The VA has proposed a rule that seeks to limit a benefit available to wartime Veterans in need of long-term care. As it currently stands, Veterans who served during wartime and have either a non-service connected disability or are over the age of 65 can receive a “Veterans Pension” to help assist with the costs of long-term care. In order to qualify, the Veterans need to meet certain income and asset requirements. Generally speaking, the maximum a Veteran with a dependant can receive is $2,120.00 per month; for their surviving spouse, $1,149.00 per month. With the average cost of a semi-private room at a nursing home costing on average $6,750.00 per month, the benefits offset, but do not fully cover long-term care needs.
The proposed rule creates a three-year “look-back” period on gifts and other transfers. Additionally, the proposed rule creates a maximum 10-year penalty waiting period if the Veteran is caught making those transfers. Under the proposed rule, there is no way for the Veteran to rebut a gift or transfer. In order to qualify, the Veteran will be required to produce three years worth of bank statements and tax returns to ensure that the veteran complied with the “look-back” period.
In addition to the look-back period, the proposed rule will cap the amount of home health expenses a veteran can deduct to qualify. The VA will also be including lots of two acres or larger in the accounting of the Veteran’s resources when determining eligibility. The likely result for many veterans is that they will have to sell their property in order to get help with long-term care. The scariest part of this proposed rule is that it does not require authorization by congress. This is a rule that will certainly affect many veterans negatively and they deserve better.
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-Sean Hurley, Esq.
