There are huge problems in transferring assets to your children in order to qualify for Medi-Cal. Danger #1 – Medi-Cal May Disqualify You Medi-Cal wants to know what transfers you made (as a gift) for the last 30 months! Each transfer can result in penalties assessed – these are months that you cannot apply to Medi-Cal. And it’s usually irreversible! If, for example, you transferred X amount of assets, it could result in a 20-month penalty. This penalty means that for 20 months, no matter what situation you are in, Medi-Cal will not pay a dime for your Nursing Home.