Ohio Administrative Code
Title 5160:1 - Eligibility
Chapter 5160:1-3 - Medicaid for the Aged, Blind, or Disabled (ABD)
Section 5160:1-3-05.4 - Medicaid: cash and checking and savings accounts and time deposits
Universal Citation: OH Admin Code 5160:1-3-05.4
Current through all regulations passed and filed through September 16, 2024
(A) This rule describes the treatment of cash, checking and savings accounts, and time deposits for purposes of determining eligibility for medical assistance.
(B) Definitions.
(1) "Cash" means money on hand or available
in the form of currency or coins. Foreign currency or coins are cash to the
extent that they can be exchanged for U.S. currency.
(a) Monthly income is not counted when
evaluating cash on hand.
(b) The
individual's statement of actual cash on hand is accepted without
verification.
(2)
"Checking account" or "savings account" is the same as having cash on hand
because deposits are payable on demand. An individual should be able to
withdraw money from a checking account or savings account on the same day the
individual requests it.
(3)
"Dedicated account" means an account in a financial institution, the sole
purpose of which is to receive and maintain
supplemental security
income (SSI) past-due benefits which are required or allowed to be paid
into such an account and the use of which is restricted by section
1631(a)(2)(F) of the Social Security Act (as in effect
October 1, 2019).
(4) "Depository account", for the purpose of
this rule, means a checking account, savings account, or time deposit at a
financial institution that allows money to be deposited and withdrawn by the
account owner.
(5)
"Depository account signature card" means a
contract with the financial institution that shows who has access to the
depository account and whether or not the signatures of more than one owner of
the depository account are needed to withdraw funds.
(6) "Passbook" means a financial institution
record which shows deposits, withdrawals, and interest.
(7) "Past-due benefits" mean any of the
following:
(a) SSI benefits due but unpaid
which
accrue prior to the month payment was
effectuated; or
(b) SSI benefits
due but unpaid which accrue during a period of suspension from SSI
payments for which the individual was subsequently determined to have been
eligible; or
(c) Any adjustment to
SSI benefits that results in an accrual of unpaid benefits.
(8) "Time deposit" means a
contract between an individual and a financial institution whereby the
individual agrees to leave funds on deposit for a specified period and the
financial institution agrees to pay interest at a specified rate for that
period.
(a) Certificates of deposit (CDs) and
saving certificates are common forms of time deposits.
(b) Withdrawal of a time deposit before the
specified period expires incurs a penalty, which usually is imposed against the
principal. This penalty does not prevent the time deposit from being a
resource, but does reduce its value as a resource. On rare occasions, the terms
of a time deposit will prohibit early withdrawal.
(C) Access to depository accounts.
(1)
When the
individual is:
(a)
The account owner and has the legal right to withdraw
funds from the account, all of the funds in the account are a resource to the
individual.
(b)
A co-owner of the account with another individual who
is applying for or in receipt of medical assistance, the funds in the account
are equally divided and a resource to each of the co-owners.
(c)
A co-owner of the
account with someone who is not applying for or in receipt of medical
assistance, all of the funds in the account are a resource to the
individual.
(2)
The depository account signature card identifies who
has access to the funds. In the absence of the depository account signature
card, a statement from the financial institution is acceptable
documentation.
(3) In situations where
a depository account is shared with others and the amount of funds has an
effect on the individual's eligibility for medical
assistance, the administrative agency shall inform the individual that if
he or she has restricted access to the depository account
according
to the contract with the financial institution or if a portion of the
depository account was contributed by another person, the individual must
provide documentation to support his or her statements regarding
the account situation.
(4)
When the
individual provides documentation showing that
access to the depository account is restricted through the need for the
signature of other owners, all of the funds are still considered a resource of
the individual unless documentation is provided of the percentage the other
owners have contributed.
(a)
When the
other owners refuse to allow the individual to withdraw funds from the
depository account, the individual must provide documentation that the resource
is unavailable and take any action necessary to obtain the resource.
