New Medicaid Income Cap for 2021

There are three requirements to obtain Medicaid assistance to pay for long-term care.  A person must be in clinical need of Medicaid, satisfy the resource requirements and have an income that is less than the income cap.  If a person has a gross monthly income that is greater than the income cap then he or she will not qualify for Medicaid unless their income is deposited into a Qualified Income Trust, also known as a QIT.

Prior to 2021 the income cap in New Jersey was $2,349.00.  The income cap is based upon the maximum monthly benefit for an individual who receives Supplemental Security Income, also known as SSI.  The maximum monthly SSI benefit in 2020 was $783.00. 

In 2021, the maximum monthly SSI benefit is $794.00.  Therefore, the Medicaid income cap is now $2,382.00.  This is three times the amount of the maximum monthly SSI benefit.

In summary, a person is not allowed to have a gross monthly income in excess of $2,382.00 in order to qualify for Medicaid.  If that person does have excess income then he or she must establish a QIT in order to acquire Medicaid assistance.