Page 3
REV. MAY 3, 2018 NEBRASKA DEPARTMENT OF MEDICAID ELIGIBILITY MANUAL LETTER #43-2018 HEALTH AND HUMAN SERVICES 477-000-032
All the transfers are within the 60-month look back period. The total amount transferred is $14,000. The private pay rate at the nursing home is $4,600. The penalty periods are calculated as follows:
$14,000 cash transferred $14,000. ÷ $4,600 private pay cost = 3.04 Total months of ineligibility beginning with 8/18, the month of Medicaid application.
Example 6: Mr. Smith transferred his farm with a value of $300,000 to his son on 2/14/10 by recorded deed. He applied for Medicaid on 9/2/11 and his current resources consist of a savings account with $5,000 and a money market account with a balance of $20,000. Mr. Smith wants to get a period of ineligibility started because of the deprivation. This is not possible because he is currently over the permitted resource limit of $4,000. A period of ineligibility may not begin until the applicant is eligible for Medicaid except for the deprivation of resources.
Example 7: Mr. Smith transferred his house with a value of $485,000 to his daughter on 1/10/06 by recorded deed. He applied for Medicaid on 9/15/11 because he is out of funds to pay for his stay in the nursing home. There is no deprivation to consider because the transfers took place beyond the 60 month look back. Month one of the look back is the month prior to the month of application.
Share of Cost amount exceeds the Medicaid Per Diem If the partial month penalty amount added to the Share of Cost amount exceeds the Medicaid per diem for the entire period, you will enter the private pay rate per diem on N-FOCUS. There will be no Medicaid payment to the nursing home and the penalty has been met.