Can I qualify for Medi-Cal if I have savings?

Asked by: Miss Sally Parisian MD  |  Last update: August 27, 2023
Score: 4.5/5 (6 votes)

4. How to Qualify. To find out if you qualify for one of Medi-Cal's programs, look at your countable asset levels. As of July 1, 2022, you may have up to $130,000 in assets as an individual, up to $195,000 in assets as a couple, and an additional $65,000 for each family member.

Does Medi-Cal look at your savings account?

Medi-Cal limits seniors and people with disabilities to assets of no more than $2,000 for individuals and $3,000 for couples — a restriction that has not changed since 1989. Assets include cash on hand, money in a checking or savings account, a second car, and other resources.

Is there an asset limit for Medi-Cal?

Phase I, implemented on July 1, 2022, increased the asset limit to $130,000 per individual and $65,000 for each additional household member. (The previous limits were $2,000 for an individual, $3,000 for a couple, and $150 for each additional household member.)

What income disqualifies you from Medi-Cal?

Adults qualify for Medi-Cal with a household income of less than 138% of FPL. However, according to the Covered California income guide, children who enroll on Obama Care California plans may qualify for Medi-Cal when the family has a household income of 266% or less.

Can you get Medi-Cal if you have a 401k?

You meet assets requirements for Medi-Cal. This Medi-Cal program exempts all Internal Revenue Service (IRS) approved retirement accounts, such as employer sponsored 401k, 403b accounts, or individual retirement accounts (IRAs) authorized in the IRS codes.

How do I qualify for Medi-Cal in California?

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Can I have an IRA and qualify for Medi-Cal?

In determining eligibility, Medi-Cal divides an individual's assets into two categories: countable assets and exempt assets. Countable assets are those assets that are required for your care, prior to receiving Medi-Cal benefits, and typically include IRA's, and other retirement benefits.

Does IRA count for Medi-Cal?

In some circumstances, Medi-Cal does not count funds held in an IRA, Keogh, or other work-related retirement arrangement. To find out if Medi-Cal would count your IRA, Keogh, or work-related retirement arrangements, you may contact your local county welfare department.

Is Medi-Cal income based?

If your income is below the MCAP eligibility guidelines, you may qualify for ​no-cost Medi-Cal. ​ If you do not qualify for MCAP because your income for your family size is below the MCAP eligibility guidelines, you may qualify for no-cost Medi-Cal.

How does Medi-Cal confirm income?

Proof of Income. Income can be verified by providing various types of documents such as the acceptable list below. One of the most common proofs is a pay stub. If you submit a pay stub, make sure that it is current and within the last 45 days; otherwise, Covered California may not accept it.

How many cars can you own on Medi-Cal?

ONE car. Insurance policies. Whole life (if total face value is $1,500 or less) and term life.

What is the look back period for Medi-Cal in California?

The Medi-Cal "Look-Back" period in California is 30 months.

Is a health savings account an asset?

In addition, the account owner may think of the HSA as just money set aside for medical expenses, not an “asset.” However, HSAs can be, and should be, considered an asset to be included in the property division.

What happens to the money in your health savings account if you don t use it?

But remember, HSA stands for Health Savings Account, and the opportunity to save and build your balance over time is one of the important features of your account. If you don't spend the money in your account, it will carryover year after year. Your HSA can be used now, next year or even when you're retired.

Why does Medi-Cal ask for bank statements?

Bank statements are required to determine if you are financially eligible for Medicaid. Your bank account balance must be below $2,000 on the last day of the month to qualify for Medicaid the following month. This amount aggregates all checking, savings and accessible cash.

What is the max age for Medi-Cal?

Beginning May 1, 2022, a new law in California will give full scope Medi-Cal to adults 50 years of age or older and immigration status does not matter. All other Medi-Cal eligibility rules, including income limits, will still apply.

What is California Medi-Cal changing to in 2023?

Starting January 2023, Medi-Cal health coverage for most remaining dually eligible beneficiaries changed from Fee-For-Service (FFS) Medi-Cal to Medi-Cal Managed Care.

Do you have to apply for Medi-Cal every year?

Medi-Cal members must renew their coverage each year to keep their health care benefits. For most members, coverage is renewed automatically. Sometimes the county will send you a renewal form that you must review and return, along with any additional required information.

What is the asset limit for Medi-Cal 2024?

Phase I, to be implemented July 1, 2022, will increase the asset limit to $130,000 per individual, and $65,000 for each additional household member. Phase II, to be implemented no sooner than January 1, 2024, will eliminate the asset test entirely.

What is the highest income to qualify for Medicaid?

Federal Poverty Level thresholds to qualify for Medicaid

The Federal Poverty Level is determined by the size of a family for the lower 48 states and the District of Columbia. In 2023 these limits are: $14,580 for a single adult person, $30,000 for a family of four and $50,560 for a family of eight.

Is 401k considered an asset?

Your 401(k), and any other retirement accounts, are financial assets. These are portfolios in which you hold securities and investment products that have either realized or potential value. This makes your 401(k) portfolio an asset in your name as long as you own the account and as long as it has a positive balance.

Can I withdraw from my IRA for Medi-Cal expenses?

IRA Hardship Withdrawals for Medical Expenses

The IRS allows you to take a hardship withdrawal to pay for unreimbursed qualified medical expenses that don't exceed 10% of your AGI. This represents your taxable income minus specific deductions you claim such as student loan interest paid for the year.

Can I have a Roth IRA with Medi-Cal?

Medi-Cal doesn't count any of this as long as cash on hand and money in checking accounts is necessary for the functioning of a business or a means of self-support. IRAs, Keogh plans, 403b, 401k, SEP IRAs, Roth IRAs and basically any other work-related pension or retirement fund can be made exempt.

Do IRA withdrawals count as income for Medicare?

Income from your assets whether through IRA withdrawals or by dividends, interest and capital gains from non-IRA assets can make your social security taxable or increase your Medicare premiums.