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Pegala1227 Asked May 2020

COVID Stimulus Payments; does anyone know what to do with these funds?

My mom is in a NH currently paid by Medicaid. She received the Covid stimulus payment deposited directly to her checking account. This will effect her Medicaid status. I don't see anything on the sites regarding what to do with this extra money and speaking to anyone is impossible. I'm sure she's not the only one. Does anyone know what to do with these funds?

Sendhelp May 2020
The basic Medicaid rule for nursing home residents is that they must pay all of their income, minus certain deductions, to the nursing home. If the stimulus payment were considered income, it would likely have to go straight to the nursing home. Since in most states Medicaid recipients cannot have more than $2,000 in assets, there was also concern that the stimulus payments could put many recipients over the asset limit. 
In a blog post, the commissioner of the Social Security Administration (SSA) has clarified that the SSA will not consider stimulus payments as income for Supplemental Security Insurance (SSI) recipients, and the payments will be excluded from resources for 12 months. Because state Medicaid programs cannot impose eligibility requirements that are stricter than SSI requirements, the payments should not affect Medicaid eligibility. 
from the world wide web, author unknown.

Sendhelp May 2020
Was reading something before, but did not comment then.
The funds from the stimulus payment will be deferred by Medicaid and not counted as changing anyone's Medicaid status for about one year, or, at the end of this year.

Use the funds for the benefit of your Mom only. Think it out. Don't panic or be in a hurry to spend the money.

Anyone can look this up to confirm.

It is like when the DMV will offer a temporary license renewal,
and law enforcement has agreed to not cite someone for having an expired license---if the dates are within their guidelines.

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Geaton777 May 2020
It's not income, it's considered "tax relief" so won't be counted by Medicaid (my MIL in LTC on Medicaid also received it). You can use it to buy things for your mother's care. I will be putting the money into a pre-paid funeral trust for her. Anything else that benefits her is allowed: eyeglasses, clothes, groceries, supplements, etc. Just keep the receipts, just in case.

GardenArtist May 2020
Peg, this question has been asked before, so there are already answers and advice:

https://www.agingcare.com/search?term=COVID%2C+stimulus+payments%2C+Medicaid

I hope these other posts offer some insight. If not, just post again and raise the issues that haven't yet been addressed.

And best wishes to your mother and you for safety during this trying time.

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