LUMP SUM UNEARNED INCOME (INCOME) (MAM)

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The treatment of lump sum unearned income differs depending upon the category of assistance. A cash donation received by an individual on a one-time basis is considered for Medicaid eligibility as lump sum income. Examples of lump sum unearned income include but are not limited to cash donations received through fundraiser/crowdfund entities (ie: GoFundMe, YouCaring, GiveForward, PayPal), gifts, lottery winnings, insurance settlements, one-time pension or profit sharing payments, and inheritances.

MAGI-related categories of assistance

Treatment: Counted as income only in the month received, unless the lump sum unearned income is a gift or an inheritance. Gifts and inheritances are excluded in the income eligibility determination process for the MAGI-related categories of assistance. .

Non-MAGI-related categories of assistance

Treatment: See Lump Sum Payment: Nonrecurring (Resources) in PART 411, Common Types of Resources.

References: He-W 656.04(b)(10), 42 CFR 435.603(e)(1)