A Personal Services Agreement Can Be Used With Florida Medicaid
The Florida Medicaid long-term care program provides much needed services to its participants. However, even with Medicaid in place, there are still services that family members continue to provide to their loved one.
These family member provided services can include coordinating their loved one’s care with medical providers, overseeing and advocating for their care in the assisted living or skilled nursing community and handling their financial obligations.
Some family members may provide this assistance due to a sense of duty, but most provide these services because they want the best for their loved one. However, the practical reality is that in many cases the time involved in providing these services can interfere with the family member’s ability to also hold a job and earn the money they need for their own financial well-being.
Much to the relief of many family members, Florida Medicaid allows family members to be paid for providing these services to their loved ones. The payment plan must be structured in strict accordance with the Medicaid regulations in order to avoid any Medicaid penalties. In addition, the money received by the family member may be considered income that has to be reported on their income tax return. These payment plans are often referred to as personal services agreements or personal services contracts.
Personal services agreements can be an effective and fair way to allow the family member to continue to spend the time necessary to take care of their loved one’s needs.