Resource Limits - Medicaid

For more information about Choices for Care Long-Term Care Medicaid resource limits, visit the Choices for Care Resource Limits page on this website.

For MABD, you can have up to $2,000 in “countable” resources. A couple living together can have up to $3,000 in “countable” resources. The resource limits for MWD are higher: $10,000 for an individual and $15,000 for a couple. Resources that “count” include cash, savings, bonds, CDs, stocks, mutual funds, bank accounts, and real property such as a separate parcel of land or a camp that is not your home. 

If you live in your home, it is not counted as a resource. Your car is also not counted. Many other resources such as household items, personal property and burial funds are not counted up to a certain amount. For example, you and your spouse can keep up to $10,000 each in separate burial funds.

Whether resources are counted or not is complicated. Also, countable resources can be spent down or converted (changed) to excluded resources.

Are you getting a lump-sum payment or inheritance? Call us to find out it how it will impact your Medicaid.

A “lump sum” is a one-time or irregular payment. It could be an award or settlement from a lawsuit, money from selling your home or vehicle, an insurance payout, an award of retroactive benefits from Social Security or SSI, or an inheritance.

For the Vermont Medicaid programs that have resource limits (Medicaid for the Aged, Blind and Disabled and Medicaid for the Working Disabled), in most cases, the lump sum counts as a resource in the month after you get the money. Example: If you get a lump sum payment in October, it will count as a resource in November. There are several exceptions with longer time periods, such as money from the sale of your home (up to three months if you then use the money to buy a new home) or a retroactive payment from Social Security or SSI (up to nine months).

Contact us for advice about preparing to receive a lump sum, or if you have a notice that says your Medicaid is being stopped because you have too many resources. Contact us at the Office of the Health Care Advocate (HCA) for help and advice. Fill out this form or call 1-800-917-7787. Our help is free.

If you have excess resources, you should talk to a lawyer familiar with Medicaid law for help planning what to do. If you are 60 or over, you can call the Senior Citizens Law Project for help with Medicaid planning at 1-800-889-2047.

If you want Medicaid coverage for the current month and going forward, you can spend your excess resources on bills, debts, goods or services and on resources that are not counted such as a home, a car or burial expenses.

It is possible to give away excess resources in some circumstances. However, be very careful about giving away resources. You can still be eligible for Medicaid coverage if you give away property or assets, but giving away property may mean you won’t qualify for some long-term care services. How long you won’t qualify depends on how much you gave away.  

Go to our Choices for Care - Giving Away Property or Resources page to find out more about transfer penalties and Medicaid long-term care. You should be aware of how transfer penalties may affect you if you need long-term care services in the future.