While there are many strategies that will help you qualify for Medicaid, you have to realize that when you give assets away, you are essentially letting go of them. To prevent being impoverished yourself and ensure that you still have money to spend for your day-to-day activities, you want to give only the assets that you can afford to give.
Once you have transferred your assets to your beneficiaries—your children—you also have to be ready to lose them. Whether it is through bankruptcy, divorce, or through outright mishandling, it is possible for your kids to lose the assets you have entrusted to them. You have to be ready for this eventuality.
In order to fully understand what the repercussions are for using strategies to qualify for Medicaid, it is always a good idea to consult with your tax attorney or financial adviser.