Kentucky Medicaid income limits
Last verified: June 2026
Verify current limits with Kentucky Medicaid
Kentucky expanded Medicaid in 2014 — adults at or below 138% FPL qualify for full coverage, no asset test
Kentucky Medicaid income limits by coverage group
Kentucky uses MAGI (Modified Adjusted Gross Income) methodology for most eligibility groups. MAGI-based groups have no asset test. Non-MAGI groups — seniors, people with disabilities — face both income and asset limits.
| Coverage group | FPL % | Approximate monthly limit (individual) |
|---|---|---|
| Adults ages 19–64 (ACA expansion) | 138% | ~$1,732/mo (2025) |
| Parents and caretaker relatives | 138% | No asset test |
| Pregnant women | ~195% | No asset test; 12 months postpartum |
| KCHIP (children's CHIP program) | Up to 218% | No premium — KCHIP is free |
| Seniors 65+ / Aged, Blind, Disabled | SSI-linked | Asset test applies |
| Nursing facility / HCBS waivers | 300% FBR | ~$2,829/mo individual (2025) |
Source: Kentucky DMS eligibility documentation; 2025 federal poverty level guidelines; kidshealth.ky.gov (KCHIP). Verify current dollar thresholds at kynect.ky.gov or by calling 1-855-459-6328.
No asset test for MAGI-based coverage groups
Adults in the expansion group, parents, pregnant women, and children with MAGI-based eligibility face no asset test in Kentucky. This is the standard rule in all ACA expansion states. Savings accounts, investment accounts, vehicles, and home equity do not affect eligibility for these groups.
Seniors age 65 and older and adults who are blind or disabled applying for SSI-linked Medicaid do face asset limits. Generally, the countable resource limit is $2,000 for a single individual and $3,000 for a couple, with the primary home, one vehicle, household goods, and certain burial funds excluded.
KCHIP income limit: 218% FPL with no premium
Kentucky's CHIP program — KCHIP — covers children under 19 at or below 218% FPL at no cost to the family. Per the KCHIP website at kidshealth.ky.gov, KCHIP is free health insurance for eligible families. This distinguishes KCHIP from many other state CHIP programs that charge monthly premiums.
KCHIP also covers pregnant women and women within one year postpartum at or below 218% FPL. This postpartum coverage mirrors the adult Medicaid postpartum benefit and provides continuity for new mothers who may transition between coverage types after delivery.
What counts as income under MAGI
MAGI includes wages and salary, self-employment income, unemployment compensation, most Social Security benefits, rental income, and most other taxable income. It excludes child support received, student loan proceeds, most needs-based benefits (SNAP, TANF, energy assistance), and certain other items. For households with variable income — seasonal work, self-employment, tips — DMS uses the current monthly income projection rather than prior-year tax data when the two differ significantly.
How Medicaid income limits work
Medicaid eligibility is tied to the Federal Poverty Level (FPL), a measure the Department of Health and Human Services updates each January. States set their income limits as a percentage of FPL — so when FPL increases, the dollar thresholds for Medicaid also shift.
The Affordable Care Act established a standard income methodology called Modified Adjusted Gross Income (MAGI) for most Medicaid applicants. Under MAGI, the agency counts wages, salaries, self-employment income, Social Security benefits, and most other taxable income. Assets — a savings account, vehicle, home — are not counted for MAGI-based programs. That changed with the ACA and applies in all states.
States that expanded Medicaid under the ACA cover most adults at or below 138% FPL. In non-expansion states, income limits for adults without dependent children are far lower — sometimes as low as a few hundred dollars per month — or eligibility for that category simply doesn't exist.
These are federal guidelines — state limits may differ
What counts as income under MAGI
MAGI (Modified Adjusted Gross Income) is the income standard for most Medicaid applicants — children, adults under 65, pregnant women, and parents. It includes wages, salary, tips, self-employment income, unemployment benefits, Social Security retirement and disability benefits (SSDI), and most other taxable income.
It does not count child support received, gifts, loans, inheritances that are not generating income, or Supplemental Security Income (SSI) payments. One key MAGI rule: the ACA added a 5% FPL income disregard for most adults, which effectively raises the usable threshold by that amount. So a state with a 133% FPL limit effectively covers adults to about 138% FPL after the disregard.
Assets — a bank account, car, or home — are not counted for MAGI-based programs. That's a major difference from old-law Medicaid, where asset tests were common. If you previously didn't qualify because of assets, your eligibility may have changed after the ACA.
Asset limits and long-term care Medicaid
MAGI-based programs have no asset test. But Medicaid programs that cover long-term care — nursing home care, home and community-based services for seniors — use the old income and asset methodology, which does include asset limits.
Asset limits for long-term care Medicaid vary by state and are updated periodically. Generally, countable assets above the limit must be spent down before an applicant qualifies. Exempt assets — the primary home (in most circumstances), one vehicle, and certain personal property — are not counted.
Specific asset limits for Kentucky's long-term care programs are on the seniors and long-term care page. The thresholds change, so verify current figures with Kentucky Medicaid directly.