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Wisconsin Department of Health and Family Services Obsolete Medicaid Eligibility Handbook For the current MEH, see http://www.emhandbooks.wi.gov/meh-ebd/ For the current BC Plus Handbook, see http://www.emhandbooks.wi.gov/bcplus/ |
Income Income is anything you receive in cash or in kind that you can use to meet your needs for food, clothing, and shelter. received by an institutionalized person and transferred in the month of receipt is considered divestment.
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Example 1: Mr. M. resides in a nursing home. He receives a pension check of $3,000 a month. Mr. M. immediately signs the check over to his son. This is a divestment. |
Unless there is reason to believe otherwise, assume that ordinary household income was legitimately spent on the normal costs of living.
However, there may be divestment if the person transferred amounts of regularly scheduled income which s/he ordinarily would have received. Such a transfer usually takes the form of a transfer of the right to receive income.
When you find the institutionalized person has transferred income or the right to receive income, calculate a penalty period based on the total amount of income transferred.
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Example 2: Donald transfers his rights to his $325,000 pension to his daughter. The divested amount is $325,000, not the $4,500 the daughter expects to receive each month from the pension. |
This page last updated in Release Number: 02 01
Release Date:01-01-02
Effective Date:01-01-02