The following transfers are allowed without penalty:
- Transfer of a home or any other asset to the spouse, or to another for the sole benefit of the spouse OR
- Transfer of any asset to a blind or disabled son or daughter or to another for the sole benefit of a blind or disabled son or daughter OR
- Transfer of any asset to a blind or disabled son or daughter OR
- Transfer to a trust established for the sole benefit of a blind or disabled son or daughter OR
- Transfer of a home to a son or daughter under 21 years of age OR
- Transfer to a trust established for the sole benefit of an individual who is blind or disabled and who is under age 65 OR
- Transfer of a home to a sibling who has an equity interest in the home and who has lived in the home for at least 1 year immediately preceding the client's entry into a medical institution.
- Transfer of a home to a son or a daughter who has lived in the home and provided care to the client which permitted the individual remain at home rather than be institutionalized or be on a waiver and has done so for at least 2 years prior to the individual's entry into the medical institution.
- Meets Proof that Medicaid was not the reason for the transfer (see the section Medicaid not the Reason for Transfer) OR
- Trusts established before February 8, 2006
Sole benefit means that no other individual can benefit from the transfer