Medicaid Planning

Although their names are confusingly alike, Medicaid and Medicare are quite different programs. For one thing, all retirees who receive Social Security benefits also receive Medicare as their health insurance. Medicaid is an entitlement program. Medicaid, on the other hand, is a form of welfare. So to be eligible for Medicaid, you must become “impoverished” under the program's guidelines.
There are many techniques that can be used to reduce a person’s asset level below the Medicaid asset limit, e.g. setting up irrevocable living trusts, making gifts to family members, paying for certain approved Medicaid expenses, etc.