to the clinics and hospitals, within the VA system there are VA nursing home beds, should you need long term care. There are also privately contracted nursing home beds in private nursing homes which the VA helps pay for. In addition, there are VA in-home health benefits to get a helper to provide care at home. Dont Rely Only On Federal VA BenefitsUnfortunately there are often waiting lists for veterans waiting for nursing home beds. As a result, many veterans end up in private nursing homes paying privately, just like everybody else. Sadly there are many veterans requiring long term care but it is not being provided through the VA because of limited resources. This is why I encourage Veterans to not rely solely on the federal VA for their health care.The state of Pennsylvania has a department of Military and Veterans Affairs, offering some good programs for veterans. There are six nursing homes within the state which service veterans in Allegheny County. It is called the Southwest Veterans Centre in Pittsburgh, and has both a memory care unit and skilled nursing facility. Some of the other centres in Erie County, Blair County, Lackawanna and Philadelphia offer personal care services. You would need to apply for eligibility, and prove your veteran status. I know that Pennsylvania residents are given priority, so Im not sure how many out of state people are served. Their website states that a resident at a veterans home must make monthly payments against maintenance fee liability in accordance with the residents ability to pay. However, this is vague, so if you are helping a veteran, or you are a veteran in need of some long term care, visit their website here. Theres an application online providing the information you need to apply for the long term care benefits.Why You Should Consider Medicaid BenefitsWhile Veterans should not rely solely on VA for their healthcare, I will add that Veterans shouldnt rely too much on Medicare either. This is because Medicare only pays for acute care, and not long term care. Often, veterans end up in civilian long term care settings and they need to apply for Medicaid benefits. It is therefore important to understand the Medicaid rules, if VA benefits dont provide the care that Veterans need. Medicaid is the other payment source for long term care, so being eligible for Medicaid benefits is important. Often, a senior is only eligible for Medicaid benefits when they are broke, after paying for long term care. However, we can avoid that by using an asset protection trust to protect your house and money.How We Can Help YouTo learn more, come to one of our upcoming free estate planning workshops. Register for one of our Three Secrets Workshops by calling us at 724-364-6615. Well teach you about Medicare, Medicaid, trusts, wills and what you need to do to set yourself up for success. See you there!

