How Much Money Can I Give My Children Without Penalty?
Q&A Corner with Richard Tizzano, Elder Law & Estate Planning Attorney
QUESTION: How much can I give my children without penalty?
You can give any individual up to $14,000 per calendar year without preparing a gift tax return. However, this amount has nothing to do with Medical Assistance (Medicaid) and nursing home care.
The laws have changed radically and gifting is no longer possible unless it is done more than five years before needing Medical Assistance.
Transfers can be made between spouses in certain situations. It is very important to consult an attorney familiar with Medical Assistance laws as these laws change frequently.