Federal Medicaid law generally applies a 60-month lookback to certain transfers for less than fair market value in long-term-care eligibility analysis. The result is not determined by the date alone. The asset, value, recipient, purpose, exceptions, marital status, care setting, application date, and documentation all matter, so do not move property using a generic five-year formula.
A lookback is a review period, not a planning instruction
The agency may review transfers within the applicable period to determine whether a penalty or exception applies. Returning property, proving fair value, identifying an exempt transfer, or documenting the reason for a transaction can require detailed records. The rule does not mean every transaction creates the same outcome.
Build the transfer history before applying
Collect statements, checks, deeds, closing records, contracts, gift records, trust documents, tax returns, and explanations for significant transactions. Include transfers involving joint accounts, property sold below value, caregiver arrangements, loans, business interests, and payments to relatives.
Coordinate eligibility with the rest of the plan
A transfer can affect more than Medicaid.
- Income and gift-tax reporting
- Capital-gain basis
- Control and housing security
- Creditor, divorce, or bankruptcy exposure
- Estate recovery and probate
- A spouse or dependent family member
- Authority under a power of attorney or trust