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MEDICAL SERVICES POLICY MANUAL,SECTION E E-200 Determining Financial Eligibility Under the MAGI Methodology

E 230 Steps in Determining MAGI Income Eligibility

E-230 Steps in Determining MAGI Income Eligibility MS Manual 08/03/2020 Below are the steps for determining income eligibility:

1. Determine the Medicaid household composition and size for each individual applying for assistance. See MS E-240 - E-251. • “Medicaid household” means the householdmemberswhose income will be considered when determining eligibility and who will be included in the household size. For MAGI determinations, the Medicaid household is determined based on the individual’s tax filing status. See MSE-250. • The “Medicaid household size” is the number of people who will be counted to determine the appropriate Federal Poverty Level (or other income standard) for the household. 2. Determine countable household income. See MS E-260-E-264. • Countable household income refers to the income of the Medicaid household members that will be counted in determiningeligibility. 3. Determine current household income. See MS E-265 -E-266. • The income used to determine Medicaid eligibility must reflect the income that a Medicaid household member is currently receiving. 4. Compare countable current household income to the appropriate Federal Poverty Level for the household size. See MS E-267. • This step will determine each individual’s Medicaid eligibility.

E-240 Determining the Medicaid Household for Families and Individual Groups MS Manual 08/03/2020 Under the Modified Adjusted Gross Income (MAGI) methodology, the Medicaid household composition is based on federal income tax filing status. Household size is the number of individuals counted in the family size for the income standard. When determining the household