Mississippi Administrative Code
Title 23 - Division of Medicaid
Part 104 - Income
Chapter 7 - Sources and Treatment of Unearned Income
Rule 23-104-7.12 - VA Pension Payments

Universal Citation: MS Code of Rules 23-104-7.12

Current through September 24, 2024

A. The following is information about VA pensions:

1. Pension payments are based on a combination of service, an age of 65 or over and a nonservice-connected disability or death.

2. All VA pension payments are based on need, except those noted later under this rule.

3. VA may consider dependents' needs in determining a pension; however, normally VA will not make a pension payment directly to a dependent during the lifetime of the veteran. Instead, the amount of the veteran's basic pension is increased if the veteran has dependents.

4. When computing some needs-based pension payments, VA deducts unusual medical expenses from any countable income.
a) This computation may result in an increase in a pension payment or in an extra payment.
1) An increase or extra payment resulting from this computation is not income.

5. Assume that a VA pension is partially or entirely needs-based unless there is evidence to the contrary. As such, these payments are unearned income and the $50/$20 general income exclusion is not applied.
a) The exceptions to IBON designation are:
1) VA Aid and Attendance and Housebound Allowances are not income. All or part of a VA pension may be subject to this rule.

2) VA payments resulting from unusual medical expenses are not income. All or part of a VA pension payment may be subject to this rule.

3) Pensions paid to veterans and their dependents on the basis of a Medal of Honor or special act of Congress, are not needs-based. These pensions are unearned income and the $50/$20 general exclusion does apply.

6. The Veterans and Survivors Pension Improvement Act (VA Improved Pension), signed into law October 1978 and effective January 1979, changed the method of determining the pension payable. The new rates of payment are not automatic; therefore, the veteran or survivor must file an application with VA to establish entitlement under the improved pension. Recipients who receive benefits under the old VA law must file for the improved pension as a factor of eligibility under the Utilization of Other Benefits provision.

Social Security Act §1902 (r)(2); 42 CFR §435.601(b) (Rev 1994).

Disclaimer: These regulations may not be the most recent version. Mississippi may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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