State law and regulations impose income and asset limits on persons applying for Medicaid.
State law and regulations impose income and asset limits on persons applying for Medicaid. | State law and regulations impose income and asset limits on persons applying for Medicaid.
State law and regulations impose income and asset limits on persons applying for Medicaid.
The income limit for the institutional Medicaid program and certain home and community-based waiver programs is determined by the Alabama Medicaid Agency and published in the State Plan for Medical Assistance. For 2026, the Medicaid income limit for individuals eligible for the Nursing Home (institutional) program is $2,982 per month. To qualify for Medicaid through SSI the income limit for an aged, blind or disabled individual cannot exceed $1,014 per month or $1,511 for a couple.
To be eligible for Medicaid, an individual may not have assets in excess of $2,000 as of the first day of the month.
An individual, or the spouse of such individual, who is an applicant or recipient of either institutional Medicaid or home and community-based waiver services, who transfers an asset at any time on or after the "look-back date" for less than fair market value for the purpose of establishing or maintaining eligibility will cause the individual to be charged with the difference between the fair market value of the asset and the amount of any compensation received. The “look-back date" for an institutionalized individual is the date that is 60 months immediately prior to the later of the first day of the month of the original, initial application. For individuals receiving home and community-based waiver services, the "look-back date" is the date that is 60 months immediately prior to the later of the first day of the month of the original, initial application or the first day of the month in which the individual disposes of assets for less than fair market value. For transfers relating to trusts, annuities, or similar legal instruments, the "look-back date" is 60 months.
Ala. Admin. Code r. 560-X-25-.06
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Alabama Medicaid Agency, Medicaid Income Limits for 2026