Medicaid asset limits trip up many seniors, but exemptions and spousal rules protect more than most people realize. Here are the 2026 details.
What counts toward the Medicaid asset limit?
Countable assets include cash, checking and savings accounts, stocks, bonds, mutual funds, certificates of deposit, second homes, and additional vehicles. For a single senior in 2026, these must generally total $2,000 or less to qualify for long-term care Medicaid. Exempt (non-countable) assets include your primary residence up to a state home-equity limit, one vehicle, household goods and personal effects, an irrevocable prepaid burial plan, and certain life insurance with low face value. Retirement accounts may count depending on your state and payout status. Because misclassifying an asset can disqualify you, call 1-800-MEDIGAP (1-800-633-4427) to review your specific holdings.
How do married couples protect assets?
When only one spouse needs long-term care, federal spousal impoverishment rules protect the healthy community spouse. In 2026, the community spouse can keep a Community Spouse Resource Allowance between $32,532 and $162,660, on top of the exempt home and car. This means married couples do not have to spend everything down to $2,000. Several states use the higher maximum for all couples. Strategic, legal moves can further protect assets, but they must comply with the 5-year look-back. A 1-800-MEDIGAP specialist can explain exactly what your household is entitled to keep.