Omid Saatsaz
Founder, Red Hill Home Care
California's state budget changed a rule that matters to many older adults and their families. From July 1, 2027, the Medi-Cal asset limit drops from $130,000 to $21,000 for one person, and from $195,000 to $31,000 for a couple. This article explains, in plain English, who the change affects and where to get free, reliable help with your own situation. It is general information, not legal or financial advice.
What Is Changing
Medi-Cal looks at savings and other assets, not just income, for some members. Since January 1, 2026 the limit has been $130,000 for one person and $195,000 for a couple, plus $65,000 for each additional family member. From July 1, 2027 it falls to $21,000 for one person and $31,000 for a couple, plus $1,550 for each additional family member. The Governor had proposed going down to the federal minimum of $2,000; the Legislature set the final figure at $21,000.
Who It Affects
The asset test applies to Medi-Cal members who are 65 or older, blind or disabled, living in a nursing home or receiving Medi-Cal long-term care, or enrolled in a Medicare Savings Program. It does not apply to most children, pregnant people, parents and working-age adults, whose Medi-Cal is based on income alone.
What Counts and What Doesn't
Under the current rules, your home and one car are not counted, along with household goods and personal belongings. Savings, checking, investments and second properties generally are counted. The details depend on your situation, so check with your county before relying on any general article, including this one.
When You Would Notice It
Assets are checked when someone applies for Medi-Cal and at each member's yearly renewal. That means people already on Medi-Cal will feel the change at their first renewal after July 1, 2027, not all on the same day. Keep an eye on mail from your county and answer renewal packets on time.
Where to Get Free Help
For questions about your own Medi-Cal, call your county social services office: it is the office that decides eligibility. For free, confidential counseling on Medicare, and on how Medicare and Medi-Cal work together, call HICAP, California's Health Insurance Counseling and Advocacy Program, at 1-800-434-0222. HICAP counselors are trained in both programs and also give free community talks. Your local senior center can tell you when one is scheduled near you.
Planning Ahead as a Family
A change like this is a good reason to sit down together before a renewal arrives: list what help your parent gets today, who pays for it, and what would happen if that changed. Families who talk early have more options than families who find out from a letter.
Frequently Asked Questions
What is the Medi-Cal asset limit after July 1, 2027?
$21,000 for one person and $31,000 for a couple, plus $1,550 for each additional family member. Until then it is $130,000 for one person and $195,000 for a couple.
Does my home count toward the Medi-Cal asset limit?
No. Your home and one car are not counted under the current rules. Your county social services office can confirm what counts in your situation.
Who can help me understand my own situation for free?
Your county social services office for Medi-Cal eligibility, and HICAP at 1-800-434-0222 for free counseling on Medicare and how it works with Medi-Cal.
About Omid Saatsaz
Founder, Red Hill Home Care
Omid founded Red Hill Home Care after watching his grandfather receive home care firsthand, and after a close family friend with disabilities struggled to get the daily support they needed. Before starting Red Hill, he spent several years consulting for home care agencies on operations, marketing, and M&A, and three years at Medtronic in Irvine, CA working on neurovascular stroke-prevention devices (aneurysm treatment and blood clot retrieval). He holds a degree in Industrial Engineering from Cal Poly Pomona (2016).