When one spouse qualifies for Medicaid to pay for a nursing home stay, the spouse who is at home is often left without man...Read more
What you are describing is called "spousal impoverishment" because the idea is to keep the spouse who is not in the nursing homes from becoming impoverished. Whether the so-called “community" spouse may keep the nursing home spouse’s income depends on the level of her income. The Medicaid agency calculates how much she needs to live on under an arcane formula. If her income is less than this amount, she can keep as much of her husband’s income as is necessary to get her income up to this level. For instance, if her income allowance is $2,500 a month and her own income is $1,500 a month, she can keep $1,000 a month of her husband’s income. The rest of his income has to go to the nursing home. But if her own income were $3,000 a month, she could keep it all even though it’s more than her income allowance, but all of her husband’s income would go to the facility. If the wife’s income is low enough that she gets to keep some or all of her husband’s income, she can spend it as she wishes and does not have to account to anyone about her spending.
For more information about the healthy spouse's income, see: Medicaid's Attempt to Ensure the Healthy Spouse Has Enough Income: The MMMNA.
Local Elder Law Attorneys in Ashburn, VA
John Laster is a lawyer licensed to practice in Virginia, Maryland and the District of Columbia. He limits his practice to wealth transfer planning, trusts, wills, powers of attorney, health care decision-making issues, estate administration and related tax, elder law and disability concerns. Listed in The Best Lawyers...
Bill founded The Estate Planning & Elder Law Firm, P.C. in 1994. Bill limits his practice to the areas of estate planning and administration, incapacity planning, Medicaid, asset protection planning, and elder law. He is one of (15) fifteen attorneys practicing in Virginia, Maryland and the District of Columbia, ce...