Many people believe that having a Will is all they need, and they dont need an estate plan. Over the years we have worked with many families who only had a Will, and no provisions for needing care in a nursing home. As a result, the healthy spouses financial security was neglected and the family went broke.Many of my clients who want to protect assets from long term care costs, own their houses in an asset protection trust. These are the top 6 reasons why our clients decide to use this trustWhile Your Parents Or Grandparents Didnt Have An Asset Protection Trust, They Didnt Often Need Long Term Care. They likely had family members nearby caring for them.Statistically speaking, your odds of needing long term care are increasing. Estimates point to two out of three people who will need long term care in nursing homes in their 80s. Nursing homes currently cost $15,000 a month, and they will cost even more 20 years from now. Asset protection is important, to avoid losing everything to long term care costs.Estate Planning Is Not Just About Answering The Question Of Who Gets Your Stuff When You Pass Away. Its also about planning for what happens if you get really sick. Weve all been paying into this government system with the promise that when we turn 65, we will have healthcare. Unfortunately Medicare doesnt pay for the single biggest health care expense that seniors face, which is custodial long term care in a nursing home.If your health issue is acute, such as a heart attack, or you need surgery, or have cancer, and require acute care in hospital, Medicare will cover the costs of treatment. Whether my spouse and I are financially secure in our retirement years, depends on the healthcare issue either of us will have. This is often beyond our control, but what we can do is to prepare for all eventualities, by protecting our house with a trust. Medicaid Is The Only Government Payment Source For Long Term Care, But The Rules Are Broken. If youre a single person going to a nursing home, youre allowed to own up to $8,000 of assets, a house and car. A couple with $100,000 in a retirement account, must spend that money on care in the nursing home. Once the money is gone you can apply for Medicaid benefits. However, your monthly income is used to pay for care, and you are only allowed to keep $45 a month for all your personal needs. We have a situation where seniors are going broke before they get Medicaid benefits. Theyre allowed to own a house but if they have no money, they cannot pay property taxes, utility bills or maintenance costs.Assuming your child is a power of attorney, they may sell your house to avoid paying the taxes and bills. However, this means you will now have cash which will result in you losing your Medicaid benefits. Not only do you lose your house, but you will need to spend the money on care. When you are broke, you are eligible for Medicaid benefits again. It is not obvious in the Medicaid rules that you will lose the house. The problem is that it becomes financially impossible to keep the house. Putting your house in a trust will protect it from being lost to Nursing home costs.If The House Is Left To Your Child In Your Will, By Paying The Taxes And Keeping The House, Does Not Guarantee That They Wont Lose The House. When somebody who passes away was on Medicaid, the executor is forced to sell the house. The proceeds are used to pay the state for the care the senior received in the nursing home. This is known as the Estate Recovery Program, and the claim in Pennsylvania is limited to someones probate estate. This means that if the assets go through the Will, it will be a probate case, and the state will have a claim against the house.If your house is in the asset protection trust when you pass away, the state cant get your house while its in the trust. Your kids will inherit the house if you go to a nursing home, or you pass away.Your Kids Will Receive Their Inheritance Faster If Your House In An Asset Protection Trust.We dont have to wait 12 months to make the distribution of the inheritance to the children. The distribution process usually happens after four to five months. This is because we dont have to pay creditors. Usually, in probate cases, creditors can make a claim a year after the person has passed away. Once the creditors are paid, distributions are made to the heirs.When Your House Is In An Asset Protection Trust, The Only Thing You Would Have To Give Up Is Having Access To The Home Equity. However, if you have money in the bank, you wont need home equity. Giving up access to the equity, means the nursing home cant access it either. You have protected your house, so you wont lose it. If you or your spouse need long term care, the healthy spouse can still live at home.There are opportunities to protect yourself, and thats what we teach you at our Three Secrets Workshop. If you want to protect your assets, and you want the best plan for your family, we can help you! After attending our Three Secrets Workshop, most of our clients have participated in our Blueprint Workshop. As a result, many of our clients chose to work with us and put their houses into a trust.Register to attend one of our upcoming free workshops.  Our workshops are offered various dates/times and locations throughout the Greater Pittsburgh Area, call 724-564-6615 to learn of upcoming Workshops and to register.   We will teach you about the estate planning tools you can use to do some good planning. 

It's not only about the money. The problem with simple wills is that they generally deal with who gets the stuff. General wills for married families typically distribute all the assets to the spouse, then to the kids in equal shares. Consider this question: "Is money the only thing you give to your kids?" Don't we also give our kids other valuable things: respect, work ethic, religion, and morals? Of course, we do. Unfortunately, this is where simple wills fail. There is no written plan for how our kids should be raised. It is a better practice to think through what's really important in your family. A good estate plan will write out those wishes. Then, the legal documents can ensure those wishes are carried out.They Only Deal with Death: Wills often name decision-makers and dictate where the assets go in the event of an untimely death. They may also name guardians for small children. BUT wills only matter after you pass away. They don't matter if you're still alive. So, what would happen if you became severely disabled in an accident but didn't pass away? Aren't those same instructions regarding your assets and family important if you are in a coma for a decade?Simple Wills Don't Protect Assets: If you leave all your assets to a family member, those assets just became subject to that family member's predators and creditors. Estate Planning is a time to be practical. Let's assume I (like you) leave all the life insurance money to my spouse. Let's assume that 5 years later (I would hope not 5 months later) she decides to remarry. What if she chooses the wrong person and he later files for divorce? What happens to all the money? The same analysis would apply to your children if they marry the wrong person. The same analysis applies to other risks like your heirs being sued for a future car accident, etc. A great estate plan would consider these future risks. After all, you're not paying the life insurance premiums so that your family's future spouses become wealthy, are you? Editors Note: This article was written by Tim Sechler, Esq., a Certified Elder Law Attorney and Principal of Sechler Law Firm, LLC.

