Did You Know You Can Keep Your Medicaid Benefits While Working?
If you could keep your Medicaid coverage AND earn enough income to get off SSI, would you? Many people don’t even know that’s an option.
One of the biggest concerns SSI beneficiaries have about going to work is the possibility of losing Medicaid coverage. Let’s cover some key information about SSI, work, and continued Medicaid eligibility.
Here is how it works
Under the Social Security Act Section 1619(b) you can keep your Medicaid even when earning higher income, and in many states, Medicaid continues automatically and requires no applications or requests.
What is Continued Medicaid Eligibility – Section 1619(b)?
Medicaid 1619(b) is one of the most powerful work incentives currently available for SSI recipients. This incentive continues Medicaid coverage for most working SSI beneficiaries even after earnings become too high to allow a cash benefit!
To qualify for this incentive you must:
- Continue to meet the disability requirement.
- Have been eligible for SSI cash payment based on disability for a least one month.
- Have assets below $2,000 (for an individual) $3,000 (for an eligible couple).
- Meet all SSI citizenship and living arrangement requirements.
- Have GROSS annual earned income less than the current state “threshold amount”.
- Have countable unearned income of less than the current Federal Benefit Rate (FBR) and resources under the current limit for SSI recipients.
- Meet a Medicaid “Use” test (i.e., has used Medicaid during the last 12 months; expects to use Medicaid during the next 12 months; or would be unable to pay unexpected bills in the next 12 months without Medicaid)
Other Benefits to 1619(b)?
The other benefit of 1619(b) is that by continuing to qualify for Medicaid, the individual with a disability retains their contact with the SSI program. This means that if you are a working 1619(b) beneficiary and lose your job or reduce earnings below the total amount of income that would reduce your SSI to zero, you could then contact your local Social Security office to request your SSI benefit be reactivated. The SSI payment will start again. Thus, it is very important to always report earnings to Social Security each month to have the SSI benefit adjusted accurately. As stated above, eligibility for 1619(b) is your connection to the SSI program. Therefore, it is also very important that you never give up your Medicaid benefit should you become eligible for health insurance from an employer. Medicaid will pay for health insurance co-pays and will even pay the individual’s share of insurance premiums in some cases. As a result, you will always need Medicaid for your health needs. Remember, keeping 1619(b) Medicaid keeps your connection to the SSI program.
Important to note, Section 1619 (b) applies only to people who have SSI.
This is just a broad overview of Medicaid 1619(b). Give us a call for more information on Medicaid coverage 888-359-2366 or visit the Social Security link https://www.ssa.gov/disabilityresearch/wi/1619b.htm
Resources used for this blog: ssa.gov and Virginia Commonwealth University, Cornell University
Until next time
~Tina
tina@mpes.net
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