Colorado Medicaid Long-Term Care Eligibility for 2025

Colorado Long-Term Care

Colorado’s Medicaid program offers essential long-term care services for seniors who cannot afford care on their own. These services include nursing home care, assisted living, and in-home services. As an income-cap state, Colorado requires applicants to meet strict income and resource limits to qualify for Medicaid benefits. Those with income exceeding the limit must establish a Qualified Income Trust (QIT) to become eligible. Senior Planning can help guide applicants through this process, ensuring a smoother path to qualification.

In addition, Colorado residents may benefit from the Long-Term Care Partnership (LTCP) program, which allows participants to protect assets equivalent to the payouts of their LTCP insurance policies. This protection extends to Medicaid eligibility assessments and estate recovery efforts.

Eligibility for 2025

To qualify for Colorado Medicaid long-term care benefits in 2025, applicants must meet the following criteria:

Residency and Citizenship: Applicants must be Colorado residents and U.S. citizens or have proper immigration status.
Age/Disability: Applicants must be 65 or older, blind, or disabled, or require nursing home-level care through Home and Community-Based Services (HCBS).
Income Limit: Up to 300% of the SSI rate (approximately $2,901/month). The personal needs allowance is $108.73/month and is not factored into countable income.
Resource Limit: $2,000 for individuals and $3,000 for couples.

Applicants must require care for 30 consecutive days in a medical institution or nursing facility or receive nursing facility-level care in the community through HCBS. Senior Planning can help families determine if their loved ones meet these medical and financial criteria.

Exempt Assets for 2025

Exempt Resources: Household goods, jewelry, one vehicle, one home (equity limit $1,097,000), burial plots, and life insurance policies with a face value under $1,500.
Countable Resources: Cash, checking/savings accounts, IRAs, investment portfolios, and additional properties or vehicles.

Look-Back Period: Colorado enforces a 5-year look-back rule to ensure no assets were sold or gifted below market value. Violations may result in a penalty period of ineligibility. Senior Planning offers free consultations to help applicants and families navigate these rules and protect their assets effectively.

Spousal Rules for 2025

Community Spouse Resource Allowance (CSRA): The community spouse may retain 50% of the couple’s countable assets, up to $157,920. If their share is below $31,584, additional assets may be retained from the institutionalized spouse.

Community Spouse Income Protection: The community spouse may retain income if their own is below $2,555/month. The maximum allowance is $3,898.50/month, depending on living expenses.

Senior Planning can assist with spousal asset planning, ensuring families retain the maximum allowable resources while meeting Medicaid eligibility requirements.

How to Apply for Colorado Medicaid

Applicants can apply for Colorado Medicaid online at Colorado PEAK, by phone at 1-800-221-3943, or by submitting a paper application. Completed applications can be dropped off at local Department of Human Services (DHS) offices. Senior Planning provides professional assistance to ensure applications are complete and accurate, minimizing delays or denials.