2022 Medicaid Numbers

Last month in this blog I updated you on some of the new Social Security and Medicare numbers for 2022.  With a cost of living adjustment (COLA) of 5.9% as a result of higher inflation, next year’s increase is the largest in some time.

Many other federal programs are tied to the Social Security COLA.  These include Medicaid and the VA Aid and Attendance programs.  This week we will review the 2022 Medicaid numbers.  

Medicaid’s programs that cover long term care have a strict income cap or limit.  For 2022 that number is $2523 per month.  Anyone with more than $2523 per month of gross income (before taxes and Medicare and health insurance premiums are deducted) must use a Qualified Income Trust in order to qualify for Medicaid.

Medicaid recipients must also have less than $2000 of countable assets.  A home is an exempt asset up to a certain limit as long as the applicant is living in it.  In 2022 the limit is $955,000 of equity.  Anything above that amount is countable.  For a married couple where at least one of the spouse’s is living in the home there remains no limit.  In other words, the home is exempt in that case no matter the value.

In the case of a married couple where only one spouse is applying for Medicaid, the healthy or “community” spouse is entitled to keep a certain portion of the couple’s countable assets (the primary residence and one car being exempt).  This is known as the Community Spouse Resource Allowance or CSRA.  

The CSRA is 1/2 of the couple’s countable assets up to a certain limit.  For 2022 that limit will be $137,400.  If a couple has $274,800 of assets or more the healthy spouse will be able to keep that maximum amount.

There is also a minimum CSRA which in 2022 will be $27,480.  The community spouse will be able to keep the first $27,480 of countable assets even if total assets are less than $54,960.

Next week I’ll review the important numbers for 2022 for the VA Aid and Attendance program.