Many Florida residents go on Medicaid when they grow older to cover their medical care. However, in order to qualify, it’s necessary to fall within a certain financial range. Having too much money can mean disqualification, but it’s possible to spend down.
What is Medicaid spending down?
Medicaid spend down is necessary when a person needs to meet eligibility to obtain or remain on Medicaid. One of the criteria is that the person must fall below a specific income level and cannot have assets that exceed a certain amount in value. Both individuals and married couples can qualify for Medicaid but must meet the financial requirements.
What is the criteria for qualifying for Medicaid?
Usually, to qualify for Medicaid, you cannot have more than $2,000 in countable assets if you’re single or $3,000 if you’re married. People who are over these amounts can still qualify for Medicaid, but they must spend down assets each month to keep their coverage.
What are countable assets?
Countable assets must remain within the $2,000 range if you’re single or within the $3,000 if you are married. The following are considered countable assets:
- Savings and checking accounts
- Property other than your home
- Retirement accounts
- IRA and 401(k) accounts
- CDs, stocks, bonds and mutual funds
How can you spend down?
Medicaid spend down can be done in different ways. Making home improvements is a good way to spend down. You can also pay off debt, get medical care that isn’t covered such as hearing aids or even open an irrevocable trust to prepare for your final expenses.
You can even hire a family member to provide care as you get older. They can receive compensation for their assistance while you continue to maintain your Medicaid coverage.