Great News - Congress Passes ABLE Act

Congress Passes ABLE Act Yesterday, Congress passed the Achieving a Better Life Experience Act of 2014 (ABLE Act). The ABLE Act will create tax-favored accounts for children and adults whose disability occurred before the age of 26; a step in the right direction to helping families take care of their disabled children. The purposes of this Act is to: (1) encourage and assist individuals and families in saving private funds for the purpose of supporting individuals with disabilities to maintain health, independence, and quality of life; and (2) provide secure funding for disability-related expenses of beneficiaries with disabilities that will supplement, but not supplant, benefits provided through private insurance, title XVI (Supplemental Security Income) and title XIX (Medicaid) of the Social Security Act, the beneficiary's employment, and other sources. The ABLE Act will allow anyone to contribute to this tax-favored account however, beneficiaries are limited to one account. These accounts are able to receive up to the annual gift tax exemption (currently $14,000 per year). The ABLE Act will start to apply to taxable years beginning 2015. The Act requires amounts in ABLE accounts to be disregarded in determining eligibility for means-tested federal programs, except distributions for housing expenses under the supplemental security income program and for amounts in an ABLE account exceeding $100,000. The payment of supplemental security income benefits to an individual are suspended during any period in which such individual has excess resources in an ABLE account, but does not suspend or affect the Medicaid eligibility of such individual. The Act will allow qualifying parents to create tax-free savings account for their disabled or special needs child to be used for approved expenses such as education, housing, and health care. In addition to this, another big  for many families is that the savings account will not take the place of other benefits that the child may be eligible for including SSI and Medicaid. This is very important for families who have been faced with making a decision between providing for their child's future and getting their child the help that they needed through available programs now. Over 19 organizations signed a letter of support for the ABLE Act urging congressional leaders to the pass the bill including the Autistic Self-Advocacy Network, AutismSpeaks, Muscular Dystrophy Association, and the National Federation of the Blind.  Congress for a change worked together on this legislation which went through many twists and turns. The ABLE Act has been a labor of love for a lot of advocates, but it started as an idea by a fellow father, Steve Beck. Beck has a daughter with Down syndrome. Under existing law, individuals who qualify for SSI disability and Medicaid cannot hold more than $2,000 in assets in their own name. This creates forced poverty. Adults with Down syndrome, and other disabilities, must choose to work less, or be paid less, or not work at all so that they maintain the social support services they depend on for providing the basics. It's a system that enforces disability on the disabled. Beck wanted to try to fix this in some measure. Kids with just 46 chromosomes can receive tax advantages through college savings accounts to help them live independently. Beck thought something similar for individuals with disabilities should be acceptable to most policy-makers. While it took some time, it turns out he was right. The ABLE Act allows a savings account for specific purposes-education, transportation, housing, and other services-to be established to benefit individuals with disabilities, like Beck's daughter.

Learn About the Importance of the ABLE Act

The Achieving a Better Life Experience Act (ABLE Act)

What is the ABLE Act?

Individuals with disabilities face enormous and unimaginable financial struggles, yet do not enjoy the same financial planning tools as other Americans who are planning for college and retirement.

The ABLE Act (H.R. 647/S. 313), introduced in the 113th Congress by Congressman Crenshaw and Senator Bob Casey (D-PA), is federal legislation that aims to ease financial strains faced by individuals with disabilities by making tax-free savings accounts available to cover qualified expenses such as education, housing, and transportation. The ground-breaking bill has earned more bipartisan, bicameral support than any other bill in Congress. (380 House co-sponsors, 74 Senate co-sponsors)

ABLE would supplement, but not supplant, benefits provided through private insurances, the Medicaid program, the supplemental security income program, the beneficiary’s employment, and other sources.

With ABLE in place, individuals with disabilities would no longer have to stand by and watch others use Internal Revenue Service-sanctioned tools to lay the groundwork for a brighter future. The ABLE Act would open the door to a brighter future for millions of Americans.

To learn more about this important act, please click on the link below to join the January 8, 2015 webinar.

https://global.gotowebinar.com/join/7794500964558873089/170029027

Thanks to the Missouri Bar For the Opportunity

http://www.mobar.org/esq/cle/shepherd.htm

Social Security Sees a 1.7 Percent Increase

Don't spend it all in one place....

http://abcnews.go.com/Politics/wireStory/government-announce-social-security-cola-26366511

The Benefits of Hiring an Individual with Special Needs

Shepherd Elder Law has made a commitment to serving this community. They are our clients; they are the children and grandchildren of our clients. We value those with mental and physical disabilities and have been blessed to have Caroline on our team. Read more here:

http://www.kansascity.com/news/business/article2543287.html

From Bloomberg Businessweek...

