The two papers every parent needs before home care: power of attorney and health care proxy
Without them, a family may need a court guardianship just to apply for Medicaid. Here's what each one does.
If a parent has a stroke or develops dementia, someone has to sign the Medicaid application, talk to the bank, and make medical decisions. Without the right papers, a family may have to go to court for a guardianship, which can take months and cost thousands.
1. Power of attorney (money and paperwork)
A New York statutory short form power of attorney lets a trusted person (your "agent") handle your finances.
- The agent can apply for Medicaid, deal with HRA, and pay bills.
- For Medicaid planning (for example, moving assets into a trust or making gifts), the power to do so must be written in expressly. Since New York's 2021 changes to the power of attorney law, this goes in the form's "Modifications" section. The old separate "gifts rider" is no longer used.
- It must be signed while the person still has capacity.
2. Health care proxy (medical decisions)
A health care proxy names someone to make medical decisions if you can't.
- It's a short, free form, and it needs two adult witnesses.
- Add a living will to state your wishes about life support.
Why this matters for home care
- Medicaid applications, NYIA assessments and plan appeals all need a signature.
- Planning tools like a Medicaid Asset Protection Trust need an agent with gifting authority if the parent can no longer sign.
Do it now
- Power of attorney with Medicaid planning powers
- Health care proxy
- Living will
- HIPAA release so family can talk to doctors and plans
- Copies kept somewhere family can find them
General information, not legal advice. Have a New York attorney prepare and supervise signing. Mistakes can make a power of attorney invalid.