The goal of any Certified Medicaid Planner (CMP), according to the Governing Board of Certified Medicaid Planning, “is to provide his or her client with the most cost-effective and legal way to achieve eligibility for Medicaid.” It’s a simple goal, but achieving it can be complex process.
In most cases, the CMP will start the process by determining if the client meets their Medicaid eligibility requirements for their situation, which will depend on the client’s state of residence, the Medicaid program they’re applying for and their marital status. If they don’t meet those requirements, the CMP will implement a strategy that will help the client meet the requirements while maximizing the client’s available resources. This might include “spend down,” Medicaid Compliant Annuities, a Qualified Income Trust and more. But all of these strategies are complex and using them incorrectly could lead to an application being denied and a penalty period of ineligibility, which is why it’s not recommended trying any of them without the help of a professional planner.
If the client meets the limits, or once they meet them after using the qualifying strategies, the CMP will help the client properly complete and submit their application at the appropriate time. This includes gathering all of the required financial paperwork, which is usually the most time-consuming part of the application process, but it won’t take as long if you work with a CMP. That’s because they will know what documents you need and where to get them. They also know how to present those documents with your application to clearly illustrate your financial history and make sure you aren’t wrongfully denied or penalized. After the client’s application is submitted, the CMP will stay on top of the Medicaid state offices to make sure they reply in the appropriate amount of time and that the client receives all the health care and financial benefits to which they are entitled.
The precise details of the Medicaid Planning process will depend on the individual client and when they hire the CMP. For clients with complex financial situations who hire a CMP well before they need long-term care (five years in most states), the CMP will have a wide range of options to help the client maximize their resources. The CMP could, for example, use a Medicaid Asset Protection Trust to keep the client’s resources, including their home, safe as a family inheritance. For clients who have a sudden need for long-term care, the CMP still has options when it comes to maximizing resources, and they will be able to help the client complete and submit the application and start receiving long-term care as soon as possible. This can be critical in a crisis situation, but almost impossible to do if you don’t have a thorough understanding of the Medicaid system.
To become a CMP, eligible candidates must meet an educational/experience requirement. If they have a juris doctorate, or a master’s degree in accounting, health financing or social work, they meet the educational/experience requirement. They also meet it if they have a bachelor’s or associate’s degree, plus two years of full-time experience in one or more of the Medicaid planning fields (including law, finance, social work and geriatric care management); or if they have a professional securities license or insurance license, or a Certified Financial Planner designation, plus two years of full-time experience in a Medicaid planning field; or if they have four years of full-time experience in a Medicaid planning field.
CMP candidates must also pass an examination that measures their knowledge of the Medicaid system and their planning proficiency. In addition, candidates must promise to maintain the highest professional and ethical standards. CMPs also have continuing education requirements they need to fulfill after they’re certified to stay up-to-date on their Medicaid expertise.
Elder Law Attorneys are lawyers that specialize in laws and cases with seniors. Like a CMP, Elder Law Attorneys can help clients qualify and apply for Medicaid. Both can probably cope with any issue that arises during the process, but they also have different specialties that might be useful depending on the client and the situation.
In general, CMPs are extremely capable and accurate when it comes to Medicaid planning, qualifying, applying and benefits. They demonstrated their knowledge during the certification process and they put it to use on a daily basis working with clients. They know all of the ins and outs of Medicaid and its various programs, like which ones have the longest wait lists, which ones have the most available benefits and, most importantly, which ones are best for you. And CMPs know all of this so thoroughly and can apply it so quickly that they can help clients who come to them at the last minute and need care immediately.
Elder Law Attorneys, for the most part, are best for clients with complex legal or financial situations. If they have a stake in a business, for example, or if they are considering a divorce as part of their planning strategy. Elder Law Attorneys are not usually as familiar with the details of Medicaid benefits as CMPs, but there are certainly some attorneys who have spent so much time working on Medicaid cases that they are as familiar with the entire system as a CMP.
Another difference between CMPs and Elder Law Attorneys is what they charge. In general, CMPs are more affordable than Elder Law Attorneys. That’s because most CMPs charge a flat fee, like we do at Eldercare Resource Planning. Depending on the CMP and the services needed, this flat fee can range anywhere from $6,000 to $12,000.
Most Elder Law Attorneys, on the other hand, charge an hourly rate. Since most of them are not experts at the administrative side of planning and applying like CMPs, those hours can start to add up quickly. And the complete engagement costs is often unknown at the start of the engagement.
For some seniors, an Elder Law Attorney will be worth the price. But most seniors will need the expertise of a CMP, and they’ll be glad to know that’s the more affordable option. To find out what a CMP can do for you, connect with us now.