Click here for an important information regarding the problem of student loan debt for older Americans.

http://www.businessweek.com/articles/2014-09-10/student-debt-collections-are-leaving-the-elderly-in-poverty

Senior Financial Fraud

Great article on senior financial fraud...

http://articles.philly.com/2014-08-01/news/52290666_1_investment-fraud-financial-fraud-senior-fraud

Be sure to reserve your spot for our upcoming seminar on this subject. See side bar for details.

MAY IS NATIONAL ELDER LAW MONTH

Elder Law Attorneys can counsel and assist seniors and individuals of all

ages with special needs. Elder Law attorneys throughout the country contribute a

great deal to their communities by educating seniors and individuals of all ages

with special needs about their legal options and providing, financially, for their care.

Please contact an elder law attorney if you or your organization would

like a speaker on any of the following topics:

Living Wills/Health Care Proxy Forms

Trusts

Medicare & Medicaid

Long Term Care Insurance

Public Entitlements, such as Social Security, 

Supplemental Security Income, and Veterans Benefits

Paying for Nursing Home Care

Estate Planning

Guardianship

Visit NAELA.org to find an elder law attorney in your area.

What Do Seniors Want? Just Ask!

What makes someone age 50+ want to stay in their community–or want to leave? For most, the answer is feeling safe and having good schools.

Those are the two top answers from more than 4,500 people age 50+ surveyed for a just-released AARP Public Policy Institute (PPI) report on what older adults feel is important for what is termed a “livable community.” (I’m guessing that excellent schools are connected to higher property values and perceived as contributing to a quality community.)

In the PPI report, respondents also valued streets that are easy to navigate and transportation for seniors and people with disabilities. And, add to the list:

• good parks and libraries
•  affordable housing funding
• more buses, subways and trains
•  nearby amenities like shops, and
• money for home modifications for the disabled.

Priorities ranked differently depending on people’s circumstances, among other factors. For family caregivers and people with disabilities, for instance, police presence was the most important, followed by schools and special transportation services. Survey participants with no disabilities and non-caregivers ranked schools number one, police as number two, and streets that were welcoming to pedestrians, third.

“We took a special look at caregivers because it is such an important group for the future of communities,” says Rodney Harrell, lead author of the study, and senior strategic policy advisor for PPI. “As boomers age and the population gets older, many more people will find themselves in caregiver situations. So we wanted to see if they had particular needs around the community.”

And? PPI found that caregivers and people with disabilities had many of the same views about what makes a place livable and desirable, but they were naturally more attuned to what made a difference in their lives, like special transportation services.

The survey reinforced an earlier finding from a 2010 AARP report showing that 86% people want to grow old in their homes (a.k.a. aging in place) and 85% in their community. In this latest study, 87% age 65+ and 71% ages 50-64 said “yes” to staying in their community.

If seven out of ten boomers have no plans to move out of the area, it seems to me that their interest in staying put, along with their sheer mass, makes it especially critical to meet their needs so that they have that quality community. Statistic alert: a mere 17% plan to move in the next three years.

It goes without saying that what is good for older adults will be good for all ages: better safety, schools, parks, transportation, and affordable housing help young families and singles in all stages. Next year, AARP plans to use the findings from the PPI study to create a web tool that will help people, regardless of age, see how their community stacks up as livable.

Source: Sally Abrahms (aarp.org)

Proposed Changed to Medicaid in Missouri

JEFFERSON CITY, Mo. (AP) -- Some Missouri Republicans have remained adamantly opposed to expanding Medicaid to hundreds of thousands of adults by tapping into billions of federal dollars available under President Barack Obama's health care law.

Yet support has been quietly growing among some of those same Republicans for a mini Medicaid expansion.

Some Republicans have teamed up with Democrats to back a proposal that would double the amount of assets people could have without being disqualified for Medicaid coverage. The change is projected to expand Medicaid to nearly 8,200 elderly and disabled residents at an eventual annual cost of around $160 million in combined federal and state funds.

"I think it will cross the finish line. I think we will change those asset limits," said Sen. Dan Brown, a Republican from Rolla who is chairman of the chamber's health committee.

Brown's support for the higher asset limits is notable because he's one of more than half of a dozen Republican senators who have vowed to block any attempt to enact the larger Medicaid expansion envisioned under Obama's health care law.

Under that federal law, states initially can receive full federal funding - but eventually must pay a 10 percent share - if they expand Medicaid eligibility to adults earning up to 138 percent of the poverty level, which is nearly $33,000 for a family of four.

About half of the states have adopted the expansion. Missouri could reap more than $2 billion annually from the federal government. But Missouri Republicans have repeatedly said "no." This past week, some GOP senators derailed debate on a Medicaid overhaul bill out of a fear that it could be amended to include Medicaid expansion.

One of the things tucked into that bill was the proposed increase in Medicaid asset limits. But none of the debate focused on that provision.