(b)
When the individual
is institutionalized, a determination of whether an improper transfer has
occurred must be completed in accordance with rule
5160:1-6-06.5 of the Administrative Code. If the
individual's signature is all that is needed to access
the depository account, then the depository account is his or hers in its
entirety unless documentation is provided that indicates
which
percentage of the funds the other person(s) deposited.
(5)
When the
individual provides documentation showing that
another person, who is not applying for or in receipt of medical
assistance, has an ownership interest in and
contributed to the depository account, then only the portion
contributed
by the individual shall
be considered as a resource.
(a) Interest
accrued on the depository account shall be allocated according to the portions
of ownership.
(b) Documentation
necessary to show the individual does
not own the funds in the depository account includes:
(i) A statement from the individual
giving his or her allegation regarding ownership of the funds, the reason for
establishing the co-owned depository account, who made deposits to and
withdrawals from the depository account, how withdrawals were spent, etc.;
and
(ii) Corroborating statements
from the other depository account holder(s); and
(iii) Where ownership for prior periods needs
to be established, the evidence must include a financial institution
recordor
income statement . This may
result in determinations that the individual owned varying dollar amounts for
the prior period.
(6)
When the
co-owner of the depository account is
incompetent or a minor, it is unnecessary to obtain a corroborating statement
from that person. That person's incompetency or age may be the reason why the
claimant is listed as a depository
account co-owner. In the event this occurs, the administrative agency shall:
(a) Obtain a corroborating statement from a
third party who has knowledge of the circumstances surrounding the
establishment of the co-owned depository account.
(b) Make the decision without a corroborating
statement if there is no third party and document the basis for
the
decision and why no corroborating statement was obtained.
(7)
When,
following the evaluation of ownership, it is
determined that the individual's share of the resource is within the allowable
limit, medical assistance
is to be
approved or continued. The individual shall:
(a) Remove his or her assets from the
co-owned
depository account within sixty days from the date his or her eligibility is
approved; and
(b) Provide
documentation that the change has been made.
(8)
The name and address of the financial institution, the depository account
number, the name(s) on the depository account, and the amount of money in the
depository account must be documented in the individual's case record. If the
authority to withdraw money from the depository account does not belong to
those whose names are shown on the depository account, that fact must also be
documented.
(D) The checking or savings account is not a resource when:
(1)
The
account restricts the right to withdraw funds from the account to a specific
account owner; or
(2)
Withdrawals from the account require authorization from
a third party; or
(3)
Use is restricted by a court order; or
(4)
The account is
restricted to a special purpose.
(E) Time deposits.
(1)
When the owner of a
time deposit cannot under any circumstances withdraw
funds before
the time
deposit matures, it is not a resource.
The time deposit
becomes a resource (not income) on the date of maturity, and may affect
countable resources in the month in which the time deposit matures. If the
owner has no access to the interest before the time deposit matures, accrued
interest is not a resource and is income in the month the deposit
matures.
(2)
When an
individual has transferred his or her resources into a time deposit in which
early withdrawal is prohibited, a determination of whether an improper transfer
has occurred must be completed in accordance with rule
5160:1-6-06.5 of the Administrative Code. The determination
shall
include consideration of the length of the period of inaccessibility, the
individual's life expectancy, and the amount of
the time deposit.
(3) A time
deposit for which early withdrawal is prohibited is still considered a
countable resource for the purposes of determining a community
spouse resource allowance for an institutionalized individual
as described in rule
5160:1-6-04
of the Administrative Code.
(4) A time deposit's resource value at any
given time, if early withdrawal is permitted, is the amount the owner would
receive upon withdrawing it at that time, excluding interest paid that month.
Generally, this is the amount originally deposited; plus accrued interest for
past months; minus any penalty specified on the time deposit certificate for
early withdrawal.
(F) Verifying depository accounts.
(1) A checking account
is verified by examining the printout from online banking or the last monthly
bank statement and the checkbook record to arrive at the current bank balance.
A copy of the monthly bank statement and checkbook record
shall
be retained in the case record.
