Expense Planning

To shield retires and seniors from the high cost of receiving long term care and protect their hard earned assets, P.A. Consulting Services promotes and sells Long Term Care Insurance and similar type products that provides long term care benefits. These are typically called Long Term Care Hybrid or Asset-Based Long Term Care Contracts.

Another attractive vehicle for younger retirees or pre-retirees is called a “Partnership Contract” or “Qualified Contract”.  Agency for Health Care Administration or AHCA, the agency that is responsible for the oversight and administration of Florida Medicaid states that these contracts provide certain benefits for individuals who subsequently need to apply for Medicaid.

There are also special type of annuities that can help with qualifying for government programs. These products can provide income to an applicant or a spouse for lost income from the institutionalized spouse or an allowable spend-down.*

Asset-Based Long Term Care contracts or Hybrid annuities and life contracts can provide tax free income to Seniors to pay for the cost of long term care.  Some contracts provides as high three times your account balance towards long term care and the income is tax free.  For example an annuity with account balance of $100,000 is eligible for $300,000 in tax free income to cover long term care expenses.  In the event that no long term benefits are needed, the assets is available for use or the unused account balance can pass on to a beneficiary. In other words, your $100,000 annuity could cover your long term care needs without having to apply for Medicaid or Traditional long term care insurance.  However, to qualify, you would need to have a contract in place before long term care services are needed and in fair health up to age 85.

​*You will need to consult a qualified elder law attorney to determine the feasible and legal advice on the use of this product for Medicaid Planning purposes.