Medicaid Figures Have Been Adjusted
Effective July 1, 2013 the following changes to the Medicaid regulations take effect:
- The penalty period divisor changes from $11,183 per month to $11,581 per month. Example: a gift of $50,000 results in a Medicaid disqualification period of 4.3 months. This figure changes each July 1st. Remember—penalty periods now begin not when the gift is made, but in the month that the maker of the gift is in a nursing home and has no other assets.
- The minimum monthly needs allowance for the healthy spouse changes from $1,891.25 to $1,938.75. In other words, in a married couple situation, the Community Spouse is allowed a monthly income of $1,938.75, no questions asked. This is dependent, of course, on the ill and healthy spouses’ own fixed incomes being sufficient to produce that amount. This figure changes each July 1st. There was no increase this year because there was no increase for social security benefits.
- The Personal Needs Allowance remains at $60.00/month.
The following rules remain in place (these figures change each January 1st):
- The minimum amount of assets protectable for the Community Spouse remains at $23,184. In other words, if the couple’s combined assets are $25,000, the Community Spouse may minimally retain $23,184 without any requirement to justify a need for that amount.
- The maximum amount of assets protectable, without a Fair Hearing, for the Community Spouse is $115,920. Additional assets may be protected above this amount if there is a demonstrated need.
- The maximum monthly income available to the community spouse without exceptional circumstances remains at $2,898.00
Please call us if you would like additional information on any Medicaid or estate planning matter.