Nursing homes: Stimulus payments are for residents

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If you have clients who operate assisted living facilities or nursing homes, read on. The second round of Economic Impact Payments (EIPs) is in the works and the money is already being sent to people. But like last time, the payment is meant for the person, not the place where they live.

In the first round – let’s call EIP 1.0 – we know that some nursing facilities tried to take the stimulus payments intended for their residents, particularly those on Medicaid. That wasn’t legal and a number of state Attorneys General worked to get those funds returned to residents.

With EIP 2.0, we would hope those facilities have learned the lesson. But, just in case, let’s be clear: If a resident qualifies for a payment, it’s theirs to keep. The facility may not take residents’ payments and can’t require somebody to sign it over to them. That applies to people on Medicaid, too. It might be worth a quick chat with clients just to remind them that the rules are the same this time.

Do you have a relative in an assisted living facility or nursing home? Let them know the money is theirs. And consider offering a gentle reminder to the management of the place where they live.

If you hear about a facility that isn’t playing by the rules, let your state Attorney General know. Then tell the FTC at www.ReportFraud.ftc.gov.
 

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