3.3.07 Payments to relatives

MDV 40/18587 (12/16/1997)
Life estate holder did not divest by paying for property repairs

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.03 Transfers for FMV, 3.3.07 Payments to relatives, 3.3.25 Life estates, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Nancy J. Gagnon

DHA Case No. MDV 40/18587 (Wis. Div. of Hearings and Appeals Dec. 16, 1997) (DHS) ↓ Download PDF In general, a transfer for fair market value is not a divestment. In this case, the petitioner spent $52,074 on repairs to his home, in which he had retained a life estate, after he was institutionalized. The […] Read more

MDV 171354 (03/28/2016)
Contract required for services but not room and board

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.07 Payments to relatives, 3.3.07.1 For room and board, 3.3.07.2 For services, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Mayumi M. Ishii

DHA Case No. MDV 171354 (Wis. Div. Hearings and Appeals Mar. 28, 2016) (DHS) ↓ Download PDF Payments to relatives for care and services are not considered divestments if the services directly benefited the institutionalized person, compensation was reasonable, and, if the total exceeds 10% of the Community Spouse Asset Share, there is a preexisting […] Read more

MDV 156359 (05/09/2014)
Contract required only if payments to an individual exceed 10% CSAS

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.07 Payments to relatives, 3.3.07.2 For services, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Michael D. O’Brien

DHA Case No. MDV 156359 (Wis. Div. Hearings and Appeals May 9, 2014) (DHS) ↓ Download PDF Payments to relatives for care and services are not considered divestments if the services directly benefited the institutionalized person, compensation was reasonable, and, if the total exceeds 10% of the Community Spouse Asset Share, there is a preexisting […] Read more

MDV 138130 (06/27/2012)
Reimbursements, payments to POA agents not divestment

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.03 Transfers for FMV, 3.3.07 Payments to relatives, 3.3.07.2 For services, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Michael D. O’Brien

DHA Case No. MDV 138130 (Wis. Div. Hearings and Appeals Jun. 27, 2012) (DHS) ↓ Download PDF Transfers for fair market value are not divestments. In this case, the petitioner was a 96-year-old woman living in northern Wisconsin who had named her daughter as her financial agent. After she was admitted to a nursing home, […] Read more

MDV 133314 (10/04/2011)
Personal services contract and cash Christmas gifts were divestments

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.06 Transfers made for purpose other than to qualify for Medicaid, 3.3.06.3 Pattern of gifting, 3.3.07 Payments to relatives, 3.3.07.2 For services, 5 Subprograms, 5.05 Home and Community-Based Waivers Long-Term Care, ALJ Sean P. Maloney

DHA Case No. MDV 133314 (Wis. Div. Hearings and Appeals Oct. 4, 2011) (DHS) ↓ Download PDF To pay relatives for services while avoiding divestment, a written and notarized agreement that exists at the time the services are provided is required if the total payment exceeds 10% of the community spouse asset share. In this […] Read more

MDV 132474 (08/24/2011)
Personal services contract that was not notarized was a divestment

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.07 Payments to relatives, 3.3.07.2 For services, 5 Subprograms, 5.05 Home and Community-Based Waivers Long-Term Care, 5.05.1 Family Care, ALJ Nancy J. Gagnon

DHA Case No. MDV 132474 (Wis. Div. Hearings and Appeals Aug. 24, 2011) (DHS) ↓ Download PDF To pay relatives for services while avoiding divestment, a written and notarized agreement that exists at the time the services are provided is required if the total payment exceeds 10% of the community spouse asset share. In this […] Read more

MDV 13/78679 (02/16/2007)
Up front lump sum payment for personal services contract was divestment

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.07 Payments to relatives, 3.3.07.1 For room and board, 3.3.07.2 For services, 5 Subprograms, 5.05 Home and Community-Based Waivers Long-Term Care, 5.05.2 Family Care Partnership, ALJ Kenneth D. Duren

DHA Case No. MDV 13/78679 (Wis. Div. Hearings and Appeals Feb. 16, 2007) (DHS) ↓ Download PDF If an institutionalized person is paying a relative for care and services, then the payment must not exceed reasonable compensation for the services provided. In this case, the petitioner paid a lump sum of $85,013.02 to her adult […] Read more

MDV 152549 (12/09/2013)
Payments to relatives for services were divestment, no notarized contract

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.07 Payments to relatives, 3.3.07.2 For services, ALJ Michael D. O’Brien

DHA Case No. MDV 152549 (Wis. Div. Hearings and Appeals Dec. 9, 2013) (DHS) ↓ Download PDF To pay relatives for services while avoiding divestment, a written and notarized agreement that exists at the time the services are provided is required if the total payment exceeds 10% of the community spouse asset share. In this […] Read more

MGE 215615 (01/06/2025)
Payments to children were divestments, no written, notarized agreement

