If the value of your non-exempt assets exceeds the resource limit when you initially apply for Medicaid, your application will be denied. Transferring assets in contemplation of applying for Medicaid won’t work because Medicaid uses a five-year “look-back” period. The look-back rule allows Medicaid to review your finances for the five-year period prior to application for any asset transfers made for less than fair market value. If any are located, Medicaid may impose a waiting period based on the value of the asset transferred. The way to avoid finding yourself in this situation is to incorporate Medicaid planning into your estate plan long before you are likely to need to qualify for Medicaid.