Quick answer: Medi-Cal has covered nursing home care through managed care plans since January 1, 2023. The asset limit is $130,000 for one person ($195,000 for a couple) through June 30, 2027, then drops to $21,000 for one person ($31,000 for two) on July 1, 2027.
At a glance (2026)
- Asset limit, one person (through June 30, 2027)
- $130,000
- Asset limit, couple (through June 30, 2027)
- $195,000 ($65,000 for each additional person)
- Asset limit starting July 1, 2027
- $21,000 one person / $31,000 two people (plus $1,550 each additional person)
- Not counted
- The home you live in, one vehicle, household items, some retirement savings
- Nursing home care
- Covered through Medi-Cal managed care plans since January 1, 2023
- Estate recovery (deaths since 2017)
- Limited to the probate estate; none if survived by a spouse or registered domestic partner
How Medi-Cal pays for long-term care
Medi-Cal is California's Medicaid program, run by the Department of Health Care Services (DHCS). Under the CalAIM initiative, long-term nursing home care moved into Medi-Cal managed care. Since January 1, 2023, every Medi-Cal managed care plan has covered skilled nursing facility care. ICF/DD homes and adult and pediatric subacute care followed on January 1, 2024. If you live in a nursing home on Medi-Cal, your care is coordinated through your managed care plan.
Care at home or in assisted living: DHCS runs several home and community-based waivers for people who would otherwise need a nursing facility or hospital:
- the Assisted Living Waiver
- the Home and Community-Based Alternatives (HCBA) Waiver
- the Multipurpose Senior Services Program (MSSP)
- California Community Transitions
- the Medi-Cal Waiver Program
Each requires full-scope Medi-Cal, a medical-necessity finding and the matching level of care. Some waivers cap enrollment or operate only in certain counties, so waiting lists are possible.
The asset test is back: Medi-Cal had dropped its asset limit in 2024. Starting January 1, 2026, it again counts assets for people who qualify because they're 65 or older, have a disability or need long-term care. Through June 30, 2027, the limit is $130,000 for one person, plus $65,000 for each additional household member ($195,000 for a couple). Starting July 1, 2027, the limit drops to $21,000 for one person and $31,000 for two people, plus $1,550 for each additional person. The home you live in, one vehicle, household items and some retirement savings don't count. Couples with a spouse at home may have additional protections under the spousal impoverishment rules. Income rules haven't changed.
Estate recovery is limited: for Medi-Cal members who died on or after January 1, 2017, DHCS can recover only from assets in the probate estate. It recovers only payments for nursing facility care, home and community-based services, and related hospital and prescription drug services received at age 55 or older. DHCS won't recover from the estate of a member survived by a spouse or registered domestic partner. Property that passes by trust, survivorship or transfer on death isn't reached.
Example
James, 78, of Fresno moves to a nursing home in March 2026. He's single and has $95,000 in savings, his home and his car. Because the 2026 limit is $130,000 and his home and car don't count, he can qualify for Medi-Cal long-term care now. His family should plan for the July 1, 2027 drop to $21,000, which will apply at his renewals after that date.
Illustrative example; names and figures are hypothetical.
Common mistakes
- Assuming there's still no asset test. It returned January 1, 2026, and current members are checked at their next renewal.
- Planning around $130,000 without accounting for the July 1, 2027 drop to $21,000.
- Leaving the home in the member's name when a trust or other probate-avoiding title might have been considered with an attorney.
- Expecting a waiver slot right away. Some waivers have limited enrollment and waiting lists.
Questions and answers
What is the Medi-Cal asset limit for nursing home care in 2026?
$130,000 for one person and $195,000 for a couple, through June 30, 2027. It drops to $21,000 for one person and $31,000 for two people on July 1, 2027.
Does Medi-Cal count my house?
No. The home you live in isn't counted, along with one vehicle, household items and some retirement savings.
Who pays for nursing home care on Medi-Cal?
Your Medi-Cal managed care plan. All plans have covered skilled nursing facility care since January 1, 2023.
Will Medi-Cal take my house after I die?
For deaths since January 1, 2017, DHCS recovers only from the probate estate, and not at all if a spouse or registered domestic partner survives. A home held in a living trust or joint tenancy isn't subject to recovery.