By now, many Americans have received stimulus check payments (up to $1,200 per person) from the IRS as a result of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). Because an individual’s Medicaid eligibility depends on the income and assets limits imposed by the State of Florida, it is important to consider the potential impact the stimulus payment can have on Medicaid.
These one-time stimulus payments will not adversely impact Medicaid eligibility.
Does Medicaid Count Stimulus Payments as Income?
As these payments are like tax refunds, Medicaid will not count the payment as income when received. Thus, there is no impact on eligibility. This should come as a relief for those with income close to the income limit. Furthermore, because the payment is not considered income there is no need to pay them to the long-term care facility. In other words, for Medicaid recipients in a long-term care facility, there is no impact on the patient responsibility.
Does Medicaid Count Funds Received from Stimulus Payments as an Asset?
The funds received will not be considered an asset for 12 months. This means that a Medicaid recipient can have possession of the funds for 12 months without being considered over assets. However, the funds will be considered an available asset after 12 months. Thus, it is important that the funds are spent within 12 months of receipt. Funds may be used to purchase things such as clothing and personal needs.
We all continue to adjust to the inconveniences imposed by Covid-19. Please do not hesitate to reach out to our office with any additional questions or concerns. Hill & Kinsella is open and available for virtual meetings. We are all in this together.
To contact a member of our team, dial (727) 240-2350 or submit an online contact form here.