To clarify things, you will need a signed and dated contract and certain obligations. Visit caregiver.org for advice on personal agreements. If the hired guardian is a family member or friend who lives in the same house, there may be tax benefits for the employer. Simply put, if the caregiver is there to „care“ for the patient and does not give up more than 20% of his daily activities, the caregiver cannot be entitled to a minimum wage. Family Caregiver Alliance National Center on Caregiving (415) 434-3388 (800) 445-8106 Website: www.caregiver.org email: [email protected] FCA CareJourney: www.caregiver.org/carejourney Family Care Navigator: www.caregiver.org/family-care-navigator Another legal consideration is whether the care recipient is unable to sign the contract. The person who holds the power of attorney or the guardian or the curator can sign. If the caregiver also holds the beneficiary`s power of attorney or guardianship, you should consult a lawyer. If you don`t think there`s a lawyer, read examples of agreements in the Resources section. In California, Medi-Cal (California Medicaid) can pay for nursing home or long-term care for those with modest incomes and limited assets. To be eligible, the Medi-Cal beneficiary must meet certain requirements. Seniors often „spend“ their assets using funds to pay for things like paid funeral expenses, home repairs, medical equipment and debts to reduce the dollar value of their assets. No, it is not necessary to hire a lawyer to create a personal care contract, but in some situations it is highly recommended to seek advice and advice from a professional Medicaid planner.

This is particularly the case when the recipient plans to seek long-term care in the future. If a personal care agreement is not drafted correctly, a Medicaid applicant may unknowingly violate Medicaid`s return rule and be punished with a period of Medicaid ineligibility. Medicaid experts are familiar with the specific rules for personal care agreements in the state in which you live and can help ensure that the contract complies with Medicaid. For people considering a lump sum payment, it is even more important to consult a professional who is seeking advice, as the risk is higher that the payment looks like a gift and thus violates Medicaid`s „Look Back“ rule.