Using joint bank accounts when financing long-term care can be beneficial for many reasons. For example, it can be helpful to establish a joint account from which a son or daughter can draw to help an aging parent with shopping or paying bills. Likewise, seniors in nursing homes might find it useful to establish a joint account so that a child can purchase amenities for them outside of the facility.
However, simply placing a child’s name on a bank account does not completely transfer the account to the child. This is true even if the child’s name has been on the account for several years. Assets in a joint account are generally counted for purposes of determining ALTCS eligibility. Generally, ALTCS counts the entire amount unless the applicant can show the child contributed the resources to the account. This rule applies to savings and checking accounts, credit union and share draft accounts, certificates of deposit, and other similar financial accounts.
For more information about ALTCS financial eligibilty requirements, please contact a JacksonWhite Elder Care Coordinator at 1-800-243-1160.