Currently, the asset limits for a single or widowed Medicaid applicant in Illinois and Missouri are the same, $2,000. But, that will soon change in Missouri as they will begin increasing their limit by $1,000 per year until the asset limit reaches $5,000, then it will be indexed to inflation. These limits affect the non-exempt assets you may have. So, the important question becomes, “What does Medicaid define as a non-exempt asset?”
In this Elder Law Minute, Wes Coulson, Illinois Elder Law attorney, continues with the series What You Can and Can’t Keep with Medicaid and explains what Medicaid views as non-exempt assets and discusses the asset limits for a single or widowed applicant in both Illinois and Missouri.
What you can and can’t keep with Medicaid: Asset Limits – Single or Widowed Applicants
Hi, I’m Wes Coulson and this is your Elder Law Minute. This is another in our series of discussions on the question of what assets the Medicaid rules do and don’t allow you to keep. In other videos, we’ve talked about certain things that are considered exempt assets, in other words things that you can keep that don’t count toward the total. Now I want to talk about the (non)exempt assets.
The limit there is, in Illinois, a single or widowed applicant can only keep $2,000 worth. In Missouri, as I’m recording this in 2017, the limit is also $2,000, but it’s schedule to go up a $1,000 a year until it reaches $5,000, then it will be indexed to inflation. Now, of course, that raises an important question of, “Well what is a non-exempt asset?” You’ll perhaps appreciate the government double-speak in defining that as “an asset that is non-exempt.”
Basically, it means anything , it at least includes anything, that is any kind of cash asset or something that could be converted to cash. So, money, bank accounts, CDs, stocks, bonds, mutual funds, IRAs, other retirement assets, life insurance policies, annuities, property other than your residence, luxury personal property items. All those things added together, you can only keep $2,000 worth of. I wish I could be a little more upbeat, but that is the world we live in. Thanks.
For more information on Medicaid and Asset Preservation, visit these articles:
- What you can and can’t keep with Medicaid: IRAs and Other Retirement Assets
- What you can and can’t keep with Medicaid: Life Insurance
- What’s the Difference Between Estate Planning and Asset Preservation Planning?
“Your Trusted Advisor on the Elder Care Journey”
Coulson Elder Law is dedicated to providing families in the St. Louis area with their Elder Law needs. Our practice areas include Asset Preservation Planning, Veterans Benefits, Medicaid Eligibility, Alzheimer’s Planning, Special Needs Planning, Estate Planning and more. We understand the financial challenges you may face as you and your loved ones grow older. At Coulson Elder Law, our clients’ well-being is our number one priority. For immediate help, call (877)995-6876 or Contact Us and we will get in touch as soon as possible.