--- title: "Medi-Cal Long-Term Care: Nursing Home & Home Care (2026)" url: https://fundingltcmarketplace.com/states/california/medi-cal-long-term-care/ description: "How Medi-Cal pays for nursing home care through CalAIM managed care, which waivers cover assisted living and home care, and the 2026 return of the asset test." last_updated: 2026-10-20 author: George A. Mellendorf, CLTC, LTCP (Central States Insurance Services, Inc.) publisher: Funding LTC Marketplace note: Educational content; not legal, tax or financial advice. Markdown copy of the HTML page at the URL above. --- California · Medicaid Program # California Medi-Cal Long-Term Care Last updated 2026-10-20 **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. ## Sources - DHCS, [Medi-Cal Changes: asset limits for older adults and people with disabilities](https://www.dhcs.ca.gov/medi-cal/updates/medi-cal-changes/) - DHCS, [All County Welfare Directors Letter 25-14 (asset limit reinstatement)](https://www.dhcs.ca.gov/wp-content/uploads/2025/10/25-14.pdf) - DHCS, [CalAIM Long-Term Care Carve-In](https://www.dhcs.ca.gov/providers-partners/calaim-long-term-care-carve-in/) - DHCS, [1915(c) Home and Community-Based Services Waivers](https://www.dhcs.ca.gov/services/1915c-home-and-community-based-services-waivers/) - DHCS, [Estate Recovery Program](https://www.dhcs.ca.gov/services/estate-recovery-program/) [← Back to the full California guide](https://fundingltcmarketplace.com/states/california/)