Overview
In order to determine your eligibility for Medicaid, assets must be categorized as countable and non-countable. Below is a detailed breakdown of these categories:
Countable Assets
The following are considered countable assets for Medicaid eligibility purposes:
- Cash, checking and savings accounts, CD’s
- Joint bank accounts
- IRA, 401(K), 403(B), TIAA-CREF, and other retirement-type accounts
- Life insurance cash values (if the total face value of all policies – other than term insurance and burial insurance – exceeds $1,500)
- Annuities not yet in pay status
- All automobiles beyond the first car
- Trucks, tractors, boats, machinery, livestock
- Buildings and land that are not specifically excluded
- Deposits individuals make with continuing care retirement communities (CCRC)
Unavailable Assets
Certain types of assets are non-countable because they are not legally accessible to the applicant or cannot be converted to cash:
- An interest in someone’s estate, prior to distribution
- A lawsuit filed by the applicant, prior to the judgment
- Real estate that cannot be sold due to legal impediments
- Jointly owned real property whose sale would cause undue hardship due to the loss of housing for the other joint owner(s)
- Any other property rights that cannot be liquidated
Excluded Assets
Certain assets, while still available and accessible to the applicant, are nonetheless considered excluded or exempt — they will not affect Medicaid eligibility.
Cash Allowance
- $2,000 or $3,000 cash
Regardless of whether the Medicaid recipient is single or married, up to $2,000 in cash or other countable assets are exempt and may be retained by the recipient.
In any case where the assets exceed $2,000, the Medicaid recipient could be disqualified and lose Medicaid coverage. This could result in the loss of all nursing home and medical coverage, making this a very expensive mistake.
- The limit for a single person is $2,000.
- For a married couple, the limit is $3,000.
Home Exclusion
- There is a $595,000 exclusion for the applicant’s home.
- Under Federal Law, this may be increased to $893,000.
Automobile Exclusion
- The first car is excluded.
Georgia Medicaid Asset Rules for Nursing Home
These rules are critical for determining eligibility and protecting assets while ensuring continued access to nursing home care through Medicaid.
Frequently Asked Questions
What assets are considered countable for Medicaid eligibility?
Countable assets include cash, bank accounts, retirement accounts like IRAs and 401(k)s, the cash value of certain life insurance policies, annuities not yet paying out, additional vehicles beyond the first, and non-excluded property such as investment real estate and business equipment.
Are all assets considered when applying for Medicaid?
No, Medicaid only considers countable assets when determining eligibility. Some assets are deemed unavailable (e.g., pending legal settlements or real estate with legal restrictions) or excluded (e.g., a primary residence or one car), meaning they do not affect eligibility.
What is the Medicaid asset limit for a single person versus a married couple?
A single Medicaid applicant can retain up to $2,000 in countable assets, while a married couple can have up to $3,000. Exceeding these limits can result in disqualification from Medicaid benefits.
Is my home counted as an asset for Medicaid eligibility?
No, your primary residence is typically excluded if its equity value is under $595,000, or up to $893,000 under federal law. This exclusion helps applicants maintain their housing while still qualifying for Medicaid.
Are any vehicles excluded from Medicaid asset calculations?
Yes, Medicaid excludes the first automobile from asset calculations, regardless of its value. Any additional vehicles may be considered countable assets unless specifically excluded under other provisions.