Key Elder Law Dollar Amounts

Last Updated: 1/1/2018 (unless otherwise noted)

Below are figures for 2018 that are frequently used in the elder law practice, including the figures for Virginia Medicaid spousal impoverishment, the Federal long-term care insurance deductibility limits, edicare premiums and co-pays, Social Security Disability, and Supplemental Security Income:

Medicaid Figures:

Medicaid is the primary source of medical assistance for millions of low-income and disabled Americans, providing health coverage to many of those who would otherwise be unable to obtain health insurance. Currently, 74 million people receive health coverage under Medicaid. Under the program, beneficiaries pay low out-of-pocket fees for health services that are paid for by federal dollars.

Although the federal government establishes general guidelines for the program, states design, implement, and administer their own Medicaid programs.  The federal government matches state expenditures on medical assistance based on the federal medical assistance percentage, which can be no lower than 50 percent.  In FY 2018, the Federal share of current law Medicaid outlays is expected to be approximately $407.6 billion.

These are the most up-to-date key dollar amounts (Virginia figures were updated on 10/1/17; Maryland figures were updated on 7/1/17; and DC figures were updated on 1/1/17):

Divestment Penalty Divisors

Northern Virginia:  $8,367
Rest of  Virginia: $5,933
DC:  $9,456.34
MD:  $8,684.00

Individual Resource Allowance

VA:  $2,000
DC:  $4,000
MD: $2,500

Married Couple Resource Allowance:

VA:  $3,000
DC:  $6,000
MD: $3,000.00 each for first 6 months – $2,500.00 each after 6 months (if sharing same room) – $2,500.00 each (if separate rooms or facilities) (Last Updated: 7/1/2017)

Monthly Personal Income Allowance for Nursing Home Residents:

VA:  $40
DC:  $70
MD: $77

Monthly Personal Allowance for Virginia Community Based Medicaid (EDCD Waiver)

Up to a maximum of $1,213 (165% of SSI Income Limit — $735 for 2017)
Up to a maximum of $1,237.50 (165% of SSI Income Limit scheduled to increase to $750 for 2018)

Shelter Standard:

VA:  $609
DC:  $609
MD:  $609

Standard Utility Allowance:

VA:  $306
DC:  $305
MD: $402

Medicaid Home Equity Cap: (These amounts are based on Medicaid.gov’s Spousal Impoverishment numbers for 2017.)

Minimum: $560,000
Maximum: $840,000

Community Spouse Allowances:

Minimum Community Spouse Resource Allowance (For all states, except Alaska and Hawaii): $24,180
Maximum Community Spouse Resource Allowance (For all states, except Alaska and Hawaii): $120,900

Minimum Monthly Maintenance Needs Allowance (For all states, except Alaska and Hawaii): $2,030
Maximum Monthly Maintenance Needs Allowance (For all states, except Alaska and Hawaii): $3,022.50

Auxilliary Grant Figures:

2018 Northern Virginia:  $1421
2018 Rest of Virginia:  $1,230

Veterans Aid and Attendance Figures:

In 2018, the Veterans A&A Pension can provide up to the following maxium amounts:

Single sick Veteran ~ $21,961 per year / $1,830 per month
Healthy Veteran with sick spouse ~ $17,240 per year / $1,436 per month
Married sick Veteran ~ $26,036 per year / $2,170 per month
Married, Both Veterans sick ~ $34,836 per year / $2,903 per month
Surviving Spouse – $14,113 per year / $1,176 per month

Medicare Figures:

Medicare Deductibles, Premiums and Co-pays

Medicare has been protecting the health and well-being of American families and saving lives for five decades.

Medicare Part A (Hospital Insurance) helps cover inpatient care in hospitals, including critical access hospitals, and skilled nursing facilities (not custodial or long-term care). It also helps cover hospice care and some home health care. Certain conditions must be met to get these benefits.

Medicare Part A Deductible

2018: $1,340 deductible for each benefit period

2017: $1,316 deductible for each benefit period

Medicare Part A Premium

Most people don’t pay a monthly premium for Part A. However, if you are one of the small number of people who don’t qualify for free Part A coverage and decide to purchase it on your own, you’ll pay:

2018: $422 each month

2017: $413 each month

Co-payment for hospital stay, days 61-90

2018: $335 per day

2017: $329 per day

Co-payment for hospital stay, days 91 and up

2018: $670 per day

2017: $658 per day

Co-payment for skilled nursing facility stay, days 21-100

2018: $167.50 per day

2017: $164.50 per day

Long-Term Care Insurance Premium Deductibility Limits

Long Term Care Insurance (LTCI) remains one of the most tax advantaged planning solutions available. Not only are the benefits paid tax-free, but policyholders may deduct some or all of their premiums. The Internal Revenue Service has announced it will be increasing the amount long term care insurance policyholders can deduct from their 2018 taxes for owning coverage.

40 or younger

2018: $410/yr

2017: $410/yr

41 to 50

2018: $780/yr

2017: $770/yr

51 to 60

2018: $1,560/yr

2017: $1,530/yr

61 to 70

2018: $4,160/yr

2017: $4,090/yr

Over 70

2018: $5,200/yr

2017: $5,110/yr

Social Security and Supplemental Security Income

Based on the increase in the Consumer Price Index (CPI-W) from the third quarter of 2016 through the third quarter of 2017, Social Security and Supplemental Security Income (SSI) beneficiaries will receive a 2.0 percent COLA for 2018.

Retirement Earnings Test Exempt Amounts

Under full retirement age*

2018: $17,040/yr. ($1,420/mo.)

2017: $16,920/yr. ($1,410/mo.)

*One dollar in benefits will be withheld for every $2 in earnings above the limit.

The year an individual reaches full retirement age**

2018: $45,360/yr. ($3,780/mo.)

2017:  $44,880/yr. ($3,740/mo.)

**The 7.65% tax rate is the combined rate for Social Security and Medicare.  The Social Security portion (OASDI) is 6.20% on earnings up to the applicable taxable maximum amount (see below).  The Medicare portion (HI) is 1.45% on all earnings. Also, as of January 2013, individuals with earned income of more than $200,000 ($250,000 for married couples filing jointly) pay an additional 0.9 percent in Medicare taxes. The tax rates shown above do not include the 0.9 percent.

Social Security Disability Thresholds

Non-Blind

2018: $1,180/mo.

2017: $1,170/mo.

Blind

2018: $1,970/mo.

2017: $1,950/mo.

Maximum Social Security Benefit: Worker Retiring at Full Retirement Age

2018: $3780/mo.

2017: $3740/mo.

SSI Federal Payment Standard

Individual

2017: $735/mo.

2016: $733/mo.

Couple

2017: $1,103/mo.

2016: $1,100/mo.

Estimated Average Monthly Social Security Benefits Payable in January 2017

All Retired Workers

2017: $1,360

2016: $1,341

Aged Couple, Both Receiving Benefits

2018: $2340/mo.

2017: $2,294

Widowed Mother and Two Children

2018: $2,771

2017: $2,717

Aged Widow(er) Alone

2018: $1,336

2017: $1,310

Disabled Worker, Spouse and One or More Children

2018: $2,051

2017: $2,011

All Disabled Workers

2018: $1,197

2017: $1,173