Spending Down

Applicants for Medicaid and their spouses may protect savings by spending them on non-countable assets. These expenditures may include:

• prepaying funeral expenses,
• paying off a mortgage,
• making repairs to a home,
• replacing an old automobile,
• updating home furnishings,
• paying for more care at home, or even
• buying a new home (with up to $750,000.00 in equity iu New York!).

In the case of married couples, it is often important that any spend-down steps be taken only after the unhealthy spouse moves to a nursing home if this would affect the community spouse’s resource allowance.