My father is dying. Our family is distraught. My parents are not rich, but have 20,000. in savings. Dad has been in hospital for 2 months. Medicare pays 80%. Parents don't qualify for full state benefits (MA) and state wants them to spend down their assets before state will pay bills (that is after a 5500. deductible.) Mom will be broke. We want to set up a bank account such as i.e "The john smith medical assistance fund" so that in lieu of flowers friends and family can make donations to help pay the medical bills, funeral, etc. My question is what name should the account be set up in? If it is in either of my parents names, the state medical fund will view it as an asset and make them spend it down and Mom will be left with no money to live on. If it is in my name, am I responsible to claim this as income? Any suggestions on how to do this? Thank you!!

Welcome in April my thoughts go out to you during this trying time (((hugs)))
People to ask this question to would be a lawyer or your tax preparer they have the most current info on your state also a Bank may have some info start there then the tax preparer if that doesnt garner you any free advice then a lawyer is your next step.
I would speak to a lawyer anyhow just to make sure, dont rely on websites or people's personal experiences on these sites since they may be outdated info and/or not accurate in regards to your current state laws.