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Essay: Funding Options for the Medicaid

Funding options for the Medicaid Income Surplus Program include the recipients of the scheme (Wiener & Tilly, 2002). Those who are spending their lives in nursing homes have to contribute all they have to Medicaid. Nonetheless, they are allowed a small allowance of $30 dollars per month to cater for any personal needs they may have.

Additionally, any gifts are that given out by a Medicaid applicant have to be taxed. This means that all applicants will pay back every dollar they have given out during that period. This is a gift tax, and despite the fact that most people are exempt from it to a tune of $13,000 per year, Medicaid s exempt from this exclusion, and if caught, one will have to pay back every dollar. This might put one in a position where despite the fact that they are below the Medicaid application maximum, they are still not eligible due to the tax they have to pay. This tax applies to recipients’ of the income surplus program.

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