Under a 1968 law that remains in place today, senior and disabled residents cannot qualify for Medicaid if individuals have more than $1,000 of assets, or $2,000 for married couples. That calculation excludes the home they live in but not the money needed to repair the roof. A vehicle similarly would not count toward the limit, but the money needed to repair the transmission would.

A lot of other things have changed in the 46 years since those asset limits were last adjusted. If the limits had kept pace with inflation, they would now stand at more than $6,700 for an individual and nearly $13,500 for married couples.

Missouri's low limits mean the disabled and elderly must essentially drain their bank accounts in order for Medicaid to cover in-home care services that can help them remain self-sufficient and out of nursing homes, said Andrew Lackey, a public policy analyst for the Missouri Developmental Disabilities Council.

"You can't accrue savings to deal with unforeseen emergencies," Lackey said. "The rest of society is encouraged to save, but we have a system that discourages saving."

This past week, Lackey helped lead a disability rights rally at the Missouri Capitol. There wasn't much discussion of expanding Medicaid eligibility under Obama's health care law. Instead, participants were lobbying for higher asset limits and Medicaid coverage for adult dental care.

A bipartisan Senate health committee has twice endorsed bills this year that would raise the asset limits to $2,000 per individual and $4,000 per married couple. It included the provision in a larger Medicaid bill now stalled in the Senate. It also endorsed the change as a stand-alone bill.

Legislative researchers estimate the higher asset limits could cost a total of $125 million in 2015, with more than $30 million coming from state general revenues and the rest from federal and other sources. That total is projected to rise to $163 million by 2017, with nearly $40 million coming from state general revenues.

"I'd have concerns about the cost," said Senate Appropriations Committee Chairman Kurt Schaefer, R-Columbia, whose panel is to begin work Monday on the next state budget.

Sen. Rob Schaaf, an appropriations committee member, said he believes raising the asset limits ultimately could save the state money by helping to keep people out of nursing homes.

"I don't want to expand Medicaid," said Schaaf, R-St. Joseph. But he added: "I would support that" higher asset limit.

For Brown, the quest to raise the asset limits has become personal. His 84-year-old father has been paying out-of-pocket to reside in an assisted-living center for the past three years. Within the next six months, he's likely to run out of money and may have to apply for Medicaid, Brown said.

"I wish he could have a greater asset limit when it gets to that point," Brown said. "I personally would love to see it raised."

Author: David Lieb

Associated Press

Get Involved in National Healthcare Decisions Day -- April 16

Shepherd Elder Law Group, along with other national, state and community organizations, is leading a massive effort to highlight the importance of advance healthcare decision-making—an effort that has culminated in the formal designation of April 16 as National Healthcare Decisions Day (NHDD).

NHDD organizers are asking interested organizations and individuals throughout the country to help raise awareness about the importance of advance care planning on this special day—and throughout the year. To help realize this goal, they have created a Web site with information and tools for the public to talk about future healthcare decisions and execute written advance directives (healthcare power of attorney and living wills) in accordance with their applicable state laws.

The Web site (nationalhealthcaredecisionsday.org) also includes tips on how advocates can raise awareness in their communities. In addition to signing up your organization to participate, here are some of the ways you can help this important cause:

• First and foremost, lead by example…be sure you have thoughtfully considered and made your own healthcare decisions known.
• Next, make sure everyone in your organization is informed about NHDD (including staff, board of directors, volunteers and others) and ask for their involvement to promote NHDD in your community. (Suggestion: Have staff wear a button that says “Ask Me About Advance Directives!”)
• Provide a link on your organizational Web site to nationalhealthcaredecisionsday.org. It features a variety of information for the public and providers on advance care planning.
• Set up an exhibit about NHDD at your main entrance and offer information about advance care planning as people come by.
• Distribute NHDD promotional materials and advance care planning educational brochures at upcoming community events or health fairs. 
• Partner with your community library to set up a display highlighting books about advance healthcare decision-making and use NHDD promotional resources.
• Partner with local retail businesses by asking them to place a promotional flyer about NHDD in every bag. 
• Distribute flyers about NHDD in local physician offices and other strategic locations such as elevators in public buildings. 
• Encourage your state leaders to establish a state-sanctioned, secure on-line advance directive registry.
• Contact local media (newspapers, TV, and radio) and encourage them to write a piece about NHDD and advance healthcare planning.

Although several states have engaged in advance directives awareness events and numerous organizations have devoted substantial time and money to improving education about advance healthcare planning, only a small minority of Americans has executed an advance directive. NHDD seeks to address this issue by focusing attention on advance healthcare planning from a variety of directions simultaneously.

Organizations and coalitions interested in participating are encouraged to sign up at the NHDD Web site. State coordinators are also being recruited to develop statewide networks and outreach activities. For details, visit nationalhealthcaredecisionsday.org.