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.01 Penalty period, 3.3.07 Payments to relatives, 3.3.07.2 For services, 3.3.11 Undue hardship, 4 Program Administration, 4.5 Undue hardship, 5 Subprograms, 5.05 Home and Community-Based Waivers Long-Term Care, 5.05.1 Family Care, ALJ Kate J. Schilling

DHA Case No. MGE 215615 (Wis. Div. Hearings and Appeals Jan. 6, 2025) (DHS) ↓ Download PDF To pay a relative for services in amounts exceeding 10% of the maximum Community Spouse Asset Share requires a written, notarized contract at the time the services were provided. In this case, petitioners were a married couple, both […] Read more

MDV 214370 (10/22/2024)
Purchase and transfer of exempt vehicle, reimbursements not divestments

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.04 Transfers of exempt income or assets, 3.3.07 Payments to relatives, 3.3.07.2 For services, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Nicole Bjork

DHA Case No. MDV 214370 (Wis. Div. Hearings and Appeals Oct. 22, 2024) (DHS) ↓ Download PDF The transfer of an exempt asset (except a homestead) is not a divestment. In this case, the petitioner bought a car—though she could not drive herself—that her son used to transport her to medical appointments. About seven months […] Read more

MDV 13/10761 (02/19/1997)
Real estate sold to daughter below FMV was divestment, despite daughter’s payments of property expenses

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.03 Transfers for FMV, 3.3.07 Payments to relatives, 3.3.07.2 For services, 3.3.22 Community spouse divestment, 3.3.22.1 Before 5 years, ALJ Gary M. Wolkstein

DHA Case No. MDV 13/10761 (Wis. Div. Hearings and Appeals Feb. 19, 1997) (DHS) ↓ Download PDF It is generally a divestment to transfer an asset while receiving less than its fair market value in cash, services, or other forms of payment. In this case, the petitioner’s spouse sold their non-homestead real estate for $20,590 […] Read more

FCP 203910 (03/23/2023)
Caregiver agreement not notarized, was divestment

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.07 Payments to relatives, 3.3.07.2 For services, 4 Program Administration, 4.5 Undue hardship, 5 Subprograms, 5.05 Home and Community-Based Waivers Long-Term Care, 5.05.1 Family Care, 5.05.7 Effective date, ALJ Kelly Cochrane

DHA Case No. FCP 203910 (Wis. Div. of Hearings and Appeals March 23, 2023) (DHS) ↓ Download PDF If payments to a relative for services exceed 10% of the maximum CSAS, the MEH requires a notarized agreement. In this case, the petitioner had an agreement to pay her daughters $500 per month, but it was […] Read more

MDV 207202 (02/23/2023)
Multifarious divestments by POA

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.06 Transfers made for purpose other than to qualify for Medicaid, 3.3.07 Payments to relatives, 3.3.07.1 For room and board, 3.3.07.2 For services, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Brian C. Schneider

DHA Case No. MDV 207202 (Wis. Div. of Hearings and Appeals February 23, 2023) (DHS) ↓ Download PDF A transfer for less than fair market value is a divestment, and payments to relatives often also need a notarized contract or lease. In this case, the petitioner’s son and POA used the proceeds from selling her […] Read more

MDV 198612 (06/24/2020)
No divestment for renting farm; divestment for family tuition payments, charitable gifts over 15%

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.03 Transfers for FMV, 3.3.06 Transfers made for purpose other than to qualify for Medicaid, 3.3.06.3 Pattern of gifting, 3.3.07 Payments to relatives, 3.3.07.1 For room and board, 5 Subprograms, 5.04 Institutional Long-Term Care, ALJ Jason M. Grace

DHA Case No. MDV 198612 (Wis. Div. of Hearings and Appeals June 24, 2020) (DHS) ↓ Download PDF Any transfer of resources for less than fair market value is generally a divestment, but there is an exception if the resource was transferred “exclusively for some other purpose than to become eligible for MA.” In this […] Read more

MDV 199858 (12/04/2020)
No divestment for paying boyfriend for services, but house sold less than FMV

Tags: 3 Financial Eligibility, 3.3 Divestment, 3.3.03 Transfers for FMV, 3.3.07 Payments to relatives, 3.3.07.2 For services, 5 Subprograms, 5.05 Home and Community-Based Waivers Long-Term Care, ALJ Debra Bursinger

DHA Case No. MDV 199858 (Wis. Div. of Hearings and Appeals December 4, 2020) (DHS) ↓ Download PDF Divestment is a transfer of non-exempt resources for less than fair market value. This case involved two potential divestments when the petitioner’s house was sold to her daughter and daughter’s boyfriend: (1) the boyfriend was paid $40,534.37 […] Read more

Tag: 3.3.07 Payments to relatives