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MISSISSIPPI DIVISION OF MEDICAID Eligibility Policy and Procedures Manual CHAPTER 200A – Income: ABD Categories Page |23 Effective Month: July 2025 200A.03.16 FUND RAISING PROCEEDS Benefits received through fund raising are a potential third-party liability source. The applicant/recipient must report all sources of income from fund raising to the regional office. The regional office will inform the Third-Party Liability unit of the availability of any source of payment for medical services. Donated funds for the purpose of payment of medical services are considered a third-party source. In order for donated funds to be excluded as income, the following criteria must be met: • Prior to accepting donations, the applicant/recipient (or family of a child) must make arrangements to place donations in a trust fund or special account. • The trust fund or special account must be managed by an administrator (someone outside the family). • The funds must never be mixed with personal or family money. • The applicant/recipient should not have direct access to the trust funds or special account. The applicant/recipient or administrator must be able to produce documentation of how the funds were spent. 200A.04 EXCLUSIONS FOR EARNED AND UNEARNED INCOME An exclusion is an amount of income which does not count in determining Medicaid eligibility. Exclusions never reduce income below zero. There are three statutory exclusions that apply to both earned and unearned income. NOTE: Income exclusions are not applicable in long term care budgeting. For individuals applying for long term care, the total income received in a month is counted as income in each month for which eligibility is being determined. For a full discussion, refer to the Institutionalization chapter.