Personal care contract

Currently, thousands of Americans provide nursing care services for elderly families. However, depending on the circumstances, it may be beneficial for the parties to do personal care contracts where caregivers are paid for caregiver services offered by caregivers. As in the case of Medicaid, the rules recently adopted by Human Services (DHS) for Personal Care Contracts are very strict and complaining results in denying the benefits of Medicaid.

The in-home care provided for loved ones is often worthy of them and is suitable for payment as a care received at a nursing home or assisted living facility. However, Medicaid prescriptions are very important to understand that all care and assistance provided by relatives is being done for love and affection. Therefore, the received fee will be deemed to be a gift or transfer of assets below the fair market value that causes penalties and ineligibility based on Medicaid's new rules. In order to overcome this assumption, the following conditions must be satisfied.

1. All caregiver services must be performed after a written legal contract is concluded, dated and notarized by care providers and clients.


2. Clients can not be subject to Medicaid exemption, home hygiene, home help program, even for residents of nursing homes, adult nursing homes, hospitals and so on.


3. At the time the caregiver service is provided, it is recommended in writing that informs that caregiver service is necessary to prevent the caregiver service from being transferred to a residential nursing home or nursing home, unless the doctor signed it It will not.


4. The contract must state the type, frequency, duration, and consideration to be paid (not exceeding the fair market value) of the caregiver services being offered.


5. The contract must be signed by a client such as a power of attorney or by a legally authorized representative. However, when an agent signs a consent form, the agent can not become a caregiver.

Under appropriate circumstances, the caregiver contract will be a valuable tool to help families stay at home. Payment of nursing care services is also considered to be expended under Medicaid when nursing care facilities are needed. However, if it is not done correctly, Medicaid considers such a service to be provided for free, and payment will be treated as a medifid fine gift. If you are considering offering such a service, please consult an experienced elderly lawyer.