(a)
When the
printout or statement shows deposit and withdrawal activity or cash flow
inconsistent with the individual's stated financial situation, the
administrative agency shall investigate fully to
establish the source of income.
(b)
When the
printout, bank statement, or checkbook
record is not available or there is some reason
to doubt the accuracy of the checkbook record, verification shall be obtained
by contact with the financial institution after obtaining the individual's
written authorization.
(2) A savings account is verified by
examining the printout from online banking, last
monthly bank statement, or current balance of the passbook.
(a) The administrative agency shall retain a
copy of the page(s) that show activity
in the last sixty days. When the printout, bank
statement, or passbook shows deposit and withdrawal activity inconsistent
with the individual's stated financial situation, the administrative agency
shall investigate fully to establish the source of income.
(b)
When the
printout, bank statement, or passbook is not
available or appears to have been materially altered, the administrative agency
shall obtain verification by contact with the financial institution after
securing the individual's written authorization.
(c) All the information obtained shall be
retained in the individual's case record.
(3) A time deposit is verified by
viewing the time deposit certificate or document and the account records of
interest accrual. The administrative agency may also obtain verification of the
time deposit or early withdrawal provisions by contacting the financial
institution after securing the individual's authorization. All the information
obtained shall be retained in the individual's case record.
(4)
The
administrative agency will contact the individual to collect the information
needed. If the individual declares the verifications cannot be accessed or
submitted, the individual's statement is to be accepted.
(5)
If the
administrative agency is unable to make contact with the individual, a written
(electronic or paper) request for the necessary information or verification
documents is to be sent as set forth in rule
5160:1-2-01
of the Administrative Code.
(G) Dedicated account.
(1) Past-due benefits
deposited into a dedicated financial institution
account and any accrued interest or other earnings on such an account are
excluded from income and resources.
(2) For any month that funds other than
accrued interest or other earnings on the account are commingled in this
account, the exclusion does not apply to any funds in the account.
(a) An exception is
when the
financial institution requires the individual to deposit money to open an
account, such as a minimum deposit, a small amount of other funds can be used
to open the dedicated account.
(i) The funds
that were used to open the account are not excluded as a resource and must be
removed from the account once the account has been established and the past-due
benefits paid into it.
(ii) The
funds that were used to open the account must be withdrawn before the end of
the month following the month that the past-due benefits are paid.
(b) Funds other than those
described in paragraph (G)(2)(a) of this rule shall not be deposited into a
dedicated account.
(3)
The individual must provide verification that a dedicated account has been
established. The verification must include the name and address of the financial
institution, account number, account title, type of account, and the amount of
money in the account.
(4) The
individual's representative payee shall use funds in the account to pay for the
following allowable expenses: education or job skills training, personal needs
assistance, special equipment, housing modification, medical treatment, therapy
or rehabilitation, or any other item or service that the
social security administration determines to be
appropriate provided that such expense benefits the individual and, in the case
of personal needs assistance, special equipment, housing
modification, therapy or rehabilitation, or other
approved item, is related to the impairment (or combination of impairments) of
the individual. These expenditures do not affect an individual's income or
resources.
(5) Restrictions on the
use of funds in a dedicated account continue to apply during a period of
suspension from SSI payments, non-pay status, and SSI eligibility but no
payment.
(a) The exclusion
of the funds in the account
from the individual's countable resources
continues to apply until SSI eligibility is terminated.
(b) Once an individual's
SSI eligibility has been terminated, the
exclusion of the funds in a dedicated account cannot be carried over if the
individual establishes a new period of SSI eligibility by filing a new
application for SSI. Any remaining funds are a
countable resource.
(c)
Reopening of a prior period of SSI eligibility
following termination is not a new period of eligibility and, therefore, the
exclusion may be reapplied.
(6) When an individual receives past-due
benefits that may be, but have not yet been, deposited
into a dedicated account, the payment is excluded from resources for nine
months until the payee deposits the payment into a dedicated account. Such
payments are not required to be deposited into a dedicated account at the
option of the representative payee.
Disclaimer: These regulations may not be the most recent version. Ohio 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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