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Title 8: Medicaid Page 86 Iowa Department of Health and Human Services Employees’ Manual Chapter F: Coverage Groups Non-MAGI-Related Coverage Groups Revised May 22, 2026 People Ineligible for SSI (or SSA) elimination of the reduction factor. (The Social Security Administration provided this reduction factor.) Add all countable income to the remainder. Compare this sum to the SSI or State Supplementary Assistance (SSA) income limit.
Mrs. M, a 63-year-old widow living alone in her home, received SSI and social security income in 1983. She became ineligible for SSI in February 1984 due to the increase in social security benefits due to elimination of the actuarial reduction formula. Medical eligibility was then established under the coverage group for widowed persons ineligible for SSI or SSA due to the social security actuarial change. Mrs. M’s current gross monthly income is $536.00 in social security benefits and $269 civil service income. The increase in social security benefits from elimination of the actuarial reduction formula is $35. The COLA increases amount to $121.70. $ 536.00 – 35.00 – 121.70 $ 379.30 + 269.00 $ 648.30 – 20.00 $ 628.30 Current gross social security Actuarial increase COLA
Civil service income
General income exclusion The worker compares this computed income to $994 (the current SSI benefit level for one person) Mrs. M continues to be eligible for this coverage group, since her income is less than the SSI benefit rate. Due to Receipt of Widow’s Social Security Benefits Legal reference: 42 CFR 435.138, 441 IAC 75 (Rules in Process), P.L. 100-203 Medicaid may be available to widowed people who meet all of the following conditions: They applied for and received or were considered recipients of SSI or SSA. They apply for and receive Title II widow’s or widower’s insurance benefits, or any other Title II old age or survivor’s benefits.