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Guide to Local Health and Human Services

Preservation of Assets Assistance

Code: LH-4000.6500

Programs that provide assistance for married couples who are in a situation in which one spouse requires long-term custodial care and the family's assets exceed the maximum resource limits for Medicaid. Under spousal impoverishment provisions, the healthy spouse (referred to in the federal legislation as the community spouse) has a right to keep a community spouse resource allowance plus certain exempt resources including the couple's residence, automobile, household goods, personal effects and the healthy spouse's IRA. There are specified minimum and maximum limits on the resource allowance which vary from state to state and are adjusted annually based on cost of living figures. The individual in the long-term care facility becomes eligible for Medicaid when his or her assets have been spent down to meet the maximum resource allowance.

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