The Medicaid recipient is allowed to retain a Personal Needs Allowance of $60 a month and any monthly premium needed to pay for medical insurance.

Under the Spousal Impoverishment Act, the stay-at-home spouse is allowed a Minimum Monthly Maintenance Needs Allowance of $2,739, which is adjusted annually.  If the stay-at-home spouse has less than $2,739 monthly income, Medicaid will reduce the confined spouse’s share of medical cost to bring the stay-at-home spouse’s income up to the minimum of $2,739.  If the stay-at-home spouse is not receiving any income from the confined spouse, then he/she may have unlimited income.