Important Elder Law Update: New York State Medicaid Resource/Income Allowance Levels for 2026
By: Dana Walsh Sivak, Esq. and Kate Dargan
Updated Medicaid Resource & Income Allowance Figures for 2026
The New York Department of Health has issued updated guidelines setting forth the resource and income allowance thresholds for Medicaid applicants for 2026, increasing the amount of assets and income Medicaid applicants may retain without jeopardizing their eligibility for Medicaid benefits coverage.
Effective immediately, and retroactively to January 1, 2026, the following Resource and Income allowance levels apply for Medicaid applicants and recipients:
| Category | Type | Amount |
|---|---|---|
| Community-Based Medicaid (Home Care) | Applicant Resource Allowance - Individual | $33,038 |
| Applicant Resource Allowance - Married Couple (Both Spouses Applying) | $44,796 | |
| Applicant Income Allowance - Individual | $1,836/month | |
| Applicant Income Allowance - Married Couple | $2,489/month | |
| Institutional (Nursing Home) Medicaid | Applicant Resource Allowance | $33,038 |
| Applicant Income Allowance | $50/month | |
| Community Spouse Resource Allowance | $74,820 (minimum) / $162,660 (maximum) | |
| Community Spouse Minimum Monthly Maintenance Needs Allowance (MMMNA) | $4,066.50 |
Additionally, the maximum home equity threshold in order to exclude an applicant’s home as a countable resource for Medicaid purposes is $1,130,000.00 for 2026.
How Will This Impact Pooled Income Trusts?
Based on the increase in the income allowance amount for 2026, individuals receiving Community Medicaid benefits, who utilize a Pooled Income Trust to divert their excess income each month to maintain their full Medicaid benefit amount, will be able to retain more of their income each month, without needing to send it to the Pooled Income Trust or otherwise “spend down” their excess income toward the cost of their care.
If you are a Medicaid applicant or recipient who utilizes a Pooled Income Trust, we encourage you to contact the Elder Law attorneys at Falcon Rappaport & Berkman LLP at (516) 599-0888, to discuss how you may have the monthly funding of your Pooled Income Trust account re-budgeted to account for this new increase in the amount of income that a Medicaid recipient is allowed to keep each month.
DISCLAIMER: This summary is not legal advice, and does not create any attorney-client relationship. This summary does not provide a definitive legal opinion for any factual situation. Before the firm can provide legal advice or opinions to any person or entity, the specific facts at issue must be reviewed by the firm. Before an attorney-client relationship is formed, the firm must have a signed engagement letter with a client setting forth the Firm’s scope and terms of representation. The information contained herein is based upon the law at the time of publication.