can you have money in the bank and get medicare

June 25, 2023

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Yes, it is possible to have money in the bank and still be eligible for Medicare. Medicare is a federal health insurance program primarily designed for individuals aged 65 and older, as well as certain younger individuals with disabilities. Eligibility for Medicare is not based on an individual’s financial status or assets, but rather on their age or disability status and their contributions to the Medicare system through payroll taxes. Therefore, having money in the bank does not affect one’s eligibility for Medicare.

Does Michigan Medicaid look at assets?

Medicaid in Michigan consists of two main programs: traditional Medicaid (TM) and the Healthy Michigan Plan (HMP). TM and HMP were established in 2014 under the Affordable Care Act to provide health insurance for individuals with low income.

To qualify for either TM or HMP, individuals must meet specific income limits, asset limits, or both.

TM offers various categories or subprograms for eligible children, families, and adults. Each category has its own income and asset limits, which may vary. For more details on these categories, you can refer to “An Overview of Medicaid” or visit the Health Care Programs Eligibility section on the Michigan Department of Health and Human Services (MDHHS) website.

On the other hand, HMP only has income limits and does not impose any asset limits.

For more general information on TM and HMP, you can refer to “An Overview of Medicaid”.

How much money can you have in the bank and still get food stamps in Michigan?

Assets refer to cash or any property that you possess. The asset limit is set at $15,000. Here are some examples of assets that are included in this limit:

– Cash that you have on hand
– Money in your checking and savings accounts
– Uncashed checks that have been written to you
– Lottery winnings, unless they are paid to you in installments, in which case they are considered unearned income
– Investments
– Certain types of trusts
– Real and personal property, excluding your primary residence and one household car

It is important to note that the asset limit only applies to assets that are available. In other words, if someone in your household has the right to use or dispose of the asset, it is considered available. The Michigan Department of Health and Human Services (MDHHS) will assume that any asset is available unless you can provide proof to the contrary.

However, if your household’s only source of income is cash assistance, Family Independence Program (FIP), State Disability Assistance (SDA), or Supplemental Security Income (SSI), the asset limit does not apply to you. This is because your household assets have already been screened for one of these other benefits.

How much savings can you have on SNAP?

Under federal rules, households must meet three tests to be eligible for benefits:

1. Gross monthly income: This is the household’s income before any deductions are applied. It must generally be at or below 130 percent of the poverty line. For a family of three, the poverty line used to calculate SNAP benefits in federal fiscal year 2023 is $1,920 a month. Therefore, 130 percent of the poverty line for a three-person family is $2,495 a month or about $29,940 a year. The poverty level varies for different family sizes.

2. Net income: This is the household’s income after deductions are applied. It must be at or below the poverty line.

3. Assets: The household’s assets must fall below certain limits. For households without a member aged 60 or older or with a disability, assets must be $2,750 or less. For households with such a member, assets must be $4,250 or less.

SNAP counts cash income from all sources, including earned income before payroll taxes are deducted, and unearned income such as cash assistance, Social Security, unemployment insurance, and child support.

Assets that count towards eligibility are resources that could be used to purchase food, such as amounts in bank accounts. However, items that are not accessible, such as the household’s home, personal property, and retirement savings, do not count. Most automobiles also do not count. Some states have relaxed the asset limits.

Certain categories of people are not eligible for SNAP, regardless of their income or assets. This includes individuals who are on strike, people without a documented immigration status, some students attending college more than half-time, and certain immigrants who are lawfully present. Unemployed adults aged 18 to 49 without children in the home and without disabilities are limited to three months of SNAP benefits every three years in many areas, and states have the authority to extend work requirements to other SNAP households.

Do you have to pay back Medicaid in NY?

Family members mourning the loss of a loved one may be surprised to receive notice from the Medicaid Estate Recovery Program (MERP) requesting payment for benefits received prior to their loved one’s passing. This bill has the potential to significantly reduce the value of the deceased’s estate.

Medicaid requires reimbursement from any remaining assets upon the death of a benefit recipient. While Medicaid is a federal program administered at the state level, repayment is required in every state. The Medicaid Payback process and details may vary from state to state. If the deceased individual did not have a proper plan in place to qualify for Medicaid, their benefits will essentially become a zero-interest loan from the government. Generally, Medicaid seeks repayment for expenses incurred after the age of 55.

MERP’s goal is to recover the funds Medicaid spent on behalf of a beneficiary. It is a common misconception that loved ones receiving Medicaid benefits are receiving them for free. The reality becomes clear when the estate is hit with the Medicaid Payback bill after the loved one’s passing.

