ANNUITY EXAMPLE 6162021 Example One Maximizing Annuity Payments

ANNUITY EXAMPLE 6/16/2021

Example One Maximizing Annuity Payments § § Male Applicant, Age 71 Applied January 2016 Principal = $73, 000 (Current amount) Determine the Maximized Payment 6/16/2021

Example Two Annuity & Transfer § April 2016, Female Applicant (age 68) § Purchased a Deferred Annuity November 2005 § Elected payments to begin November 2013 @ $847 per month § Payments of $847 began November 2013 @ 66 years of age, as selected § Principal amount at purchase was $186, 000 § Current principal is $160, 600 § How do you treat this annuity? 6/16/2021

Example Three Annuity & Transfer § § § Male Applicant 72 years old, Nassau County Otherwise eligible Feb 2016 Purchased a $190, 000 annuity in 2005 Payments of $1, 100/m deferred until July 2009 Started payments Feb. 2012, $300/Month @ 68 y/o (value of annuity at time of transaction was $200, 000) § Applicant has an irrevocable Funeral Agreement with $1500 of non-burial space items included § Countable resources are $13, 450 6/16/2021

Example Three Annuity & Transfer cont’d § Is this a maximized payment? § Is this annuity treated as pre or post DRA? Why? § How is this annuity treated? 6/16/2021

Example Four Annuity & Transfer § Female applicant, Broome Co, applies and is otherwise eligible Jan. 2016 § Purchased a $110, 000 deferred annuity in April 2012 Payment of $383/m deferred until October 2013 § Payments began, as selected, on October ‘ 13 at 59 years of age, payment amount = $383/m § Countable resources @ application = $12, 600 § $12, 000 irrevocable funeral agreement which includes $1500 of non-burial space items

Example Four Annuity & Transfer cont’d § Is this a maximized payment? § Is this annuity treated as pre or post DRA? Why? § How is this annuity treated?

Example Five MEC Dollar For Dollar Plans For Annuities That are Countable Resources § A/R has $120, 000 Total Countable Resources § $70, 000 “Other Resources” § $50, 000 Annuity § Dollar for Dollar Plan has paid out $100, 000 § What is the transfer amount? 6/16/2021

Example Six Annuity In Payment Status For MEC Dollar For Dollar Plan § 72 year old female Applicant for MEC has $150, 000 paid out by plan § Otherwise eligible February 2016 § Purchased an $80, 000 deferred annuity, July 2012 § Receiving maximized payments of $400/month that started January 2015, and refuses to name the state as beneficiary § $110, 000 total countable resources 6/16/2021