What it is
Crisis planning is what elder-law attorneys do when care is already needed and there was no advance plan. The realistic goal shifts from "protect everything" to "protect a meaningful share" — commonly in the range of 40% to 60% of countable assets.
The modern half-a-loaf approach gifts roughly half of the excess countable assets and uses the other half to purchase a Medicaid Compliant Annuity — a short-term, immediate, non-cancelable annuity that converts the retained lump sum into a non-countable income stream sized to cover the penalty period created by the gift.
In states like New York, promissory note variants can substitute for the annuity. In New York and Florida, spousal refusal ("Just Say No") remains an option in the right circumstances.
Personal-services contracts between the person needing care and a family caregiver can also convert countable assets into legitimate compensation for care already being provided.
Crisis planning is time-sensitive and highly state-specific. It must be executed with an experienced elder-law attorney.
Families facing an imminent care need with assets still exposed — the goal is preserving 40–60% rather than the whole estate.