Protecting Your Legacy—And Your Loved Ones' Futures

At The Law Office of Susan A. Katzen, we often meet families who have worked hard, saved diligently, and want nothing more than to protect what they've built for the people they love. One client's story stands out: a woman came to us, deeply worried about what would happen if her husband ever needed nursing home care. After watching a neighbor lose nearly everything to long-term care expenses, she was determined to find a better way.

Her concern is one we hear often—and it's well-founded. Long-term care is one of the greatest financial risks facing retirees today. With costs ranging from $50,000 to $100,000 per year, and average stays lasting two to five years, even a lifetime of savings can be wiped out in a matter of months.

Did you know?
Nearly 70% of people will need some form of long-term care during retirement. The real question isn't if care will be needed, but how you can afford it—without sacrificing your family's security or your legacy.

Understanding Medicaid—and Its Limits

Medicaid can help cover long-term care, but there's a catch: you must spend down almost all your assets before you qualify. That means you may receive care, but your spouse or children—including those with special needs—could be left with little to nothing.

How a Medicaid Asset Protection Trust (MAPT) Can Help

This is where a Medicaid Asset Protection Trust comes in. By transferring certain assets into a MAPT, you can protect them from being counted when Medicaid determines your eligibility. This means you may still qualify for care when you need it, while ensuring your home, savings, or other assets are preserved for your loved ones—including those who may rely on you for lifelong support.

How does a MAPT work?

1. The trust must be set up well in advance, due to Medicaid's “look-back” period.

2. It must be irrevocable—meaning you can't simply take assets back out.

3. When structured properly, you may still benefit from those assets in limited ways, while protecting them for your heirs.

MAPTs are especially valuable for families with non-retirement assets, such as real estate or investments outside of IRAs. And for families with a loved one with a disability, a MAPT can work alongside a Special Needs Trust to ensure government benefits are protected and your child's future is secure.

More Than Just Medicaid Protection

A MAPT can also help you:

1. Plan for estate taxes. While today's exemption is high, it may decrease in the future. A trust can help reduce potential tax exposure.

2. Control how and when your heirs inherit. You decide if assets are distributed over time, at certain ages, or protected in case of divorce or other life events.

3. Coordinate with special needs planning. Ensure your loved one with a disability is cared for—without jeopardizing vital benefits.

Is a MAPT Worth the Investment?

Setting up a Medicaid Asset Protection Trust is an investment in your family's future. While costs can range from $7,000 to $12,000, the peace of mind and protection it provides often far outweigh the expense—especially when your family's security and your child's lifelong care are at stake.

Plan Ahead—And Protect What Matters Most

The woman who came to us chose to move forward with a MAPT. Years later, when her husband needed nursing care, their home and savings remained safe. She had peace of mind knowing her children—including her son with special needs—would still receive the inheritance she and her husband worked so hard to build.

If you're concerned about how long-term care costs could impact your retirement, your legacy, or your loved one with special needs, now is the time to plan. At The Law Office of Susan A. Katzen, we help families explore whether a Medicaid Asset Protection Trust is the right solution for their unique needs.

Take control of your future today.

Let's work together to protect your legacy—and every member of your family.