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MEDICAL SERVICES POLICY MANUAL,SECTION O O-700 Income Determination for Medically Needy Program O 730 Income Eligibility Determination for Exceptional Medically Needy

Determine the monthly income level applicable to the case according to the Medically Needy Income Levels from MS O-710. Determine the net monthly income to be considered as follows: 1. For AABD-MN, determine net monthly income according to AABD policy (allow SSI exclusions in MS E-450 and E-451) as follows: a. From the unearned income of an individual or the combined unearned income ofan eligible couple, deduct $20/month (general SSI exclusion). Do not allow the exclusion from income based on need (e.g. V.A. pension). b. Where there is no unearned income for the case or unearned income is less than $20/month, deduct the $20 exclusion or remainder thereof from gross earned income of the case before deducting the SSI earned income exclusion. c. From the earned income of an individual or the combined earned income of an eligible couple, deduct $65/month plus 1/2 of the remainder (SSI exclusion). d. Total remaining unearned and earned income to arrive at net income. e. If the net income is less than the SSI payment level, the individual or couple cannot be considered for Medically Needy, and referral will be made to SSI (Re. MS O-141 for exceptions). If the net income equals or exceeds the SSI payment level, a Spend Down eligibility determination will be made. 2. For AFDC-MN, UP-MN, PW-MN, and U-18-MN, determine net monthly income according to AFDC policy (see exceptions in MS O-420) as follows: a. Determine the unearned income for the case. b. From earned income, deduct $90 and child care expense. c. Total unearned and remaining earned income to arrive at net income. d. If the determined net income is less than the monthly Medically Needy Income Level at this point, the individual or family is eligible as Exceptionally Medically Needy and no further computation is necessary. If the net income exceeds the monthly Medically Needy Income Level, it will be necessary to make a Spend Down eligibility determination.