Income Used in the Medicaid Income Calculation

Income Used in the Medicaid Income Calculation A. The individual’s total income is used to determine Medicaid Income. Payments excluded by federal law are not counted in calculating Medicaid Income. Averaging of income that is infrequent, irregular or varies in amount and/or frequency is allowed. Increases in Medicaid Income require advance notice defined as ten (10) days prior to the date the agency makes its payment to the facility, as outlined in Miss. Admin. Code, Title 23, Part 101, Rule 15.1. 1. Non-recurring lump-sum payments are counted in the month received, provided the payment has not previously been counted as income. 2. Recurring lump sum payments and income that varies in amount and/or frequency is averaged in the Medicaid Income computation provided the payment allows eligibility based on income in the month the payment is received without averaging. Averaging applies to income received by the eligible individual and to income received by the Community Spouse (CS) in determining an income allocation for the CS. 3. Income is averaged over the period of time the payment is intended to cover. Lump-sum payments (one-time or recurring) received prior to a month under consideration for eligibility are not subject to averaging. Income that is averaged must be available for future month’s payment as Medicaid Income, if applicable. B. Protection of income in the month of entry applies to individuals entering a nursing facility if the individual was in a community setting at any point during the month of admission to a nursing facility and the individual is determined otherwise eligible. An individual qualifying under an Income Trust has income protected up to an amount that is one dollar ($1) less than the institutional limit if income protection applies. Income is not protected in the month of death or discharge from the nursing facility. Medicaid Income is prorated over the number of days the individual resided in the facility in the last month.