Your loved one needs nursing home care. You’ve done the math. At $13,000 per month, savings won’t last long. You look into Medicaid and discover Florida’s income limit is $2,982 per month. Your loved one receives $3,500.
Does that mean Medicaid is off the table? Absolutely not.
Understanding how to qualify for Medicaid in Florida when your income is too high opens the door to long-term care coverage that protects both your loved one and your family’s financial security.
Qualifying for Florida Medicaid with Income Above the Limit
Florida is what’s called an “income cap” state. This means there’s a strict monthly income limit for nursing home Medicaid eligibility.
In 2026, that limit is $2,982 per month in gross income.
But here’s what most people don’t realize: exceeding this limit doesn’t automatically disqualify you.
The solution is called a Qualified Income Trust, also known as a Miller Trust.
This is not a loophole or a scheme. It’s a legitimate legal tool recognized by Florida’s Department of Children and Families and specifically designed to help people access the care they need.
What Is a Qualified Income Trust?
A Qualified Income Trust is a special type of irrevocable trust that allows individuals whose income exceeds Florida’s Medicaid limit to still qualify for benefits.
Here’s how it works in practice:
The basic mechanics:
- You establish the trust before applying for Medicaid
- Each month, enough income is deposited into the trust to bring your countable income below $2,982
- A trustee manages the funds according to strict rules
- The money can only be used for very specific purposes
What the trust funds can pay for:
- Your monthly patient liability to the nursing home
- Medicare premiums and health insurance costs
- A personal needs allowance ($160 per month in 2026)
- Medical expenses not covered by Medicaid
What happens to the remaining funds:
Upon the death of the Medicaid recipient, any money remaining in the trust must be used to reimburse Florida Medicaid for the cost of care provided.
The state must be named as the beneficiary of any remaining trust funds.
Setting Up a Miller Trust in Florida
Creating a Qualified Income Trust requires careful attention to legal requirements.
- The trust must be irrevocable.
“Irrevocable” means the terms cannot be changed or canceled once established. You cannot simply decide to dissolve the trust if your plans change.
- You must name a trustee.
The trustee legally controls the trust funds and must follow Florida’s strict rules about how the money can be used. Many families choose to name:
- An adult child
- Another trusted family member
- A professional fiduciary
- An attorney
The trustee has serious responsibilities and potential liability, so this decision shouldn’t be taken lightly.
- Timing matters.
The trust must be established before you apply for Medicaid. You cannot create it after the fact. Most elder law attorneys recommend setting up the trust at least 30 days before submitting your Medicaid application.
- You’ll need proper documentation.
Florida’s Department of Children and Families will require:
- A copy of the trust document
- Proof that the trust account has been established
- Bank statements showing income deposits into the trust
- Records of all trust expenditures
How Much Income Goes Into the Trust
The amount deposited into a Qualified Income Trust each month depends on your total gross monthly income.
The calculation is straightforward:
Take your gross monthly income and subtract $2,982. The difference is the amount that must be deposited into the trust each month.
Example scenarios:
If your monthly income is $3,500:
- $3,500 – $2,982 = $518
- You would deposit $518 into the trust each month
If your monthly income is $4,200:
- $4,200 – $2,982 = $1,218
- You would deposit $1,218 into the trust each month
Income that counts toward the limit:
- Social Security benefits
- Pension payments
- IRA or 401(k) distributions
- Employment wages
- Rental income
- Stock dividends
- Alimony
Income that doesn’t count:
- VA Aid and Attendance benefits (above the basic VA pension)
- Certain life insurance proceeds
What Happens After the Trust Is Established
Once your Qualified Income Trust is set up and functioning, you can proceed with your Medicaid application.
The application process:
Submit your application through Florida’s Department of Children and Families. You’ll need to provide extensive financial documentation covering the past five years.
Your new monthly obligations:
After Medicaid approval, your income (minus the amount in the trust) will be used to calculate your patient liability. This is what you must pay the nursing home each month.
From your remaining income, you’ll pay:
- Most of your monthly income goes to the nursing home
- Keep $160 for personal needs
- Pay Medicare premiums
Medicaid covers the remaining cost of your care.
Special Considerations for Married Couples
When one spouse needs nursing home care but the other remains at home, the income rules work differently.
Only the applicant’s income counts.
Florida doesn’t consider the income of the non-applicant spouse when determining Medicaid eligibility.
The healthy spouse may receive income from the applicant.
If the community spouse’s monthly income is below $2,644 (as of 2026), they may be entitled to receive a portion of the institutionalized spouse’s income. This is called the Minimum Monthly Maintenance Needs Allowance.
This affects how much goes into the trust.
If income must be transferred to the community spouse, less may need to be deposited into the Qualified Income Trust to bring the applicant below the income limit.
Asset Limits Still Apply
Solving the income problem doesn’t automatically solve the asset problem.
In 2026, Florida’s asset limits are:
- $2,000 for a single Medicaid applicant
- $2,000 for the applicant when married
- Up to $162,660 for the non-applicant spouse (Community Spouse Resource Allowance)
Exempt assets include:
- Your primary residence (with certain equity limits)
- One vehicle
- Personal belongings and household items
- Prepaid funeral arrangements
If you have countable assets over these limits, additional planning strategies may be necessary before you can qualify for Medicaid.
Why Professional Help Matters with Income Trusts
Qualified Income Trusts involve complex legal requirements and strict compliance rules.
Working with an experienced Florida elder law attorney ensures:
- Your trust document meets all state requirements
- You understand exactly how much income to deposit
- Your trustee knows their responsibilities and limitations
- Your Medicaid application includes all necessary trust documentation
- You avoid common errors that trigger denials
The cost of professional guidance is typically far less than even one month of private-pay nursing home care.
Think You Earn Too Much for Medicaid? You May Still Qualify
Having income above Florida’s Medicaid limit doesn’t mean nursing home care will drain your life savings.
The key is acting before the crisis hits.
At Berg Bryant Elder Law Group, our Florida Board Certified Elder Law Attorneys have helped families establish Qualified Income Trusts and successfully qualify for Medicaid benefits. We understand the technical requirements and can guide you through every step of the process.
Don’t let income limits prevent your loved one from receiving the care they need. Contact us today to schedule a consultation and learn how we can help you qualify.
Author Bio
Kellen Bryant, Esq.
Founder
Florida Bar Board Certified Elder Law Attorney, Kellen Bryant focuses his law practice on advising and helping caregivers with a particular focus on asset protection and preservation from long-term care costs, creditors, and predators. Kellen Bryant is AV Preeminent® Rated, meaning his attorney peers rated him at the highest level of professional excellence. Kellen Bryant was nominated and selected as a Super Lawyer, Rising Star: 2022.
