No. of Recommendations: 19
Here's the real deal on Obamacare and estate recovery:

If you're a multi-millionaire who legally managed to minimize investment income and qualify for free Medicaid, the Gov't will try to recover the benefits paid. But they're not going to come for some poor black grandmother's shotgun house in Houston.

So don't go whole hog and try to qualify for Medicaid if you're wealthy and worried about asset recovery. Stop at 138% of the Federal Poverty Level and be content to collect a sizable tax subsidy plus a reduced annual out-of-pocket limit of about $2,000 instead of the $6,000 that higher income people get.

Today's overblown Obamacare fear: Will Medicaid take my house?

On the whole, the estate recovery program hasn't been a big moneymaker for government at any level. Since 1993, California has collected $978.5 million, Williams says. That's 15 hundredths of one percent of the $621 billion it has spent on Medi-Cal in that time. The state's average claim is $95,000, but its average recovery is only $15,000; the discrepancy can be chalked up to hardship waivers and to the basic fact that most Medi-Cal enrollees don't have much to their names, if anything.

According to federal figures compiled in 2004, all the states together recovered only 0.8% of their nursing home expenditures that year.


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