Medicaid is a program that provides health coverage to many Americans, but there are myths about who can qualify. Fortunately, understanding the facts can help you access the benefits you need. This article will clear up some common myths about Medicaid qualification and explain how to apply.
Myth 1: Your income automatically disqualifies you
A common myth is that if you make too much money, you cannot get Medicaid. While income is essential, there are ways to qualify even if you earn more than the limit. For example, you can set up a Miller Trust, also called a Qualified Income Trust, to manage extra income. This involves channeling income through a special bank account, which helps meet eligibility criteria without compromising on Medicaid benefits.
Myth 2: Medicaid is only for the extremely poor
Some people think Medicaid is only for those living in poverty. While it helps low-income individuals, other factors matter, too, like age, disability, and family size. Many states have expanded Medicaid to cover more adults with income at or below 133% of the federal poverty level.
To qualify for Medicaid, you must meet both financial and non-financial criteria. Financial eligibility is often based on Modified Adjusted Gross Income (MAGI), determining your taxable income. However, different rules may apply if you are over 65 or have a disability. Non-financial criteria include being a resident of the state, being a U.S. citizen, and meeting specific age or family requirements.
Does your state offer flexibilities?
States can extend Medicaid coverage beyond federal requirements. This includes programs like the medically needy program, which lets people with higher incomes qualify by spending excess income on medical expenses. Knowing your state’s specific options can help you find a way to qualify.
Do you need a lawyer to apply?
Medicaid rules can be complicated, and not following them can have grave consequences. Getting help from an experienced elder law attorney is essential. They can determine if tools like a Miller Trust are helpful and guide you through the application process to ensure you follow all the rules.
Medicaid qualification can be confusing, especially with myths and misinformation. You can get the benefits you need by learning the accurate eligibility criteria and using tools like Miller Trusts. If you are unsure about your eligibility or how to apply, consider talking to a knowledgeable attorney. Remember, Medicaid is there to help those in need, and understanding the system is the first step in getting the assistance you deserve.