What is the income limit for Medicaid in 2025 for a loved one who needs Nursing Home Care?
This question gets asked far too often. There is none! Well, there is, but its highly unlikely that anyone has income that high that they would be applying for Medicaid. The income limit to be ineligible for Medicaid (aka Medical Assistance in Pa) is that you make so much money every month that you do not need Medicaid! Given the average cost of nursing home care in Pennsylvania is $11,547.69, that is a lot of income!
Then why do I hear that the income limit is $2,901.00 per month? That income limit is for home care and community care only. i.e. Aging Waiver Services and LIFE program services. If one’s gross income is greater than that $2,901.00 per month, that person is not eligible for payment by Medicaid.
We’ve even experienced a few people who are in charge of reviewing Medicaid applications believe that was a rule and applied it to nursing home cases in error. The only other distinction for nursing home care and income, is that if a Medicaid applicant has gross income in excess of that $2,901.00, that person may only retain financial assets worth $2,400.00. If that person’s gross income is less than $2,901.00 per month, that person may retain $8,000 in assets.
To be fair, there are states that have an income limit. Florida for example has such an income limit for Medicaid applicants and people are ineligible if their income is above the $2,901.00 figure. However, Florida and these other states utilize something called a “Miller Trust” or an “Income Qualifying Trust” to get around that limitation.
While the income cap is $2,901 in 2025, it changes and goes up slightly in January of each year.
Senior Care Resources provides expert guidance and assistance with Medicaid Applications for Long Term Care in western Pennsylvania.