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New York Medicaid Increases the Asset and Income Limits in 2023
Published December 13, 2022
Changes to Asset Limits:
For both community and nursing home Medicaid applicants and recipients, the available asset limit will increase to $28,133 (up from $16,800 in 2022). This increased asset limit allows Medicaid applicants and recipients to retain significantly more assets while maintaining Medicaid eligibility.
Home equity limits will increase to $1,033,000 (up from $955,000 in 2022). While such a large value asset may be considered exempt for Medicaid purposes, it may eventually be subject to Medicaid estate recovery upon you or your spouse’s passing and/or subject to a lien put in place during your lifetime (liens are for nursing home Medicaid benefits only). As such, it is important to properly plan in order to protect the family home.
Changes to Income Limits:
For community Medicaid applicants and recipients, the income level will increase to 138% of the Federal Poverty Level which is $1,563/month plus a $20 unearned income credit (up from $934 plus a $20 unearned income credit in 2022). Similarly, married couples will see an increase to $2,106/month plus a $20 unearned income credit.
For nursing home Medicaid applicants, the income limit remains at $50/month.
What does this Mean?
If you are applying for Medicaid benefits after January 1, 2023 you should apply for benefits using the increased assets and income limits detailed above.
If you are currently receiving community Medicaid with surplus income by either spending down the excess income or using a pooled trust to shelter the excess income, you should continue with your current spend-down plan until you recertify, and the increased income limits will be applied to your case at the time of your Medicaid renewal. HOWEVER, if you want to start contributing less of your income towards your Medicaid coverage (or depositing less into your pooled trust), you can request that the local department of social services (HRA for NYC beneficiaries) review your budget after January 1, 2023 and issue a new budget with the 2023 increase income limits.
For Medicaid recipients that may have been using a pooled income trust to shelter excess income but will receive income less than $1,583 per month in 2023, you should be able to end the use of your pooled income trust once you recertify or obtain an updated budget.
The attorneys at Littman Krooks are available to assist you with your Medicaid needs. To learn more about requesting an updated budget, applying for Medicaid in 2023, protecting your home from estate recovery, or any other Medicaid concern you may have, please contact us to schedule a consultation.
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