In some cases, the payback bill may not be applicable. Medicaid is intended for individuals in lower-income brackets with limited financial resources and assets. If a person has no assets at the time of their death, Medicaid has nothing to recover. The government is prohibited from pursuing the assets of family members or the children of the deceased. They can only go after assets in which the Medicaid beneficiary had an interest at the time of death.

In New York, Medicaid can only recoup the amount it paid out from the estate of the deceased Medicaid beneficiary. Under New York law, the term “estate” refers to the real and personal property, as well as other assets, that pass according to the deceased’s Last Will and Testament. In the absence of a will, the estate refers to assets that pass through the state’s intestacy laws. Notable assets such as those held jointly with rights of survivorship, payable on death and transfer on death accounts with listed beneficiaries, life insurance with listed beneficiaries, retirement accounts with listed beneficiaries, and most trusts are not included in the assets Medicaid can pursue for repayment. However, laws regarding these assets are subject to change and should be monitored closely.

How much is cash assistance in Michigan?

In 2011, when Republican Gov. Rick Snyder took office in Michigan, an average of 79,660 families per month received cash assistance through the Family Independence Program (FIP). However, in 2022, only 11,947 families received this assistance. This significant decrease in the number of families receiving cash assistance is not indicative of the actual poverty rate in Michigan. Census data from 2021 shows that 15% of families with children in Michigan live in poverty, and this number increases to 36% for single-parent families.

The low number of families receiving FIP cash assistance is primarily due to various state policies that restrict access to the program. One of these policies is the eligibility standard, which requires families to not only be in poverty but in deep poverty in order to qualify for assistance. The total household income for a family must be no higher than $814 per month, which is only 42% of the federal poverty line for 2022. As the family’s earnings increase, the monthly benefit from FIP decreases until the household income reaches $1,183, equivalent to 62% of the federal poverty line.

Another policy that prevents Michigan families from accessing cash assistance is the 48-month lifetime time limit set by the state in 2011. Even if a family received very low monthly benefit payments, the months they received assistance are counted against this time limit. Additionally, families who earn too much to be eligible for FIP automatically receive $10 per month for an extra six months, which counts against the 48-month lifetime limit.

In addition to limited access to cash assistance, there is also the issue of the very low monthly benefit amount. The maximum amount a family can receive is $492 per month, and this is only if the family has no other income. As the family’s earnings increase, the benefit amount decreases, although it decreases at a slower rate than the earnings increase to encourage work.

The maximum FIP grant of $492 per month only covers a fraction of the rent for a modest two-bedroom dwelling in Wayne County and even less in other counties in Michigan. Section 8 housing subsidies are largely unavailable to most qualifying families due to limited funds and long waiting lists. The FIP grant must also cover other monthly expenses such as clothing, school expenses, transportation, and personal care. While food is subsidized by the Supplemental Nutrition Assistance Program, it may not be enough to cover a family’s entire monthly grocery needs.

Requiring families with children to be in near-destitution before allowing them to receive temporary cash assistance is neither practical nor moral. These families need assistance to pay their bills, buy clothing for their children, and maintain their transportation. The current low monthly benefit amount often leaves them struggling to meet their basic needs.

Approximately 166,500 families in Michigan are living in poverty, and updating the state’s cash assistance program would provide them with much-needed temporary relief.

Conclusion

Conclusion:

In conclusion, the eligibility criteria for various government assistance programs in Michigan and New York are subject to specific guidelines and regulations. When it comes to Medicaid in Michigan, the program does consider assets as part of the eligibility determination process. However, the specific asset limits may vary depending on the applicant’s circumstances, such as age, disability, or household composition.

Regarding Medicaid in New York, there is no requirement to pay back the benefits received. Medicaid is a government-funded program that provides healthcare coverage to low-income individuals and families, and it operates on a no-repayment basis.

For the Supplemental Nutrition Assistance Program (SNAP), also known as food stamps, the amount of savings an individual or household can have and still qualify for benefits depends on various factors, including income, household size, and expenses. Generally, there is no specific limit on savings for SNAP eligibility, but the income and expense calculations play a significant role in determining eligibility.

Lastly, cash assistance in Michigan, also known as Temporary Assistance for Needy Families (TANF), provides financial support to low-income families. The amount of cash assistance an individual or household can receive depends on factors such as household size, income, and expenses. The maximum monthly cash assistance amount for a family of three in Michigan is currently $492.

It is important to note that the information provided in this article is subject to change, and it is always advisable to consult official government sources or contact the relevant agencies for the most up-to-date and accurate information regarding eligibility and benefits for these programs.