The following provides information regarding some additional scenarios concerning how to consider earned income for Long Term Care services.

1. Sharon Thompson is applying for Nursing Home services. She is currently only receiving earned income in the form of annual leave in the amount of $1500 monthly. Is the client allowed the earned income deductions ($20 General Income Exclusion, Minus $65, and ½ the remainder before the vendor payment is calculated?
   In this example the earned income deductions allowed are the Minus $65, and ½ the remainder. The $20 GIE is not given for application for nursing home. The income is calculated as ($1500-$65 = $1435 / 2 = $717.50). Then the maintenance fee and any medical expenses would be subtracted from the $717.50 to determine the vendor payment.
2. Bill Lincoln is applying for nursing home services. His wife Shelly remains in the home. Bill receives a pension of $800 and Social Security of $1200. Shelly is currently employed and receives $3471 monthly. When considering Spousal Impoverishment, do we allow the earned income deductions when determining if any income can be deemed to the Community Spouse?
   No. In this example, the income the Community Spouse receives is considered in full without allowing earned income deductions. As Shelly’s income is over the Maximum monthly income standard per Appendix C-1, Schedule XI, no income can be deemed to her from her spouse.

Refer to the following policy for additional information regarding income eligibility for LTC Programs:

ADvantage Waiver

317:35-17-9
317:35-17-10
317:35-17-11

Nursing Facility Services:

317:35-19-19
317:35-19-20
317:35-19-21