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Ineligible Child Allocation: Parents whose income is deemed to their child receive an ineligible child allocation for each ineligible child in their home. The ineligible child must be under age 21 and be the ineligible parent’s child or stepchild. The ineligible child allocation is the difference between the SPA (ABD 014 Poverty Guidelines) for one and two, less the ineligible child’s own income. NOTE: An ineligible child under age 18’s or a dependent student age 18 through 21’s earnings are reduced by up to $2410 per month (to a maximum of $9730 per calendar year for 2026) before determining the child’s ineligible child allocation (see CMA 502-1 Earned Income, ‘Children’s Earned Income’).

Family Medically Needy: Stepparent income is deemed to their stepchild when the stepchild is receiving medically needy Medicaid. NOTE: The stepparent must currently be married to the child’s parent, and the parent must be living in the home for deeming to apply. Stepparent income is not deemed if the child’s parent is not in the home. NOTE: If the stepparent’s child is included in the medically needy filing unit, income is not deemed as the stepparent’s income is considered in full.

SPOUSE TO SPOUSE DEEMING: ABD: When the client has a living spouse, income and resources are considered as follows: 1. Both spouses’ income and resources are considered for spouses who live together (as long as neither is applying for or enrolled in a HCBS Waiver program). NOTE: When they live together, both spouses’ income and resources are considered when determining MSP eligibility, even when one or both spouses are participating in an HCBS Waiver program. 2. Each spouse is treated as an individual beginning the calendar month after the spouses cease living together, and in months in which they live apart the entire month, as long as neither spouse resides in an institution or requests HCBS Waiver coverage. Income and resources of the estranged spouse are only considered if actually contributed. 3. When spouses no longer live together due to one entering a residential medical facility, or requesting waiver services, the institutionalized/waiver spouse’s resource eligibility is determined by completing a resource assessment using both spouses’ resources and calculating a resource maintenance allowance. 4. If both spouses are enrolled in a waiver program and/or institutionalized, each spouse is treated as an individual (each spouse must be residing in an institution/enrolled in waiver for a period of at least 30 days). Spousal impoverishment policies do not apply. NOTE: Common law marriage is a legal marriage in Montana, in exactly the same manner as any other legal marriage. If individuals claim common-law marriage, request a statement signed by both spouses which indicates the date the couple began to consider themselves as married.