Medicaid Myths Debunked with Schraeder Law

We are joined by guest Larae Schraeder, an attorney specializing in elder law and Medicaid eligibility and planning. Schraeder shares her expertise and personal experiences while discussing the intricacies of Medicaid and the importance of proper planning for long-term care.

Larae emphasizes the need for strategic preparation when it comes to potential long-term care or assisted living needs. She advises individuals to gather and retain financial documents, such as bank statements, during hospital stays and to consult and receive advice on preserving assets.

The topic of spending down to the $2000 asset limit for Medicaid is discussed, with Larae highlighting that it may not always be necessary but steps can be taken to meet the criteria.

Larae discusses the importance of transparency when filling out Medicaid information, particularly regarding gifts that have been made. There can be debates over eligibility, especially when it comes to defining what constitutes a gift.

Medicaid, a program that includes federal funding but is administered by individual states, is then explored. Larae explains the various benefits covered, including the SNAP program, health insurance for children, assistance with Medicare premiums for older adults, and long-term care for adults who meet certain criteria.

The parameters for qualifying for long-term care benefits in Ohio are outlined, including residency, meeting income limits, and having restricted assets. Larae also highlights the importance of strategic asset planning to prevent impoverishment for families stuck in the middle, who have too much to qualify for Medicaid but too little to afford necessary care.

The discussion then shifts to the challenges faced by facilities and the limitations they may have in providing legal advice regarding preserving assets. Larae cautions that qualifying for Medicaid does not guarantee the ability to keep assets and leave them to chosen individuals after death.

Larae explains the Medicaid estate recovery program in Ohio, where assets are reported to the state upon the Medicaid recipient's death. Schraeder assures listeners that estate recovery constitutes a small portion of the budget spent on Medicaid programs and is not a significant source of revenue.

Here are the resources we mention in this episode.

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Recorded in Studio C at 511 Studios. A production of Circle 270 Media® Podcast Consultants.

Copyright 2026 Carol Ventresca and Brett Johnson