Medi-Cal’s Asset Limits for People with Disabilities

As of January 1, 2026:

• The limit is $130,000 for one person or $195,000 for a married couple.
• Add $65,000 for each additional family member (up to 10 people).

According to Department of Health Care Services (DHCS), “Not everyone in your home may count toward your family size. For example, adult children living with you are not included. Some married couples or registered domestic partners may qualify for higher limits.”

Because these limits apply only in California, families who move out of state will need to comply with Medicaid asset limits in their new state of residence.

What are countable assets for Medi-Cal recipients?

• Bank accounts
• Cash
• Second vehicles (you are allowed one vehicle)
• Second homes (you are allowed one home, but you have to live there)
• Other financial resources

For more information about countable assets, see this FAQ on the DHCS website.

For many families with a child with a developmental disability, their child qualifies for Medi-Cal through the institutional deeming waiver. Their eligibility is based on the assumption that they would qualify for a state institution, so the child’s income and assets are assessed separately from their family. Therefore, the Medi-Cal asset limit for children on the waiver refers only to assets belonging to the child or held in their name.

For example:

• A relative might pass away and leave an inheritance in the child’s name.
• Parents might save money for a child’s future, such as a 529 account (although the account belongs to the parent, the child is the beneficiary).
• The child might win a court settlement, such as for compensation for abuse or medical negligence.

Two common ways to save for the future without being subject to the asset limit are ABLE accounts and special needs trusts. If your child has a California ABLE account under $529,000, funds in the ABLE account are not subject to the Medi-Cal asset limit. For a larger amount, a special needs trust can also bypass the asset limits. You can learn more about ABLE accounts and special needs trusts in our article here.

Note that if your child is also a recipient of Supplemental Security Income (SSI), the amount in an ABLE account must be under $100,000 to avoid being counted for SSI. SSI follows federal regulations and has an asset limit of $2,000 for individuals.

We recommend that you consult with a financial planner to help you make the best decisions for your child’s future given all the considerations at both the state and federal levels.

Until 2022, Medi-Cal used the same financial eligibility criteria as SSI, which sets specific income caps depending on family size and an asset limit of $2,000 ($3,000 for married couples), with specific exemptions for the family home and a vehicle, among others. (Note that there is no asset limit for recipients of SSDI.) 

Under the Affordable Care Act, California expanded Medi-Cal access by using new Modified Adjusted Gross Income (MAGI) calculations to assess eligibility. This approach removed the asset limit for most applicants. However, the change did not apply to programs designed for elderly people and people with disabilities, who remained subject to strict asset caps. 

A California law that went into effect on July 1, 2022, increased the asset limit for Non-Modified Adjusted Gross Income (Non-MAGI) Medi-Cal program eligibility. This helped expand Medi-Cal access for elderly people and people with disabilities, including children.

The 2022 law allowed elderly people and people with disabilities in California to save more for the future without losing their health care benefits. In 2022, the asset limit was set to $130,000 for individuals (it increases with family size). The asset limit was briefly eliminated entirely before returning to $130,000 in 2026.

Are Medi-Cal asset limits changing?

The proposal currently passed by the California Assembly is $21,000 for one person starting July 1, 2027. We will know if this proposed limit is being made official by July 1, 2026. The governor had originally proposed returning to an asset limit of just $2,000 for individuals.