Question: Ted and Joan Kramer have assets of $290,000 and are planning for Joan to enter a nursing home. The Kramers would like to apply

Ted and Joan Kramer have assets of $290,000 and are planning for Joan to enter a nursing home. The Kramers would like to apply for Medicaid benefits to pay for Joan's care. What should they do to spend down assets so Joan will be eligible immediately? Transfer all of their assets to Ted, and Ted will buy a Medicaid-compliant annuity with any assets exceeding the community spouse's resource allowance. Transfer half of their assets to Ted, and Joan will use her half to buy a Medicaid- compliant annuity. Transfer the community spouse's resource allowance to Ted, and Ted will buy a Medicaid-complian annuity. Transfer all of their assets to Ted, and Ted will use only the community spouse's resource allowance to buy a Medicaid-compliant annuity.

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