Page 5

Louisiana Medicaid Eligibility Manual Eligibility Determinations

Issued December 9, 2024

Page 5 of H-1100 Replacing February 6, 2023

Revised/added text indicated by underscore

Deleted text indicated by “”

Ineligible Spouse Deeming

If there is an ineligible spouse with income, complete budget Steps 1 through 9 above using only the applicant/beneficiary income. If the income of the applicant/beneficiary is greater than the QMB limit for one person, the applicant/beneficiary is ineligible and there is no deeming. Consider for the Medically Needy Program (MNP).

If the income of applicant/beneficiary is equal to or less than the QMB limit for one person, apply deeming policy. Refer to I-1420 Need - Deeming. Go to Step 1 of the couple budget.

Couple If both members of a couple are potentially eligible, or if there is income remaining in the deeming process, complete the following budget steps:

Step 1. Determine the total gross unearned income by combining the couple’s unearned income.

Note: When deeming income from an ineligible spouse, the income of the ineligible spouse remaining after allocation for ineligible children is combined with the income of the eligible spouse. The couple is then treated the same as an eligible couple for budgeting purposes.

Step 2. Subtract the $20 SSI general income disregard.

Step 3. The remainder is the couple’s countable unearned income.

Step 4. Determine the total gross earned income by combining the couple’s gross earned income.

Step 5. Subtract any remainder of the $20 SSI disregard from gross earnings.

Step 6. Subtract one earned income deduction from the remaining gross earnings of the income unit. The earned income deduction is $65 and one-half of the remainder of the earnings.

Step 7. The remainder is the couple’s countable earned income.