Health Care Planning

Understanding Medicare v. Medicaid in Texas

Published on: August 8, 2024 | By David W. Miller

Medicare and Medicaid are two government benefits with very different purposes and very similar names. Because clients often come to us feeling understandably confused between the two, today’s blog post will cover the fundamental differences. This blog can serve as a touchpoint for the future when you want to apply for either benefit.

What is Medicare?

Medicare is health insurance from the federal government. The government provides Medicare for anyone 65 or older, as well as some people under the age of 65 who have certain qualifying disabilities. When you reach the age of 65, though, regardless of your health, you automatically qualify for Medicare.

To receive Medicare under the “qualifying disabilities” standard, individuals must have received Social Security Disability benefits for 24 months. As an alternative, individuals could have one of two conditions: (1) End Stage Renal Disease (ESRD) or (2) Amyotropic Lateral Sclerosis (ALS). Frustratingly, individuals with one of these diseases can only receive Medicare five months after their diagnosis. In general, it can take a long time for the government to process Medicare paperwork, so we recommend applying as soon as you know that you might qualify under one of these conditions.

Do Medicare and Medicaid Cover Psychiatric Services for Children?

Published on: December 21, 2022 | By McCulloch & Miller, PLLC

Statistics indicate one of every four children will have a childhood mental illness. And in Texas, in 2020, over 500,000 children were diagnosed with anxiety or depression. If you have a child or teen with mental health needs, you are not alone. But many families fail to consider mental health needs when planning for public benefits.

Public benefits programs like Medicare and Medicaid cover mental health services in addition to more traditional health care. Families that make over a certain income level may think they do not qualify for these programs. But these programs often increase access to health care and include benefits and programs not available under traditional employer-provided insurance, so it’s worth determining if your family qualifies via benefits planning or other income levels. In addition, Texas has programs for children of families that do not qualify for Medicaid. There are certain estate planning tools that can help aid in Medicaid qualification, such as Miller Trusts or lady bird deeds.

Medicare Coverage

Medicare is a federal health care program administered by the federal government and is available to anyone regardless of income, so long as they are over 65 years of age or have a specific disability. Medicare covers a wide range of mental health services but does not cover most long-term care costs. And Medicare patients may have to pay deductibles, copays, and other out of pocket costs. Medicare Part B covers outpatient mental health services that can include partial hospitalization, depression screenings, diagnostic testing, individual or group psychotherapy, and other medication and counseling needs. Medicare Part A covers inpatient mental health care at a regular or psychiatric hospital.

Texas Estate Planning and Health Savings Accounts

Published on: April 12, 2022 | By Thomas W. McCulloch

health savings accounts in estate planning

There is more to an estate plan than just a will. Other assets are included in estate plans, including financial accounts. Most financial accounts function the same for estate planning purposes. However, health savings accounts—often referred to as HSAs are treated differently in estate plans and from a tax perspective. Health savings accounts allow individuals to contribute money to them to then be used for medical expenses. Because health savings accounts are treated differently than other accounts, below are common questions and explanations about HSAs in estate plans.

What is a Health Savings Account?

A health savings account (HSA) is a health insurance account where qualified individuals can contribute up to $3,600 per year—and $7,200 for families—on a pre-tax basis. These funds can then be withdrawn, tax-free, to use on medical expenses. However, individuals can only contribute to health savings accounts if they have a high deductible health plan.

Health Savings Accounts in Texas Estate Plans

Published on: February 9, 2022 | By McCulloch & Miller, PLLC

Many individuals think about various accounts listed in their estate plan—financial bank accounts, insurance policies, and others. However, health savings accounts function differently than most other accounts but can be critical. They benefit both the creator of the estate plan and their beneficiaries—the individuals who will receive the assets and property after the creator of the estate plan has passed away. Below are common questions and solutions to estate planning problems involving health savings accounts. While Texans will have various uses for their health savings account, this information can assist individuals in their estate planning decisions.

What is a Health Savings Account?

