My sister just sold her home. What should she do with the proceeds (around $60,000) to protect it from Medicaid?

Protect it from Medicaid? why? Medicaid is for people who have no assets, paid by the taxpayer, so these people can receive healthcare and, if needed, skilled nursing. Your sister would only qualify for Medicaid if she was poor.

Or is your question really "how can my sister sock away 60K yet have the taxpayer, through Medicaid, fund her for nursing home care" - as a taxpayer - i say "no - she has assets, use HER assets for HER care" When those are gone, if she needs Medicaid then so be it.

Assets are to be used to pay for her care. Not to shelter from Medicaid.

She won't be losing it to a home. She will be paying for her care until she can't, then the taxpayers pick up the tab.

I'm fascinated.

So what do you think should happen to the money that your sister will have "protected"? What better cause does she want to spend it on rather than her own comfort and care?

May she find a good place with a caring team to support her, whatever else happens.

I paid almost a million dollars for my mothers 5 1/2 pleasant years in
residential care.

The money had been made by my father, and saved by my mother, dollar by dollar.

Worth EVERY CENT, and ZERO REGRETS.

You can't protect money from medicaid and you shouldn't try to. The money will go for her care until it is gone, then medicaid will pay unless there has been gifting of her funds over the previous 5 years.

How did your sister qualify to live in a low income apartment and yet owed her own home, or have $60,000 in assets?

Hopefully your sister will live beyond 5 years for Medicaid look back, buy, when she moves , your sister will need her nest egg to supplement putting a roof over her head.. it’s an asset. That’s about the amount of money my mom had when she sold her mobile home. I’m thinking about 2 to 3 years ago… my mom had SS , a post office pension, and VA aide and attendance. My mom passed this last week as I had the appointment made to apply for Medicaid… she almost out lived her money..

I think the issue here is that she now has liquid assets that might make her ineligible for low income housing. And how did she get that anyhow when she had a house? If a person can pay their own way, that's what should be done. Medicaid is for after that. What did you have in mind for HER 60k?

Your sister needs to see a good elder attorney to best handle this.