Important Announcement: Be the First to Know!
Individuals that cannot afford private care and that have sought assistance through New York State Medicaid for home care may now no longer need to utilize Charitable Pooled Income Trusts.
As of February 20th, 2023 (for budgets beginning 1/1/23) a single Medicaid applicant is now allowed to keep $1,677 and a couple can keep $2,268 of their monthly income. This is the 2nd Increase since January 1, 2023. When using Charitable Pooled Income Trust, these types of trusts can be helpful in protecting any excess income & paying monthly bills via the Trust. With this new Medicaid increase, the total amount of assets an applicant can keep for individuals is $30,132 and for couples is $40,821.
Keep more of your income and stay eligible for Medicaid coverage
The increased allowance allows individuals to keep a significant amount of their income, and still receive home care assistance from Medicaid. This is a huge shift in the way those who need financial assistance for home care costs are able to manage their finances, as they may no longer have to rely on Charitable Pooled Income Trusts.
With this new allowance, individuals can now keep more of their income and still be eligible for Medicaid coverage. This increase will help many Disabled New Yorkers receive the care they need without having to put excess income into a Trust.
It is important to note that this increase does apply retroactively to those who have already set up Charitable Pooled Income Trusts. This will not happen automatically. Each applicant must request the Budget be amended to the new allowance by The Department of Social Services or The Human Resources Administration.
You can still use a Spousal Refusal if needed to protect the well spouse’s income and/or assets.
If Metro ElderCare is currently working on your application, we will assist you with this. If your application has been approved, you will need to contact the Department of Social Services, The Human Resources Administration, or your MLTC yourself to have your Budget amended. If you are unable to make the change at this time, it will come up on your annual Recertification, which now have begun, and are requiring all documentation. COVID exceptions have ended.
Charitable Pooled Income Trusts will still be necessary if your income exceeds $1,677 or $2,268 (deducting any medical premiums).
If you aren’t sure what a Charitable Pooled Income Trust is, check out our blog HERE.
Have Questions?
If you currently have a Charitable Pooled Income Trust (and after your budget has been changed by Medicaid), Metro Eldercare recommends that once you have spent the funds in the Trust, you should discuss with your Trust Company directly to potentially put the trust on hold, or terminate it.
We are not sure what the future will bring, so we recommend thinking carefully before closing any accounts; of course, this is a personal decision that only you can make. It’s important to understand all options available so you can make an informed decision when it comes to receiving home care assistance through Medicaid.