A health savings account is an account that allows an individual to set aside money to pay for health expenses in the future. These funds are placed on a pre-tax basis, meaning they can be used to pay for deductibles, copayments, or other medical necessities.

Impact of Increasing Healthcare Costs on Texas Estate Plans

Published on: June 22, 2021 | By McCulloch & Miller, PLLC

Society as a whole has experienced unexpected and overwhelming changes over the past year. These changes have undoubtedly caused people to consult with their Houston estate planning attorneys to address their long-term goals. Recent surveys by TD Wealth highlight several issues that have impacted estate planning.

Healthcare Costs Skyrocket, But That’s Not the Only Problem

As Americans continue to live longer, many families incur hefty healthcare costs long after they stop working. The surveys reveal that rising healthcare costs combined with market volatility present significant challenges to those creating Houston estate plans. Previously market researchers from TD Wealth found that one of the most significant threats to effective estate planning came from familial conflict.

What Is a Texas Physician Order for Life-Sustaining Treatment?

Published on: March 29, 2021 | By McCulloch & Miller, PLLC

Thinking about end-of-life treatment is often stressful and overwhelming. However, planning ahead can often be the difference between having a medical professional follow your wishes and risking the alternative. A way to keep control over medical care is by filling out a Physician Order for Life-Sustaining Treatment (POLST) form. A POLST form provides important medical decisions for emergency medical personnel to follow. The order can be applied at any place of treatment and includes decisions like whether or not to administer cardiopulmonary resuscitation (CPR). Below are common explanations about POLST forms and their necessity for those engaging in the Houston estate planning process.

What is a POLST Form?

A POLST form is a physician order set that travels with a patient from one place of treatment to another. The form discusses the patient’s preferred method of treatment, specifically regarding CPR status, intensity, and use of additional methods like antibiotics. The individual fills out the form and it is signed by a physician. When the patient is transferred to another location—or is discharged—the form literally goes with them.

How Doctors Can Protect Assets

Published on: October 23, 2019 | By McCulloch & Miller, PLLC

Any high-income professional must expect that at some point there will be a bad outcome and a lawsuit against them and/or their practice. Doctors, in particular, need to be sure that they have the correct protection in place.

Whether you are a surgeon, chiropractor or cardiologist, at some point in time, some patient is going to commence a lawsuit alleging malpractice, warns Physician Sense in the article “The Do’s and Don’ts of Asset Protection for Doctors.”

With a good chance of being involved in a malpractice suit at some point in your career, the time to think about protecting your assets is right now, before a patient sues. After the fact, this might look like a way to avoid a creditor. Many courts will cancel those actions.

Catching Up in Retirement Savings Later in Life

Published on: May 9, 2019 | By McCulloch & Miller, PLLC

Nearly half of American households older than 55 have no retirement savings. The U.S. Government Accountability Office says that this number is actually better than in the past.

According to the article from CNBC, “These people are on the verge of retiring—and they have nothing saved,” an analysis of the Federal Reserve’s Survey of Consumer Finances shows that 52 percent of households had nothing saved for retirement in 2013. The number is now at 48 percent. It is not much of an improvement.

If your household is behind on retirement savings, here’s what you can do:

Think You’ll Live to Celebrate 100? Planning for Medical Care is a Must!

Published on: May 14, 2015 | By McCulloch & Miller, PLLC

We understand people are living longer and many live into their 90s. More than 25 percent of seniors living at home receive help with day-to-day living activities. Ten percent of seniors older than age of 80 live in a long-term care facility. Have you made prudent plans for longer living?

Medical issues associated with aging are most apt to be the reason life gets expensive during your later years. It’s very useful to look forward and understand the types of medical issues that could happen down the road. That’s the advice from a recent article in the Oakville (ONT) Beaver titled“Living in your later years can be expensive – plan ahead.”Americans, just like our friends to the north, need to better understand how to plan for the future. This article gave some interesting perspectives on the aging process. Here are some facts:

People are living longer and many live into their 90s.