Increase in the Medically Needy Income Level

Certain people who are blind, disabled, or aged may qualify for Medicaid as part of the medically needy group. However, unlike individuals who are categorically eligible for Medicaid (such as SSI recipients), persons within the medically needy group can incur recipient liability.

Recipient liability is the amount the eligible persons are responsible to pay toward their medical expenses for the month. Recipient liability is based on the monthly income of the members of the Medicaid unit, and it is similar to the deductible amount in an insurance policy.

The Medically Needy Income Level establishes the amount of income that individuals, couples, and families may keep to meet their maintenance needs without having recipient liability. Before July 1, 2009, the Medically Needy Income Level was $500 per month for a one-person household and $516 per month for a household of two persons.

As of July 1, 2009, this income level is $750 per month for a one-person household and $1,008 per month for a two-person household. See the following chart for the income levels for households consisting of more than two persons.

Number of Persons	Monthly Income Level
1	$750
2	1008
3	1267
4	1526
5	1784
6	2043
7	2302
8	2560
Effective July 1, 2009

For each person in the medically needy unit above eight, add $259 to the monthly amount.

This information was obtained from section 510-05-85-40(2) of the Medicaid Program Policy Manual.

Any questions may be directed to: rsi5@srt.com