Every year the government changes the Texas nursing home Medicaid qualifications. If your loved one needs long term care Medicaid, then you better know what numbers they need to hit to qualify. Any mistake can cost you a lot of money and even more of a hassle.
The Texas nursing home Medicaid qualifications are gross income at or below $2,523 and counted assets that do not exceed $2,000. If your income and assets are below those limits, then you financially qualify for long term care Medicaid in 2022. If your income or assets are above those limits, then you need to take additional steps to qualify for Medicaid.
The Income Limit
The 2022 income limit for long term care Medicaid in Texas is $2,523 per month. This is gross income, not net. So, if your loved one has any kind of deductions from their income like insurance premiums, income taxes, or Medicare premiums you need to add those deductions back in.
The 2022 change is an almost 6% increase in the Medicaid Applicant’s gross monthly income limit. In 2021 a Medicaid applicant was only allowed to have $2,382 per month in gross monthly income (using the government’s definition of “income” which may be a little different from what most people consider to be “income”).
If your loved one is over that eligibility limit you can still create Medicaid eligibility with a 100% guaranteed Miller Trust from The Shea Law Firm. If your loved one is over the income limit, and they do not have a properly created and administered Miller Trust then you will not be able to prove eligibility for Medicaid benefits.
For married couples, the income limit only applies to income that is paid to the spouse in the nursing home. The income of the healthy spouse at home can be $10,000 a month and it will not disqualify the nursing home spouse from benefits based on income.
The Asset Limit
The 2022 asset limit for long term care Medicaid in Texas is still $2,000. This is the same as it was in 2021. It is important to keep in mind that this limit only applies to “counted resources.” There are many assets that are exempt from Medicaid while others that many people think are exempt are in fact counted. A popular example is cash value life insurance that is intended to pay for funeral expenses or many kinds of retirement accounts.
The asset rules for married couples are a little less simple. The spouse in the nursing home still must be under the $2,000 limit, but the spouse at home can keep more than $2,000.
The Minimum Spousal Share
The assets the healthy spouse at home can keep are called the Community Spousal Protected Amount. The minimum Community Spousal Protected Amount for 2022 is currently $27,480. This means the spouse can keep a minimum of $27,480 if the couple’s total combined resources exceed $27,480. If your total combined counted resources exceed $27,480 then your protected amount using the government’s rules is 50% of your assets, but no less than $27,480. For example, if you have $50,000 in resources, the spouse will keep $27,480 but the rest of your life savings would face the spend-down. If you want to avoid the spend-down and protect more than 50%, we can show you how.
The Maximum Spousal Share
The maximum Community Spousal Protected Amount increased to $137,400. Just as with the minimum, this does not mean that the spouse of a nursing home Medicaid applicant can keep $137,400. Remember it only means the spouse can keep $137,400 if the couple’s total combined counted resources are worth $276,800 or more. In that situation the spouse could keep $137,400, the spouse in the nursing home could keep $2,000, and the rest ($137,400) would have to be spent down in ways that do not result in a penalty.
These are the default rules that the government uses when a family does not have a Woodlands Medicaid attorney to protect everything they can protect under the law. If you have a spouse or family member in a nursing home and would like to protect more than the default rules provide, then get started today with a no cost strategy call.
What About Your Home?
The substantial home equity limit increased to $636,000.00. If your homestead meets the other requirements to be exempt and does not exceed $636,000 in equity, then you satisfy that qualification.
There are specific rules for protecting Texas homesteads which are too complex to go into detail here. However, a Medicaid applicant’s residential homestead in Texas may be protected while they are alive if certain conditions are met, but what about the Medicaid Estate Recovery Program after the Medicaid applicant passes away? We can help you protect your home, both while you are alive as well as preserve its value for your heirs. For more information, read about our Texas Medicaid Home Protection program.
How Do You Qualify if You Don’t Qualify Right Now?
If your loved one’s assets exceed the values listed above, do not give up. I can help you create Medicaid eligibility through proven techniques while protecting everything the law entitles your family to protect. Act now to secure Medicaid eligibility and end the uncertainty and restless nights wondering who will pay the nursing home costs of more than $237.93 every day (or $7,200+ every month). Remember, only you can protect your rights and property. Get started today.