Medicaid income limits depend on your state and family size
Medicaid does not have a single national income limit. Each state sets its own threshold, and the amount you can earn and still be covered varies by state, by family size, and sometimes by the type of Medicaid program you are entering. For example, a single adult in one state might may have access to at $18,000 per year while the same person in another state qualifies at $12,000 per year.
Most states use the federal poverty level as a starting point and then set their limit as a percentage of it. Some states cover people at 100% of the federal poverty level; others go to 138%, 150%, or higher. A few states use their own income calculation instead. The only way to know your state's exact limit is to check with your state Medicaid office or use the income calculator on your state's Medicaid website.
Income limits also change each year, usually in January, because the federal poverty level adjusts annually. If you were denied last year, your income situation may have changed enough to may have access to this year, or the limit itself may have shifted.
Key Takeaways
- Your state, not the federal government, sets the income limit for Medicaid, and limits vary widely — a person earning $20,000 might may have access to in one state and not in another.
- Most states count gross monthly income (before taxes), though some count net income or use different calculation methods, so you must check your specific state's rules.
- Family size matters: a family of four has a higher income limit than a single person, and the limit increases with each additional household member.
- Some types of income do not count toward the limit — such as certain disability payments, child support, or food assistance — so your actual countable income may be lower than your total earnings.
- Income limits change every January, so if you were turned down in the past, you should check again because the threshold may have risen.
How your state calculates countable income
Not all income counts the same way. Your state Medicaid office will look at your countable income, which is the money they use to determine whether you meet the limit. Countable income usually includes wages, self-employment income, Social Security, unemployment benefits, and pensions. It does not include income that is specifically excluded by state or federal rules.
Common types of income that do not count include Supplemental Security Income (SSI) in some circumstances, certain disability payments, child support received, food assistance (SNAP), housing assistance, and some types of educational aid. Your state may also disregard a portion of your earned income — for example, the first $65 per month of wages plus one-half of the remainder. This is called an earned income disregard, and it means you can earn more and still may have access to.
The calculation method varies by state. Some states count only gross income (before taxes and deductions). Others subtract certain expenses, such as child care costs or medical expenses, before comparing your income to the limit. A few states use net income (after taxes). You need to know which method your state uses, because it changes what counts.
Income limits by family size
Medicaid income limits scale with family size. A single person has a lower limit than a couple, who have a lower limit than a family of four. Each additional household member typically raises the limit by a set amount, usually between $400 and $800 per month depending on your state.
Your household size includes you, your spouse (if you are married and living together), and any children under 19 who live with you and depend on you for support. Some states count other relatives or non-relatives who live in your home and share expenses; others do not. If you are unsure whether someone in your home counts as part of your household, ask your state Medicaid office.
The table below shows approximate federal poverty levels for 2024 (the baseline many states use), though your state's actual Medicaid limit may be higher or lower:
| Family Size | 100% Federal Poverty Level (Monthly) | 138% Federal Poverty Level (Monthly) |
|---|---|---|
| 1 person | ~$1,084 | ~$1,496 |
| 2 people | ~$1,452 | ~$2,004 |
| 3 people | ~$1,821 | ~$2,513 |
| 4 people | ~$2,189 | ~$3,021 |
These figures are examples only. Your state may use a different percentage, and the actual numbers change each year. Use this table to get a rough sense of where you stand, then check your state's official Medicaid website for the exact current limit that applies to you.
Asset limits and what they cover
Some states have asset limits — a cap on how much money or property you can own and still be covered by Medicaid. Other states have removed asset limits entirely. If your state has them, you must have less than the limit in countable assets to be covered. Asset limits are typically $2,000 for a single person and $3,000 for a couple, though these figures vary by state and program.
Countable assets include cash, bank accounts, stocks, bonds, and vehicles beyond a certain value. Non-countable assets — those that do not count against the limit — usually include your primary home (no matter its value), one vehicle, personal belongings, and life insurance with a face value under a certain amount. Some states also exclude retirement accounts like IRAs and 401(k)s.
If you are close to an asset limit, you may be able to spend down assets on medical care, home repairs, or other permitted expenses before you apply. Some states allow you to set aside money in a special account for future medical or burial costs. Ask your state Medicaid office whether spend-down options are available to you.
Medicaid expansion and higher income limits
In 2014, the Affordable Care Act allowed states to expand Medicaid to cover more people, including adults without children. States that expanded Medicaid typically cover people earning up to 138% of the federal poverty level — roughly $1,500 per month for a single person in 2024. States that did not expand Medicaid often have much lower limits, sometimes covering only parents of young children or people with disabilities.
If you live in a non-expansion state, your options may be more limited. You might still be covered through a specific program — such as Medicaid for seniors, people with disabilities, or pregnant women — even if you do not may have access to under the general adult category. Check your state's website to see which programs are available to you based on your age, disability status, or other circumstances.
Expansion status can also change. A few states have expanded Medicaid in recent years, and others have considered it. If you were turned down in the past, it is worth checking again to see whether your state's rules have changed.
How to find your state's exact income limit
The fastest way to find your state's income limit is to visit your state Medicaid office website directly. Search "[Your State] Medicaid income limits" or go to the main Medicaid page for your state. Most state sites have an income calculator where you enter your family size and income, and the tool tells you whether you may be covered.
If you cannot find the information online, call your state Medicaid office. The phone number is usually listed on the state website. You can also call 211 (a free helpline) and ask for a referral to your local Medicaid office. Have your family size, monthly income, and any non-countable income sources ready when you call.
Some community health centers and legal aid organizations also help people understand Medicaid income rules for free. If you are having trouble navigating the system, ask whether your local health center offers this service.
Frequently Asked Questions
Does my income include my spouse's income if we are married?
Yes, in most cases. Medicaid counts the income of both spouses in a married couple living together, even if only one person is applying. Some states have different rules for certain programs, so check with your state office. If you are separated or divorced, your ex-spouse's income does not count.
What if my income changes month to month?
Medicaid typically looks at your average income over the past three months or your expected income for the next three months, depending on your state. If you have a new job or lost work recently, tell your state office — they may use a different period to calculate your income. Keep records of recent pay stubs or income statements to show how your income has changed.
Do I have to report my income every month?
No, but you must report significant changes. If your income increases above the limit, you must tell your state Medicaid office, usually within 10 days. If your income drops, you should report it so your coverage is not interrupted. Some states use online portals where you can update your information; others require a phone call or written notice.
Can I be covered if I am self-employed?
Yes. Self-employment income counts toward the Medicaid limit. Your state will usually ask for tax returns or profit-and-loss statements to verify your income. Some states allow you to deduct business expenses before counting self-employment income toward the limit, while others count gross revenue. Ask your state office which method they use.
What happens if my income is just above the limit?
If you are slightly over the limit, you may still have options. Some states have programs for people just above the Medicaid threshold, or you might be covered through a specific category (such as pregnant women or people with disabilities) that has a higher limit. You can also ask whether your state allows income disregards or spend-down options that could bring you under the limit.