The asset transfer penalty applies to any transfer for less than fair market value made during a period preceding or following a request for long-term care services. The look-back period is determined as follows:
- The look-back date for transfers made on or after February 8, 2006 is 60 months before the later of the date the individual is institutionalized and the date applies for Medicaid.
Transfer to Individual
Determine the household members to look at a transfer to individual. (See Penalty for Resources Transferred by the following Individuals.)
Determine if there are any invalid resource transfers in the look-back period for the specified individuals:
- Determine if the asset is countable or excluded
- For countable assets where the transfer occurred in the look-back period, determine if an
Invalid Resource Transfer Exception applies
- If an exception doesn't apply, determine the uncompensated value for each transfer.
- Check if Uncompensated Value is greater than zero.