Very generally, here's my situation...

My MIL passed away around Christmas. Now, FIL living at home alone (he's 85). Doing okay for now, but who knows how long (early dementia). He's a vet, and we have someone coming to the house to cook, visit with him, take blood pressure, 3 times per week. In addition to that my wife goes over about 2 days per week.

He has a home worth probably $190k, and about $40k left on the mortgage. I pay the mortgage, and have for years because they are fixed income. I paid for MILs funeral in December (talk about sticker shock). He has one car (was my MILs) and we need to sell it because he doesn't drive. It's not worth much...2-3k. He has no money, maybe $3k to his name....lives on SS payment and we supplement anything he needs.

My main question -- is there any way to protect his home? He wants to leave for my wife (he says it's the least he can do since we've been paying his mortgage and basically supporting him for 15 years). I am under the impression that if it gets to the point that he cannot live alone, we are going to need to liquidate his assets before he would get assistance, even as a Veteran (I could be off base on this).

Any way at this point to protect the investment in the home?

I would look for someone who understands Elder Law. I can speak somewhat about it, but my experience with it was 7 years ago. I still know some potential tricks, but they may not work anymore.

Texas is very citizen oriented. They try to protect you from the Fed rules. For my MIL, we were able to pass the house upon death and avoid probate. My MIL was on Medicaid/Disability for the last 2 years of her life. When I called Medicaid after she passed, I asked if they were going to ask us for money to reimburse what she spent, and they told me no. They said she barely spent much money. I am not sure how that is or what department the money came from, but wife got the house with no lien from Medicaid.

There is more to how the process works and how it may be favorable if in Texas, but that may have changed.

I know of a guy here in Austin who does nothing but Elder Law. He has given me and my clients advice. Sometimes, it was free advice because it was so simplistic. Yours may be the same.

Start asking attorney contacts about it. Probate and Estate attorneys may know some of the basic things to do.

John McNair with Underwood Perkins is probably the top expert in Dallas. Steve Early in Colleyville also focuses on elder care in his practice and is an Aggie.

If they can't help, they can certainly point you in the right direction.

Recently dealt with a similar but more complex issue with my grandmother. We used John Wessler in Waco and he helped a lot. http://www.jhsfirm.com/Our-People/John-Wessler.shtml Veterans and their spouses are eligible for assistance from the VA for long-term care and in home care. I think my grandmother was getting $1100 per month. Veterans themselves get more. To be eligible you have to have most assets out of his name but unlike Medicaid they don't have a look back period. My grandmother was burning through her estate paying for LTC. We transferred everything to a LLC, I used her assets to purchase some rent houses and John set up the VA benefit. Together, that more than covered her needs. They will even pay veterans that are home bound as well but at a lower rate. You should get in touch with John Wessler. I think he does a free consult.

You should talk to an attorney for this advice. I just got out of an appointment where I was talking with a client and attorney about a situation very similar.

Essentially the house is a non countable asset. However you may want to consider a lady bird deed so that Medicaid won't come and try to put a lien against the house later.

House and car and pre paid funeral are most common non countable assets for Medicaid purposes. Beyond that there are limits on how much assets and income he's allowed to have. However there are some measures that can be put in place. This seems pretty straight forward.

Having someone come out three times a week is covered by his Veteran benefits, which is great.

My wife's biggest fear is that at some point his health deteriorates, and he needs more care. She's worried that before he may be able to get that care, he'll have to liquidate the house.

I'm hoping it's straightforward.

Forgot to leave an attorney referral.

I would call Brian Frink in Frankston. He will do a great job for a fair price.

One thing to also look into is how the deed to his house is. Is your MIL still on the deed? If she is, taking care of that now before your FIL passes away can help avoid some issues (at least here it avoids having to open two separate probates). Talk to a lawyer first, and have a copy of the deed with you.

Could also maybe look at refinancing and having your wife added a joint tenant with right of survivorship. Just a thought, dont know if it would work or not. Not a lawyer.