The customer sold his home and transferred the $40,000 proceeds to his children. He transferred $10,000 per month in the months of April, May, July and August. The private pay rate for the customer’s county of residence when he was first approved for ALTCS was $5,942.65.
The $20,000 in transfers made in the consecutive months of April and May divided by $5,942.65 equals 3.36 months of ineligibility. The penalty period starts April 1st and the partial month penalty ends in July.
Since the penalty period resulting from the consecutive months’ transfers ended in the same month the next transfer was made, all four transfers are added together. The penalty period begins in April, the month of the first transfer.
The customer transfers $5,500 in May, $5,500 in June and $2,500 in July. She later transfers $35,000 in November. The private pay rate for the customer’s county of residence when she was first approved for ALTCS was $5,942.65.
The earliest transfers made in the consecutive months of May, June and July total $13,500. Divided by $5,942.65, this equals 2.27 months. The penalty period would begin in May and end with a partial month penalty in July. Since the first penalty period would end before the month of the later transfer of $35,000, the penalty periods are calculated separately. The penalty period for the $35,000 transfer would begin in November, the month in which the transfer was made.