Many seniors unfortunately never look into qualifying for Medicaid because the asset limit for a single individual living in Florida is $2,000 for 2019. And the income limit for a single individual in Florida is $2,313 per month for 2019. Most seniors will look at these numbers, realize they have far more in assets or income than Medicaid allows, and will never speak to an elder law attorney.
The reality is that with every government-run program or system there are exceptions – this includes Medicaid. A single senior individual with $2,000,000 in assets – far above the $2,000 limit – can still qualify for Florida Medicaid with the right planning done.
You may ask how someone with $2,000,000 in assets could qualify for Medicaid. The answer is that the Florida Legislature and the Federal Government have carved out exceptions for seniors who have far more than $2,000 in assets or $2,313 in income.
How does Medicaid planning work?
At first glance the senior clearly does not qualify for Medicaid. The assets ($515,000) are far above the allowed $2,000. And the income ($2,500) is also above the allowed $2,313 per month.
Would it shock you to hear that with some simple planning this senior would qualify for Medicaid?
The 2016 Dodge Minivan, the Homestead Residential Property, and the IRA are completely exempt for Medicaid qualification purposes. The only thing that would need to be done is set up a Qualified Income Trust (QIT) – also known as a Miller Trust – because the senior’s income is above the allowed amount.