If you have a spouse or parent in a nursing home, youre probably aware of the expensive costs involved.But did you know there are strategies available to help protect your familys savings? Even if you think you have too much money to be eligible for Medicaid, a Certified Elder Law Attorney can explore new options for you.Heres an example: Lets say Fred and Wilma are a married couple and Fred has entered a nursing home. They have $200,000 in total assets, and at first glance, it seems as though roughly half of that will need to be spent on care. However, after consulting with a Certified Elder Law Attorney, Wilma learns that she can protect the $100,000 by purchasing something called a Medicaid Compliant Annuity - a landmark court case made this possible in 2015.With the right investment device, Wilma can turn the asset into an income stream that will last the rest of her life, all while not putting that money at risk. Medicaid wont count the healthy spouses income, so this money is protected. Its important to note that this is just one example of a more complicated process.When it comes to protecting your familys savings, its best to consult with a Certified Elder Law Attorney who can find the most appropriate solution for your unique situation.Editors Note: This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC.  Contact our office at 724-564-6615 or visit www.SechlerLawFirm.com.  *Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.

There is nothing in Medicaid Law that causes more confusion than the 5-Year Look Back Period.Many people mistakenly believe that you can't do any planning within 5 years of needing care. This isn't exactly true. Here's how the Look Back Period Works: If you go into a nursing home and want to apply for Medicaid benefits to pay the bill, you must be below the low asset thresholds. Many families try to transfer assets to their children so that they can qualify without spending all of their money on care.However, when you apply for Medicaid, you must report any assets that you have gifted during the last 5 years. If you have made gifts, the state will impose a penalty period, during which time Medicaid will not pay your nursing home bill. The length of the penalty period depends on the amount of the gift. This is a problem because the nursing home is providing needed care and they deserve to be paid. But if you aren't eligible for Medicaid because you gave away your assets, then no one is paying their bill. This could force the nursing home to sue your children for payment. If your family has already made gifts, there are ways to fix the problem. There are also less risky options for Medicaid eligibility planning. While gifting during the 5-Year Look Back Period can be problematic, there are several other options available to protect assets, even after someone is in the nursing home. To learn more, consider attending one of our complimentary Elder Law Workshops. Register on our website at www.sechlerlawfirm.com/workshops/ or call my office at 724-564-6615 to schedule an initial consultation. Editors Note: This article was written by Tim Sechler, Esq., a Certified Elder Law Attorney and Principal of Sechler Law Firm, LLC.

In my elder law practice, it is very common to meet seniors who need nursing home or community care, but who are reluctant to seek out help because of the cost. This is understandable. Take the hypothetical case of Fred and Wilma.Fred worked hard at the quarry for decades to accumulate sufficient retirement savings. Fred is now in his late 70s and, unfortunately, has Parkinson's Disease.In recent months, it has become difficult for Wilma to care for him. It is getting to the point that being a care provider has started to impact Wilma's health. They know he needs help, but they are concerned that getting that care will be so expensive, Wilma will no longer be able to have a comfortable retirement.We are fortunate to live in a part of the country with abundant quality care options. There are outstanding nursing homes and community care providers in our region. Unfortunately, many people don't take advantage of these care options due to fear of the cost.This fear is rooted in their understanding that the government rules require someone to go broke before getting financial assistance from Medicaid. While it is true that most of Medicaid's rules are quite harsh, there are strategies available to expedite eligibility and protect assets.For example, under the right circumstances, it is possible for Fred to transfer significant funds to Wilma in a way that she gets to keep the money. This would make Fred almost immediately eligible for Medicaid.The truth is there are many individuals paying privately for skilled nursing care who could take steps to expedite Medicaid eligibility. However, each case is different, and you need the help of a qualified attorney to find your best strategy. The rules are complicated and there are plenty of pitfalls.Don't fall into this trap. Don't assume you must go broke to get quality care. Under the law, there are strategies available to protect your life savings. To take advantage of these options, you need to work with a qualified attorney who can properly plan for your circumstances. If you or someone in your family needs care, call our office to learn about your options.Editors Note: This article was submitted by Tim Sechler, Esq., a Certified Elder Law Attorney and Principal of Sechler Law Firm, LLC. See our ad on the Back Cover or contact us at 724-565-6615.

