I was in a debate of sorts with some fellow financial planners on a Facebook page. My "opponents" for lack of a better word were arguing that to engage in techniques that allows one to use Medicaid for health care was a legitimate pursuit, even if one is affluent.
To say I am shocked at this doesn't do justice to how I truly feel.
Let me explain what Medicaid is. Medicaid is health insurance for poor people. Medicare is for when you turn 65 and you get it regardless of income or assets.
Medicaid though is based on your asset levels. The goal was to assist those who are indigent with their health care.
Medicaid "planning" tries to get people who could otherwise afford to pay for their own care to hide assets in order to qualify for government aid.
Here's the problem with this. Medicaid is BROKE! There is no money.
Thus for every affluent person on it, means there is less for poor people who truly have no other options.
