Medical Programs

Modified Adjusted Gross Income (MAGI) rules are based on Internal Revenue Service (IRS) rules for counting income and are used to determine financial eligibility for medical programs and federal insurance affordability programs.

To determine financial eligibility, the following items must be identified for each person within the MAGI household composition:

earned income, excluding any pre-tax contributions;

unearned income;

self-employment income;

American Indian (AI)/Alaska Native (AN) disbursements;

overpayments; and

expenses.

The income of the following people must be considered for medical programs:

any person who is included in the person’s MAGI household composition; and

an alien's sponsor (if applicable).

Note: Household composition for medical programs is determined for each applicant or recipient. The income of certain people may be exempt from an applicant’s or recipient’s MAGI household income as explained in A-1341 , Income Limits and Eligibility Tests , Medical Programs, Step 3.