People always ask us which assets are exempted from Medicaid. Here is a quick list of the most commonly exempted assets:
- Primary Residence: In many cases, the primary residence is exempt from Medicaid asset calculations, provided the Medicaid applicant or a relative lives in the home. However, Ohio Medicaid Estate Recovery may still apply.
- Personal Belongings: Personal items such as clothing, furniture, and household goods are typically exempt from Medicaid asset calculations.
- One Vehicle: In Ohio, one vehicle is exempt from Medicaid asset calculations if it is used for transportation of the Medicaid applicant or a family member.
- Prepaid Funeral and Burial Expenses: Funds set aside for funeral and burial expenses are exempt from Medicaid asset calculations, if the funeral plan is irrevocable.
- Life Insurance Policies with a Low Face Value: Life insurance policies with total face values under $1,500 value are sometimes exempt from Medicaid asset calculations.
- Certain Retirement Accounts: Qualified retirement accounts, such as IRAs and 401(k)s, are often exempt from Medicaid asset calculations if they meet specific criteria.
- Income-Producing Property: A business that generates income, may be exempt from Medicaid asset calculations if it meets specific criteria.
- Assets of a Non-Applicant Spouse: Medicaid rules often protect a certain level of assets for the spouse not applying for Medicaid, known as the community spouse.
- Certain Types of Trusts: Special Needs Trusts that meet specific criteria may be exempt from Medicaid asset calculations.
Every case is unique, so it is best to discuss your individual concerns with a Medicaid attorney to help guide you through the process.
