Adding my wifes name to her moms deed

[crazy charlie]

We recently lost my father-in -law to cancer.It has been suggested to my wife that she have her name added to my mother-in-laws deed to protect her home in the event she ever has to go into a nursing home.My wife and mom-in-law are still devestated and are asking me if this is a good idea and I dont know if this will effect us adversely in any way.It has been suggested that it may have to be reported as income.Any one have any experience with this.Charlie

 

[Bob_VT]

Re: Adding my wifes name to her moms deed

It is not reported as income. As a matter of fact that would mean your wife gets to declare her half of the taxes and it adds deductions. It is a very good idea. When my first wife got severely ill it was advised that we had everything jointly. It protected our home when she went into a nursing home. It is advisable to do it early or it will appear that your MIL is trying to hide assets.
Now that I am re-married I made sure to put my new wife on everything.

An additional items that your MIL should have in place is a Hippa agreement and a General Power of Attorney Despite the fact your wife is her daughter no one in the medical field has to tell you anything. I know it sounds morbid but get this stuff in place early to protect all involved.

 

[crazy charlie]

Re: Adding my wifes name to her moms deed

Thanks for the reply Bob.We took care of the power of attorney already.What do you mean by a Hippa agreement??Charlie

 

[Bob_VT]

Re: Adding my wifes name to her moms deed

HIPAA C&P HIPAA, which stands for the American Health Insurance Portability and Accountability Act of 1996, is a set of rules to be followed by doctors, hospitals and other health care providers. HIPAA took effect on April 14, 2003. HIPAA helps ensure that all medical records, medical billing, and patient accounts meet certain consistent standards with regard to documentation, handling and privacy.

In addition, HIPAA requires that all patients be able access their own medical records, correct errors or omissions, and be informed how personal information is shared used. Other provisions involve notification of privacy procedures to the patient. HIPAA provisions that have led in many cases to extensive overhauling with regard to medical records and billing systems.

However, it can be frustrating wading through online information on HIPAA. This website can help you become more educated about this important subject. In this way, you can be better informed when contacting HIPAA consultants.

In a nutshell NO ONE will discuss ANYTHING medical or even release records without this agreement in place. If your wife needed to know what was going on with her Mom from a Doctor .... without the agreement the Doctor will not release ANYTHING. Even if her Mom was incapacitated the medical personal will not release anything. It's the law.

 

[OLDSPUD]

Re: Adding my wifes name to her moms deed

A few things to carefull of before deeding anything:

Check with your P&C Insurance agent (homeowners policy) I have seen where claims have been denied because the owner of the property in not the named insured on the hazard policy. In this case I would think it would be fine, but check anyway.

On your power of atty, I don't know what state your from, but here in the west it is recommended that you use a durable POA. a standard POA will not survive incompetancy, standard language on a durable POA should include the power to survive incompetancy or inability to act for other reasons. Also if you get a good POA it will include a second named individual to act in case the first named person is dead ect.

People who run retiement homes aren't stupid, they can read deeds.

I have seen in some court cases that if the deed conveying title to someone ellse was not for value, a good atty will have the deed overturned or ignored. Hence a good atty for a nursing home could prove that the deed was for avoidance of placing the home as collateral for services performed.

A deed not for value is conveying title to avoid judgments, financial obligations and so forth, no sale was performed and no money changed hands. A deed for value is a deed used when a viable (real) purchase has occured $ changing hands

I can't remember the difference between medicare and medicade, but one of the two will still lien the property for nursing care and prosecute (sp) the homeowner for avoidance of payment and so forth.

You should get the advice of a good REAL ESTATE attourney, not your brother-in-law or your neighbor, but a good real state attourney before perparing any deeds to any property you own to avoid nursing care costs. You could lose bigger in the end.

Your attourney can also perpare a good power-of-attourney for you. DO NOT USE THE ON LINE OR ANY CHEAP SOURCE FOR ANY REAL ESTAE MATTERS OR DOCUMENTS, unless your are quite experienced with these type of transactions.

Most of the people I deal with that have real estate problems are those who have tried to save money and prepare and record documents themselves. And the next to most of the people I deal with that have problems are those where the families are fighting, people have a tendency to change when it comes to money and property.

Spud

 

[rottenray6402]

Re: Adding my wifes name to her moms deed

I agree with Spud, I used to do some finacial and estate planning and the bottom line is being cheap can cost plenty later on. A living will, a regular will, a POA and the HIPPA will cover things but they and the deeding have to be done correctly or it creates a whole bunch of problems. Also if elderly relatives own any stocks make every effort to determine when they were purchased or gifted. If the person dies then the cost basis is what they were worth at time of death. If the person becomes incapable of handling their affairs and the stocks have to be sold to cover expenses it becomes a nightmare trying to determine cost basis for tax implications.

 

[tommays]

Re: Adding my wifes name to her moms deed

Based on how badly my Moms estate was done buy BAD lawyers pretending they new elder care law i would say its well worth the money to pay a GOOD elder care one

Some simple things done worng on hers cost a very solid 6 figures

Tommays