Have Michigan Medicaid income limits changed under recent state legislation or budget for 2026?
Executive summary
Michigan’s Medicaid income and asset rules show some changes for 2025–2026 in public materials: long‑term‑care (nursing home) rules list a single applicant’s monthly income ceiling near $2,982 and a countable asset test around $9,660–$9,950 in recent compilations (see Medicaid planning sites and legal summaries) [1] [2] [3]. Official Michigan Department of Health and Human Services materials describe program structure, spend‑down rules and several procedural policy shifts (retroactive coverage and non‑citizen eligibility) slated for late 2026–2027, but do not in the provided sources state a single, across‑the‑board statutory change to general Medicaid income limits for all groups in a 2026 state budget bill [4] [5].
1. What the numbers in circulation actually reflect
Published Medicaid‑planning and legal reference pages list specific thresholds used for long‑term care and SSI‑related pathways: a common figure cited for a single nursing‑home applicant in 2026 is about $2,982 monthly income and countable assets in the ~$9,660–$9,950 range [1] [3] [2]. These figures come from program‑specific calculations (nursing‑home Medicaid and Aged/Blind/Disabled categories), not from a single omnibus “Medicaid income limit” applying to every eligibility group; Michigan uses multiple tests (MAGI for many adults, different tests for seniors/disabled) [6] [7].
2. Official state guidance and program complexity
MDHHS explains that Medicaid eligibility varies by program: some categories use MAGI (Modified Adjusted Gross Income), others require asset tests, and several programs allow applicants over the limit to qualify via a deductible/spend‑down process [4] [6]. That means headline monthly numbers for nursing‑home applicants do not translate to the Healthy Michigan Plan adults, pregnant people, children, or other groups whose limits are set as a percentage of the Federal Poverty Level (FPL) and calculated differently [7].
3. Recent administrative and budgetary policy changes reported
MDHHS presentation slides cited in the results note procedural policy changes tied to budget or administrative rules: narrowed retroactive coverage (reducing months of retroactive coverage starting Jan. 2027) and restrictions on lawful‑presence noncitizen pathways effective Oct. 2026, among other finance‑related items — these are program operations and eligibility pathway changes rather than an across‑the‑board income limit reset for 2026 [5].
4. Where reporting varies and why figures diverge
Private Medicaid‑planning sites and law‑firm summaries often present concrete dollar thresholds (useful for planning), while state pages emphasize rules and mechanism (MAGI, spend‑down, FPL percentages). That produces apparent discrepancies: e.g., senior ABD (Aged, Blind, Disabled) monthly limits reported elsewhere ($1,305 individual in 2025–26) reflect specific subprograms, while nursing‑home monthly income “limits” often reference what a resident may retain after income‑contribution rules — different concepts that get conflated in secondary guides [8] [1] [9].
5. What the sources do not show
Available sources do not mention a single 2026 Michigan state law or budget line that blanket‑raises or lowers all Medicaid income limits for every eligibility group. The materials provided show program‑by‑program numbers, administrative timing changes (late‑2026/2027), and guidance on spend‑down and asset treatment, but no explicit legislative enactment described in these excerpts that changes universal income thresholds [5] [4] [6].
6. Practical takeaway for people checking eligibility
If you are checking eligibility for a specific pathway, use the program‑specific figures: nursing‑home/long‑term‑care rules and SSI‑related categories have their own dollar tests (examples cited above), while adults under Healthy Michigan Plan and many other groups use MAGI and FPL percentages (138% FPL for many adults) [2] [7] [6]. For exact, current numbers and any late budget amendments, consult MDHHS official pages and the specific program guidance before acting [4] [5].
Limitations and note on sources: This analysis relies entirely on the provided search results, which include MDHHS program pages, legal guides and Medicaid‑planning summaries. Those sources report program thresholds and administrative changes but do not document a single legislative 2026 change to all Medicaid income limits in Michigan; further confirmation from complete state budget legislation or MDHHS rule notices was not found in the materials provided [5] [4] [1].