So, you've been asked by your mom to be her executor when she passes away. This is an honor.  She's telling you that over everyone else in the world, you are the most trusted person to help manage her affairs when she passes away. You feel you have what it takes to do a good job when she passes, though you're likely not sure what exactly the process entails. Here are a few tips on what to expect early in the process:When she does pass away, you will be, of course, grief-stricken. You'll spend time making the final arrangements and hopefully, you'll be with family. The funeral director will ask you how many death certificates you need. We typically recommend getting 10-15, though this number can vary.Another step you'll need to take is to locate the original will. Remember that you are not officially allowed to act as the executor until you are sworn in at the courthouse. This process is usually started by hiring a lawyer to prepare a petition.After you've been sworn in, the process of collecting all the information regarding the estate can begin. You'll need to understand what assets the deceased person had. You'll also want to understand if there are outstanding debts. As time goes on, your lawyer will help you to determine how to pay any creditor claims and taxes prior to making the final distribution.The typical estate administration matter can take 12 months or more in Pennsylvania. During this time there are many legal steps you must take to administer the estate correctly. If you make mistakes in the administration, you could risk personal liability. As a result, most executors decide to hire a lawyer to help with this process.  Our law firm has prepared a complimentary guide called "What You Need To Know About Estate Administration". This guide has important information including a Do's and Don'ts list and a sample Estate Administration timeline. Call 724-564-6615 to request a copy.Editors Note: This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC. Contact us at 724-564-6615.*Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.

You may not need to go to a nursing home now, but maybe a loved one needs nursing home care more urgently. I am sharing some valuable information, applicable to retirees, and those who are advising retirees and seniors.A nursing home is the same as a skilled nursing facility. This does not include an independent living facility, a personal care home or assisted living facility. This distinction is important, because nursing homes or skilled nursing facilities are the only care centers which are paid for by Medicaid. When someone needs long term care, they often pay privately, which means that you have to pay for every aspect of care from your own pocket.However, if you are in a nursing home, you can get Medicaid to pay for care. This unfortunately happens after you go broke. While the sick spouse needs long term care, the healthy spouse is still living in the family home. They cant afford to go broke paying for long term care, because the healthy spouse needs money to live. This is when Medicaid is the best option to pay for care.Long Term Care CostsI have had family members and clients go broke over the years due to long term care expenses. This is avoidable, by putting some assets into a trust, to protect yourself from long term care expenses. When you end up in a skilled nursing facility, the average cost is about $13,000 per month. This equates to $160,000 a year, which most people cant afford to pay for too long before going broke. Most people who end up in nursing homes, don't go nursing home shopping. They don't have the benefit of time to assess which facility is appropriate for them.With nursing home admissions, a senior who has been getting their care at home or in a personal care home, may suffer a potentially serious health care issue. They may have been admitted to hospital for care, and the hospital subsequently discharged them to a skilled nursing facility for rehabilitation. The rehab stay may last a couple of weeks, after which a decision must be made regarding the seniors need for care. The social workers, care planners and discharge planners attempt to find this senior a nursing home to do rehabilitation. The family agrees on the decision based on it being a short term stay.They may not realize that their loved one may actually need long term care. The family may not have had the opportunity to review the nursing homes contract, but they also dont want to move their loved one to another facility. With their loved one settled in the nursing home, there is paperwork for the family to sign.What to Look Out ForNursing homes are licenced in two different ways in Pennsylvania. There are standalone skilled nursing facilities, and there are also facilities licenced as Continuing Care Retirement Communities (CCRC). A standalone skilled nursing facility cannot require you to sign a contract, to give up your legal rights to apply and qualify for Medicaid benefits. As a result, families have options to rely on for Medicaid planning. In that situation, we can often protect significant assets for the healthy spouse living at home and we can get Medicaid to pay for care.In contrast to the standalone skilled nursing facilities, there are the CCRC's, which require you to sign a contract and agree to go broke in their facility. The CCRCs have a benevolent care fund whereby they will still take care of you if you go broke. That doesn't help the healthy spouse living in the family home who is broke, while trying to maintain a house. From my standpoint, I wouldn't want the benevolent care fund. I want the ability to protect my wife, while getting the care I need. I don't want to sign a contract giving up my legal rights to pursue Medicaid benefits.Finding the right care for SeniorsSome of the CCRCs are prepared to negotiate. We make contact with them and offer to show them how we can protect their bottom line, while my client qualifies for Medicaid benefits. If you are in this situation, perhaps we can negotiate on your behalf. We want to find seniors the care they need without going broke. The nursing homes are not the bad guys - they are providing needed care. I have so much respect for what the nursing homes do for their residents. The problem lies in the broken government system requiring people to go broke before getting financial assistance.Protecting AssetsWe can still protect assets, even after a nursing home admission. Most families assume that all nursing home contracts are the same. If a loved one is already in a nursing home getting the care they need, the family signs the contract. If you know someone currently in a nursing home, or who will need care in a nursing home, they should contact us or another certified elder law attorney, to review the contract. We will help you determine whether to sign the contract or not. Not all attorneys understand the difference between how these facilities are licenced, but at Sechler Law Firm, we are able to advise you.Be Aware of the Arbitration ClauseIf you ever have to sign a nursing home contract, please be aware of the voluntary arbitration clause. The nursing home contract is a legal document, but nursing homes cannot require residents to sign the arbitration clause. Arbitration agreements take away your right to hold your nursing home accountable in court. Should a resident suffer from any negligence or wrongdoing in a nursing home, pleading their case in front of a jury will result in a better outcome. With an arbitration, a private arbitrator decides the outcome of a dispute. Unfortunately this does not often favor the resident.If you're in this situation or know somebody who is, please reach out to us for help and advice. Call us at 724-564-6615. 

