Deeb Elder Law, P.A.
Deeb Elder Law (formerly Shipp & Deeb, P.A.) has been serving the Tampa Bay area since 1984.  We know the real life questions that arise as a person ages, and we'll assist you with skill and compassion.

The Medicaid Institutional Care Program (ICP) is a federal/state program that pays most nursing home costs for people who meet three eligibility tests including medical need, aged or disabled need, and financial need. In Florida, Medicaid is administered by the Agency for Health Care Administration, and eligibility is determined by the Department of Children and Families, Office of Economic Self Sufficiency.

One of the most important aspects in Medicaid planning is to plan ahead. Consulting with an elder law attorney early will help preserve assets should placement in a skilled nursing facility become necessary. However, even when planning ahead has not been done, an elder law attorney can still help preserve assets and avoid very costly mistakes.

In determining the financial need of a Medicaid applicant, Florida's financial criterion is based on the "income cap" and the "asset test." The eligibility numbers are quite different depending if an individual is single or married.

Income greater than $749/month

  

Applicant

Assets for Applicant

Assets for Spouse

Income

  

Single Applicant

 $2,000 in assets

N/A

$1,869/month income cap

  

Married Applicant

 $2,000 in assets

$101,640 in assets for spouse

$1,869/month income cap for applicant and unlimited income for spouse

  

Income less than $749/month

  

Single Applicant

 $5,000 in assets

N/A

$749/month income cap

  

Married Applicant

 $5,000 in assets

$101,640 in assets for spouse

$749/month income cap for applicant and unlimited income for spouse

  


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
There are certain assets that are exempt from consideration and can be kept when applying for Medicaid. These include:

  • Personal residence (up to a value of $500,000)

  • Automobile

  • Whole life insurance with a total death benefit of less than $2,500

  • Prepaid funeral plans

  • Household furnishings

  • Applicants whose monthly income exceeds $1,869 may execute a Qualified Income Trust, diverting a portion of their monthly income into the trust in order to achieve qualification. However the Income Trust must be drafted, executed, and properly funded prior to application for benefits.
     

Example

An individual's income is $1,904/month and therefore is over the limit by $35. At least $35 must be put into the trust each month to bring the individual's income at or below the cap amount of $1,869. The total income of this applicant ($1,904), with a few deductions for personal needs, is paid to the nursing home as the patient's responsibility for his or her care. Since the patient is now short $35, the trust then pays the $35 to the nursing home, making up the balance.


This information is intended for educational purposes only. Contact Deeb Elder Law, P.A., or an elder law attorney in your area for specific help with your personal situation.


 

 
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