The Illinois Medicaid numbers may be more than you think and so are your options.
Think you or your parents have too many assets to qualify for Medicaid in 2026? In Illinois, the limits are actually higher than most people realize and there are legal ways to protect even more.
Christine Barone, Certified Elder Law Attorney, one of only 10 in the state of Illinois and a principal in the Elder Law practice, explains, in Illinois, a community spouse can keep up to about $143,000 in assets and maintain about $4,000 in monthly income. A Medicaid recipient can then maintain about $60 in a personal needs allowance every month. Certain assets are already exempt from Medicaid, including prepaid funeral contracts, a vehicle and in most circumstances, the primary residence.
But here’s what most families miss. Medicaid planning is not just about the numbers, it’s about strategy. There are many ways that families can legally plan and strategize to protect assets above and beyond the allowable Medicaid numbers, including Medicaid-compliant annuities to turn countable assets into an income stream, creating a supplemental needs trust for a Medicaid recipient, transfers to a disabled child, spousal refusal or a transfer of property to a child that’s been providing care for their parents. The list goes on and there is no one size fits all for Medicaid planning.
Strategy may involve utilizing a little bit of various options to create the perfect fit. Speaking with an elder law attorney to strategize asset protection can ensure that you are preserving as much as possible of your hard-earned assets for a Medicaid recipient, their spouse or their dependent family members.
The biggest mistake families make is assuming the rules are all or nothing. They’re not and you do not need to hit a certain number to qualify for Medicaid in Illinois.