If you have a spouse or parent in a nursing home, you should read this article. Everyone knows that nursing homes are expensive.However, you likely don't know the techniques that are available to protect your family's savings. It is sometimes possible to gain Medicaid eligibility, even if you've been told you have too much money.Let's look at a quick case study: Fred and Wilma are a married couple. Fred has entered a nursing home. Let's say they have $200,000 of total assets. From the outset, Wilma would be allowed to keep about half of this money. The other half, roughly $100,000 would need to be spent on care.However, after consulting with a Certified Elder Law Attorney, Wilma learns that the holding from a landmark 2015 court case allows her to protect the $100,000 by purchasing something called a Medicaid Compliant Annuity. This investment device turns the asset into an income stream for Wilma, perhaps for the rest of her life. The interesting thing is that Medicaid doesn't count the healthy spouse's income. Therefore, the money is protected.Now, let me state this clearly: this example is overly simplistic and you should not try it alone. In reality, the process is more complicated and this technique may not be appropriate for your family's situation. The key is to work with someone who can help you find the most appropriate solution for your family's challenges.The Sechler Law Firm is currently providing No-Cost phone consultations to determine if we can help your family. Call us now at 724-564-6615 or visit sechlerlawfirm.com for more information.Editors Note: This article was submitted by Certified Elder Law Attorney Tim Sechler, Esq., Sechler Law Firm, LLC. 

Each year, Pennsylvania's Department of Human Services releases certain financial information that impacts eligibility for its programs.One of these figures is their calculation of the average monthly cost of a nursing home in the state. The 2021 figure was $11,099 per month or $133,188 per year.If you think that's expensive, wait until I give you the 2022 figures. This year, DHS tells us that the average cost of a nursing home is $14,676 per month or nearly $180,000 per year!!!! That's a 25% increase in one year! Can you imagine needing to spend $180,000 annually for care?  Now, before you draw the conclusion that the nursing homes are solely to blame, consider what they've been through in the last year or two. They've had to spend much, much more money on protective and medical equipment to battle COVID. They've had to increase their wages to be able to find people willing to work in a nursing home.So, to be clear, I don't put the blame for these costs solely on the nursing homes. I place the blame directly on our government's rulebook that requires people to go broke before they help pay.We, unfortunately, have a healthcare system that provides Medicare for seniors' acute care needs like surgery and hospitalization. However, Medicare doesn't pay for the single biggest expense seniors face: custodial long-term care. These costs are your personal responsibility, they say. This leaves us with a system that picks financial winners and losers based almost entirely on your healthcare needs which are largely unavoidable. Your financial security is a role of the dice.So, the question for you then is "What are you doing to protect your family and legacy from these harsh rules?"  I suggest you become educated on your options and consult with an elder law attorney to determine if an Asset Protection Trust may be right for you.Editors Note: This article was written by Certified Elder Law Attorney* Tim Sechler, Esq., Sechler Law Firm, LLC.  Contact us at 724-564-6615.*Certified as an Elder Law Attorney by the National Elder Law Foundation as accredited by the Pennsylvania Supreme Court.