Indiana Medicaid income limits in 2024

Indiana Medicaid income limits depend on which program you are looking at and who is in your household. For most adults, the limit is 138% of the federal poverty level — which means a single person earning up to about $1,868 per month or a family of four earning up to about $3,822 per month would fall within the income range. These numbers change each year when the federal poverty level updates, usually in January.

Indiana expanded Medicaid in 2015 and now covers adults earning up to that 138% threshold under the main adult program. Children and pregnant people have higher income limits. Seniors and people with disabilities may have different rules depending on which program they are in. The exact limit that applies to you depends on your age, household size, and which Medicaid category you fall into.

Key Takeaways

  • Indiana Medicaid for adults covers household incomes up to 138% of the federal poverty level, which is roughly $1,868 per month for one person in 2024.
  • Children and pregnant people have higher income limits than adults, and seniors or people with disabilities may may have access to under different programs with their own limits.
  • Income limits change every January when the federal poverty level is updated, so the exact dollar amount shifts year to year.
  • To find your household's specific limit, you need to know your household size and which Medicaid program category applies to you.
  • Indiana uses net income (after certain deductions) rather than gross income to determine whether you fall within the limit.

How Indiana calculates your household income

Indiana counts net income, not gross income, when determining whether you fall within the Medicaid limit. This means certain deductions are subtracted from your total earnings before the comparison is made. The deductions include things like taxes, child support payments, and some work-related expenses.

Your household size matters significantly because the income limit rises as more people are added. A single person has one limit; a couple has a higher one; a family of four has a higher one still. Indiana counts anyone you live with and claim as a dependent, plus your spouse if you are married, as part of your household for this purpose.

If your income is right at or near the limit, ask the Medicaid office which deductions might apply to your situation. Some people who appear to earn too much actually fall within the limit once deductions are factored in.

Income limits for children and pregnant people

Children in Indiana can be covered by Medicaid at higher income levels than adults. The limit for children is typically around 200% to 211% of the federal poverty level, depending on the child's age. This means a family with children can earn more and still have those children covered, even if the parents themselves do not fall within the adult income limit.

Pregnant people are covered at 196% of the federal poverty level in Indiana. This higher threshold exists because pregnancy-related care is considered essential and states are encouraged to cover pregnant people more broadly. If you are pregnant and your income is above the adult limit but below the pregnant person limit, you would be covered under the pregnancy category.

Once a child is born, the newborn is automatically covered for the first year of life regardless of household income in most cases. After that first year, the child's coverage depends on the child income limit.

Income limits for seniors and people with disabilities

Seniors and people with disabilities in Indiana may fall under different Medicaid programs with their own income rules. Supplemental Security Income (SSI) recipients, for example, are usually covered by Medicaid automatically in Indiana if they receive SSI. The SSI income limit is much lower than the regular Medicaid limit — currently $943 per month for an individual in 2024, though this amount changes annually.

People with disabilities who do not receive SSI but have limited income and resources may still be covered under other Medicaid categories. Some of these programs have income limits higher than SSI but lower than the 138% adult limit. The specific program and limit depend on the type and severity of disability and whether you are working.

If you are a senior or have a disability, contact the Indiana Family and Social Services Administration directly to learn which program you might fall into, because the rules are more complex than for the general adult population.

What counts as income for Medicaid purposes

Medicaid counts most money coming into your household as income, including wages, self-employment earnings, Social Security benefits, unemployment benefits, and child support received. It also counts unearned income like interest, dividends, and rental income. However, certain types of money are not counted.

Money that is typically not counted includes Supplemental Nutrition Assistance Program (SNAP) benefits, housing assistance, and some types of educational grants. Lump-sum payments like tax refunds or inheritance are usually not counted as ongoing income, though they may affect your resources (savings and assets) rather than your income limit.

If you receive irregular income — such as seasonal work or occasional self-employment — Indiana averages it over the past month or uses the most recent month's amount, depending on the situation. Be prepared to provide recent pay stubs, tax returns, or benefit statements to document your income.

How to report income changes to Indiana Medicaid

If your income changes after you are enrolled in Medicaid, you are required to report the change to the Indiana Family and Social Services Administration. You can report changes online through the Indiana SNAP and Medicaid portal, by phone, by mail, or in person at your local office. The deadline to report is usually within 10 days of the change.

If your income increases above the limit, your Medicaid coverage will end, usually at the end of the month in which the change occurred. If your income decreases, you may become newly covered or move to a different Medicaid category. Some people experience a gap in coverage if they lose Medicaid due to income but do not immediately may have access to for another program.

Reporting changes promptly helps avoid overpayments that you might have to repay later. It also ensures you do not lose coverage unexpectedly if your situation changes.

Income limits for specific Medicaid programs in Indiana

Indiana offers several Medicaid programs beyond the basic adult coverage, and each has its own income rules. The Medicaid Buy-In program, for example, allows working people with disabilities to earn more than the SSI limit while keeping Medicaid coverage. The income limit for this program is higher than standard Medicaid, and it is designed specifically for people who are employed.

The Healthy Indiana Plan (HIP) is Indiana's version of Medicaid expansion and covers adults aged 19 to 64 earning up to 138% of the federal poverty level. HIP requires participants to make monthly contributions (premiums) based on their income, though people below certain income thresholds are exempt from the contribution requirement.

Each program has slightly different rules about income, resources, and what services are covered. If you do not fall within the standard adult limit, ask the Medicaid office whether you might may have access to under a different program.

Frequently Asked Questions

Does Indiana count my spouse's income if we are married but file taxes separately?

Yes, Indiana counts both spouses' income as part of the household income for Medicaid purposes, regardless of how you file taxes. If you are married and living together, both incomes are combined to determine whether you fall within the limit. Married couples living apart may have different rules — contact your local office for your specific situation.

What happens if my income goes over the limit for one month?

A single month over the limit does not automatically end your coverage. Indiana looks at your income over a longer period, usually the past month or the current month depending on the program. If your income is consistently over the limit, your coverage will end. Temporary increases — like a one-time bonus or tax refund — may not affect your may be able to access if they are not counted as ongoing income.

Can I get Medicaid if I am self-employed?

Yes, self-employed people can get Medicaid if their net self-employment income falls within the limit. Indiana counts your net income after business expenses are deducted. You will need to provide tax returns or profit-and-loss statements to document your earnings. Self-employment income can be harder to verify, so be prepared with detailed records.

Do student loans or financial aid count as income for Medicaid?

Student loans and most financial aid do not count as income for Medicaid purposes. However, if you receive a scholarship or grant that includes a living stipend or is paid directly to you rather than to the school, it may be counted. Contact your local Medicaid office with details about your specific aid package to be sure.

What if my income is just barely over the limit?

If your income is slightly over the limit, ask the Medicaid office about deductions that might apply to your situation. Work-related expenses, child support, and other deductions can lower your countable income. Some people who appear to earn too much actually fall within the limit once all deductions are applied. It is worth asking before assuming you do not may have access to.