If you apply for Medi-Cal, the following list includes items that are generally exempted for qualification.
- Your home is exempted if it is your principal residence. When applying for Medi-Cal, you will confirm on the application that you intend to return home after your stay in a skilled nursing facility. Medi-Cal requires a “subjective intent in writing to return home” to establish the home as an exempt asset. We have our clients execute an “intent to return home” form when we prepare their asset protection estate plans.
- IRAs, 401k’s and other “qualified accounts” are exempt. The applicant however must be taking RMD’s or some amount of principal and interest on a periodic basis.
- Not more than $2,000 in cash in the applicant’s name, which could include savings and checking accounts.
- One care is exempt. If a couple owns two cars, we request an exemption for the more expensive car.
- Term life insurance is exempt, but whole life insurance cannot have more than $1500 cash value.
- Burial plots are exempt, and prepaid irrevocable burial plans are exempt.
- Qualified or work related annuities are generally exempt. Other annuities may be exempt according to the Medi-Cal regulations.
- Household furnishings are exempt.