The Problem of the Working Spouse

The Problem of the Working Spouse

On many occasions an institutionalized spouse will have a community spouse who is still employed. The earnings of the community spouse when added to pension and social security of both parties prevents Medicaid eligibility. The solution to such a problem is as follows:

1. Keep in mind that the resources of the community spouse after the applicant receives Medicaid are not considered as a factor in continuing eligibility.

2. In the hypothetical, but for the earnings of the community spouse, which were used to fund nursing home costs, the individual would be eligible for Medicaid.

3. Arrangements should be made for the community spouse to cease working for a limited period of time to eliminate the continuing flow of income from her earnings.

4. Medicaid eligibility, particularly giving consideration to the community spouse resource allowance, the current maximum being $109,560, should be an uncomplicated procedure.

5. The spouse should make arrangements that after the applicant receives Medicaid, the community spouse commences work and again her resources are not limited.

Disclaimer: This article does not constitute legal advice and each person may have unique facts for which legal consultation may be necessary.


© May 2009, Post #33