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Managing The Stress ~ Making The Decisions ~ Discovering The Meaning |
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Caregiving |
Solutions To Your Caregiving Situations Throughout Your Caregiving Years |
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Financing the care Estate Jewelry Option for Care Bills The bill is sitting on the table, seeming to have eyes that bore into your conscience. It’s a bill from the home health agency, a necessary bill, but sometimes a seemingly necessary evil. The home health aide that comes three days a week allows you to keep your part-time job. But, it’s a big bill. You will have bills that are part of your caregiving job, but that doesn’t mean that they are easy to pay. An option to consider as you finance care is selling jewelry. “We buy a lot of jewelry on behalf of clients who are selling to finance care,” says Tobina Kahn, House of Kahn, Chicago and Palm Beach, Fla. According to Tobina, selling of estate jewelry can be an effective financing tool. First, for security reasons, expensive jewelry should not be in the home. And, when you put it safely away in safety-deposit box, you’re also sitting on money that could be working for you. “You’re not generating any interest when the jewelry sits in a safety deposit box,” she says. Tobina suggests selling the jewelry that nets that greatest return on investment; sentimental jewelry often is best kept in the family. “Diamonds, platinum and antiques typically bring the most money,” she says. Estate jewelry is considered to be “anything previously owned” and part of the owner’s assets. When looking to sell jewelry, Tobina offers these suggestions:
A business that specializes in purchasing estate jewelry will examine your jewelry, offer the best price that the market will bear, and cut a check within 24 hours of purchasing the item. And, often jewelry can be considered “found money”, with minimal tax implications. A good estate jewelry buyer can help you make the most of the sale with the least amount of tax implications. Tobina suggests contacting the jewelry buyer by phone and making an appointment to bring the jewelry in. A reputable buyer will provide security in the store, Tobina says. And, two offers are enough; you’ll waste too much time running around trying to get as many offers as possible. Happy endings can come from selling jewelry. An elderly woman recently sold an old broach for $25,000—she was unaware that the broach actually contained a diamond. “The owner thought the broach was just costume jewelry,” Tobina says. “But it had a genuine diamond.” Editor’s Note: Always consult with an attorney before selling your care recipient’s items to ensure your Power of Attorney allows you to make these transactions. And, be sure to document any transaction: the sales price, taxes paid, commission paid, and how the proceeds were used. Good documentation will protect you from greedy family members after your care recipient’s death. Resources: House of Kahn with offices in Chicago and Palm Beach, Fla. Call 312-943-9937 or 561-655-3743. Tobina will work with out-of-town clients; call to discuss any items you’d like to sell. Sell Jewelry: Locations nationwide. Call 800-876-5490 or visit www.selljewelry.com. Quick Tip: About The House… Medicaid exempts certain assets in order to qualify for benefits, including a house as long as your care recipient indicates a desire to return home, regardless of how realistic this may be. Your care recipient can receive Medicaid benefits in a nursing home while still owning his or her house. However, Medicaid can put a lien on the house and take proceeds from the sale of the house as repayment for Medicaid benefits. Ask your financial planner and eldercare attorney about options to preserve your care recipient’s house. Some options to pursue:
And, be sure the transfer of title takes place before the 36-month (or 60-month if a trust is involved) look-back period. If the house is already part of a trust for your care recipient, be sure the trust enables transfer of property. For more information about Medicaid in your state (state laws vary), please call your Area Agency on Aging or call the ElderCare Locator at 1-800-677-1116. And, learn about the difference between Medicare (the federal insurance program, typically for older adults, and Medicaid (a state-managed benefits program for low-income individuals). Estate planning protects present and future assets How you relate to money can help you create your financial wealth Estate jewelry option for care bills |
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