What are the rules for Medicaid eligibility?

There are many Medicaid programs, each with their own rules for qualification. This post describes the rules for Facility Medicaid eligibility in Iowa for the year 2020. Each year, DHS may adjust the dollar amounts listed below, so these figures are only accurate for the 2020 calendar year.

Iowa Facility Medicaid has three main rules for eligibility defined below:

1) The applicant must be 65 years of age or older or deemed disabled by the state or federal government.

2) The applicant’s gross income must be under $2,349 per a month. 

3) For a single applicant, the applicant’s total value of assets must be below $2,000.

What if I have a spouse?

Depending on the total value of the applicant and spouse’s assets, DHS allocates assets to the spouse at home, in order to protect their financial status, and the remainder is allocated to the applicant. The applicant must then meet Rule 3 above, and their assets must be below $2,000 in total value. If done in a Medicaid compliant manner, the applicant may spend down their excess assets in order to qualify for benefits.

We will discuss further how a spouse affects Medicaid eligibility in an upcoming post. In that post, we will explain exactly how DHS allocates assets based on you and your spouse’s total assets’ value. Follow our Facebook page for updates on posts to our website.

What if I don’t meet one or all of these criteria?

Even if you’re not currently eligible, applying for Medicaid may still be your most suited way to afford the costs of long-term care. Especially in situations where you need to protect the financial stability of a spouse still living at home or a dependent disabled child, Medicaid can be a great option. For those who urgently need Medicaid assistance, there are many strategies to become qualified in a timely manner. However, there are even more great options for protecting your assets through Medicaid planning years ahead of moving into a long-term facility care facility. Speak to a qualified Medicaid planner or elder law attorney to learn more about your options.

Click here to contact our Certified Medicaid Planner and receive your free phone consultation, or call us at (515)344-4284 to schedule your appointment.