California: MediCal Income Eligibility Level Raised for the Disabled and Aged

Starting January 1 more disabled and elderly people will become eligible for MediCal (Medicaid) in California. Benefits expert Tom McCormack circulated the following email explaining the change:

Effective January 1, 2001, California will raise its MediCal (Medicaid) income eligibility level for single aged and disabled persons to $926 monthly. That level had previously been fixed at $692 (which remains the income level for SSI and the state supplement to SSI).

The state will use the same income-counting methodology and income disregards as are used in the SSI program:

• $20 of any income is disregarded;
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• $65 and half the rest of earnings are disregarded;

• Impairment Related Work Expenses (IRWEs, cash out-of-pocket Medical costs, including transportation to medical care) of the disabled are disregarded;

• One third of received child support is disregarded;

• Part of earnings of students under age 21 are disregarded;

• Other miscellaneous disregards [see Section 1612 of the Social Security Act.]; and

• Regular MediCal asset exemptions will continue to include one lived-in home of any value, one vehicle of any value, and limited amounts of liquid assets and funds designated for burial.

Applications will be taken by county social services offices -- NOT by SSA.

ISSN # 1052-4207

Copyright 2000 by John S. James. Permission granted for noncommercial reproduction, provided that our address and phone number are included if more than short quotations are used.

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