Here's How Those Stimulus Checks Could Impact Your Medicaid Coverage

by Laura Vogler

As an Elder Law attorney, I know many of my clients receive Medicaid benefits to help with the costs of long-term care -- whether they're in a facility, in assisted living utilizing a waiver, or at home receiving waiver services. So, when the government announced the stimulus payments of $1,200 per adult and $500 per dependent child, immediately the Elder Law community wondered how the payments would be treated by Indiana Medicaid. And rightfully so.

Since stimulus payments started to be issued, I have received many inquiries from Medicaid recipients and other professionals with the most common question being:

Will the stimulus payment be considered income or an asset (resource) if I am on Medicaid and living in a nursing facility or utilizing a Waiver?

Here's what we know so far:

  • The Social Security Administration has made a statement that they will not treat the payment as income in the month received and will not be considered a resource for twelve months after receipt.
  • Indiana Family and Social Services Administration (FSSA) has not yet made a statement concerning the stimulus payment and how it will affect Indiana Medicaid recipients. Until FSSA gives explicit instruction, we can rely on the Social Security Administration’s guidance above.

If the stimulus payment brings the Medicaid recipient’s resources above the $2,000 allowed, the Medicaid benefits will not be terminated. Please keep in mind, this only applies to the stimulus payment and all other relevant qualification rules still apply.

Please feel free check back here frequently for the most up-to-date information. If you have any questions, please don't hesitate to reach out to me directly. I can be emailed at laura.vogler@gutweinlaw.com or reached via phone at 765.423.7900.