Protect Your Estate From Medi-Cal Estate Recovery With a Revocable Living Trust. California Estate Planning and Medi-Cal Estate Recovery.

Protect your home and assets from Medi-Cal Estate Recovery!

As a California estate planning attorney, the number one rule I give my clients is simple: “We do not go to the nursing home unless absolutely necessary.” No one wants to go into a nursing home. But serious medical conditions like Alzheimer’s, Parkinson’s, ALS, and other progressive diseases can create an unavoidable need for skilled nursing care. The financial impact? Devastating.

🏥 The Rising Cost of Nursing Homes in California

In 2025, the average monthly cost of a nursing home in California is $13,656. That’s a $1,048 increase over last year—and the trend shows no signs of stopping. Without proper planning, these costs can destroy everything you’ve worked your whole life to build.

But here’s the good news:

✅ Proper Estate Planning Can Protect Your Home and Savings

If you plan ahead—and create a Revocable Living Trust with the guidance of an estate planning attorney who understands Medi-Cal eligibility rules—you can avoid probate, qualify for benefits, and shield your home from government recovery efforts. Let’s look at your options...

💰 The 4 Ways to Pay for a Nursing Home

1. Write a Check Every Month (The Worst Option)

Paying out-of-pocket can burn through your savings in months. I help my clients avoid this option entirely.

2. Long-Term Care Insurance (Buyer Beware)

While this is a common suggestion, there are major pitfalls:- Hard to Qualify – If you're too old or have preexisting conditions, you won’t get approved.- Expensive Premiums – At age 55, you’ll pay $1,500–$2,500/year. At age 70, it could jump to $4,500–$7,000+ per year.- Big Deductibles – Many policies won’t kick in for 90 to 180 days. That’s up to $81,936 out-of-pocket before coverage even starts.- Limited Coverage – Most plans only pay half the bill, and only for 3 years. What if you need care for 10 or 20?Result: false sense of security, real financial disaster.

3. Medicare (Short-Term Rehab Only)

Medicare may cover up to 100 days of care—but only if you're improving. If you plateau or decline, coverage stops immediately. It’s not meant for long-term care.

4. Medi-Cal (The Best Option—If You Plan Ahead)

Medi-Cal can cover:- Room and board- Most prescription drugs- Skilled nursing careAs of 2025, asset limits no longer apply. If your income is too low to cover skilled nursing, you may qualify.But there’s a catch: Medi-Cal Estate Recovery allows the state to claim reimbursement after you die—unless your assets are in a Revocable Living Trust.✅ Good news: Under current law, Medi-Cal cannot recover against assets in a properly drafted trust.

💀 The Hidden Threat: Medi-Cal Estate Recovery

Many Californians are surprised to learn that Medi-Cal isn’t truly “free”—at least not after death. Here’s how it works: When Medi-Cal pays for your nursing home care, it keeps a running total of the benefits it provides. After you die—or after both you and your spouse have passed away—the State of California will seek reimbursement from your estate for the cost of those services. This process is called Medi-Cal Estate Recovery. If your assets go through probate, the state can file a creditor’s claim in your estate and collect up to the full amount it paid on your behalf. This can result in the forced sale of your home, leaving nothing for your children or heirs.

🛑 How to Avoid Estate Recovery. Protect Your Estate From Medi-Cal Estate Recovery With a Revocable Living Trust.

The key to protecting your assets is to avoid probate altogether. That’s exactly what a Revocable Living Trust does. When you transfer ownership of your home and assets into a properly drafted trust, they are no longer considered part of your probate estate. And under current law, Medi-Cal cannot pursue recovery against assets held in a revocable living trust. This simple legal tool can shield your home and savings from government claims—and ensure they pass smoothly to your loved ones.

🛡️ Protect Your Home and Family—Create a Trust Now

A Revocable Living Trust helps: preserves your home and property, avoids Medi-Cal estate recovery, keeps your family out of probate court, and protect your spouse and children. Everyone's situation and family dynamic is different. I want to encourage you to make an appointment to discuss your estate planning issues. That is I don’t charge to sit down and talk. This no-pressure conversation gives us both a chance to decide if we’re a good fit. If we connect at our appointment, I will quote you a fee and help you get your estate squared awayl. 📞 Call me today at (559) 625-4205 or visit  🌐 www.visaliaestateplanning.com 

Russell C. Miller, Esq. 

Estate Planning Attorney

Visalia, CA 

Helping Central Valley families protect what matters most