Long Term Care Medi-Cal is a program that will pay for an extended stay in a care facility. The qualifications for this program and the asset restrictions can be confusing. In this example we are comparing two couples – Ralph & Ruth (add ages) and Bill & Mary (add ages) – to determine whether or not they would qualify for Medi-Cal.

Ralph & Ruth’s Assets:

  • Home: $500,000
  • Furniture: $100,000
  • Car: $70,000
  • Savings: $20,000
  • Prepaid Funeral: $10,000
  • Total: $700,000

Do they qualify for Medi-Cal?

Yes. While they have a high net worth, most of their assets are exempt. The only asset that is considered non-exempt is their savings account, which is below the limit put in place by Medi-Cal.

Bill & Mary’s Assets:

  • Mobile Home: $35,000
  • Furniture: $1,000
  • Car: $4,0000
  • Savings: $5,000
  • Retirement: $150,000
  • Total Assets: 205,000

Do they qualify for Medi-Cal?

No. While Bill and Mary have a lower net worth than Ralph and Ruth, their largest asset being the retirement account disqualifies Mary from receiving Medi-Cal. Since they are not receiving the minimum distribution on this account due to Mary’s age, the retirement account isn’t considered an exempt asset and they are over the $128,000 non-exempt asset limit.

There are still ways for Mary to qualify for Medi-Cal. If you or a loved one find yourself facing a stay in a long-term care facility, be sure and contact a qualified attorney to discuss your options.