My mother has been receiving the VA Aid and Assistance pension for about two years. She has now been approved for one of the New Jersey Medicaid programs. I know that the Personal Needs Allowance under the VA program is $90. Under the New Jersey Medicaid program it's $109. Is she entitled to just one or the other or to both allowances?
I ask this because the state wants to take her entire VA pension and turn it over to the assisted living facility where she resides. This seems to be at odds with the VA guidelines, which state that no part of the $90 monthly Improved Pension may be used to reduce the amount of Medicaid paid to a nursing facility. The guidelines, based on regulations, derive from Federal law.
As one might surmise, it's difficult to get a clear answer on this, either online or from the VA itself. If I decide to appeal to the state of New Jersey I want to make sure I have a basis for doing so.
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Note that the $90 limit only applies if the veteran (or spouse of veteran) has no spouse or child. However, if the child has their own money (i.e., is not a dependent) then they are not counted as a child for these purposes (see https://www.law.cornell.edu/uscode/text/38/1522#b)
You also may like to know that on February 6, 2015, the state of New Jersey settled a class action lawsuit by agreeing not to count VA payments as income for Medicaid purposes
Here's the actual rule: 38 U.S. Code § 5503 and 38 CFR 3.551(i).
My mother only gets $35.00 personal needs allowance being in a NJ nursing home. Why would she not get the $109.00 PNA?
Final question... If and when VA reduces to $90.00 and mom is straight Medicaid and SS does she get to keep the $90.00 for PNA? I know about keeping under $2K. Since they have not been doing $109 and have been doing $35. I am majorly confused.
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