| DISASTER! READ ON:
READER QUESTION:
Can an IRA with beneficiaries be added to an irrevocable Medicaid trust?
MY RESPONSE:
NEVER TRANSFER AN IRA (OR ANY OTHER RETIREMENT PLAN) TO AN IRREVOCABLE TRUST!!!!!! Why, you ask? Because it would trigger your having to pay income tax on every dime. Yikes! The good news is that you really don’t need to because IRAs and other retirement accounts are not counted as assets (although they are counted as a source of income) for Medicaid eligibility purposes.
I hope this helps! |
