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Ineligibility due to Transfers Gifting Expense Reimbursements Theft

Transfers of income or assets may affect eligibility. If income or assets are transferred for less than fair market value to become Medicaid eligible, a period of ineligibility may exist for the individual. This will vary depending on the value of the transferred income or asset(s). Anyone determined ineligible due solely to transferred income or assets cannot qualify for nursing home payments. However, the individual may still qualify for basic Medicaid coverage (e.g., medicines, hospital coverage, etc). 

Allowable Transfers: 
Certain transfers are allowable. The individual may transfer: 

  • Any resource to a spouse or disabled adult child.
  • The homestead, without penalty, to one of the following relatives:
    • His/her spouse. 
    • His/her minor child (under 21 years) or his blind or disabled adult child.
    • His/her sibling who has equity interest in the home and resided there at least one year prior to the individual’s institutionalization.
    • His/her son or daughter who resided in the home for at least two years immediately before institutionalization and who provided care that delayed the individual’s institutionalization. 
Other transfers are evaluated case by case. 

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