Page 63

Louisiana Medicaid Eligibility Manual Eligibility Factors

Reissued June 9, 2026

Page 63 of I-1630 Replacing September 23, 2024

Revised/added text indicated by underscore

Deleted text indicated by “**”  Restitution Payments

Exclude from resources restitution payments made by the U.S. government to individual Japanese-Americans (or their survivors) or to Aleuts who were interned or relocated during World War II.

Note: Do not count as income in the month of receipt any interest earned on these payments, but as a resource the following month.

 Retirement Funds

Retirement plans include:

• Plans administered by an employer or union:

- Pensions,

- Disability plans, and

- Retirement plans, and

• Funds put into an individual retirement accounts:

- 401(K), and

- KEOGH plans.

Employment related retirement funds

Individuals who have retirement funds through a plan at their place of employment will not have access to these funds until employment ends. When employment has terminated, the retirement fund generally becomes available.

If the individual is eligible for periodic (usually monthly) retirement benefits, he is required to apply for the benefits. The application for monthly benefits makes the funds no longer available. Count the fund balance as a resource through the month of application for periodic/monthly benefits is filed. Count the monthly retirement fund payment as unearned income effective the month following the month the application for periodic payment is filed.