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If Aid and Attendance, then no it shouldn't count as income. You can't have both Medicaid and A&A. Medicaid will be higher with money for their care so A&A will be dropped. Both are government funded.

Now a Vet getting disability for a service related injury? Not sure about that. This is a question for Medicaid or the rep at your local VA office.
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If you’re referring to $ paid to thru VAs Aide & Attendance program, this is my understanding of it:
A&A is a “means tested” program that can pay a vet or their spouse a mo $ amount they can use to private pay for caregiving. It is income paid but non-taxable income like what SS $ or civil service retirement $ is. It’s somewhat similar to Medicaid in that they both require the applicant to provide financials info & medical documentation that they “need” the caregiving & “need” the $; but the financials are not quite as tight as LTC Medicaid is. Is your $ actually A&A $?

If so, you’ve been Means Tested=At Need so are eligible to get A&A.
A&A, based on what others have posted, pays abt $1500-1800 a mo.
A&A paid atop whatever else retirement $ being paid. So if retirement of $1985.67 a mo plus $1800 A&A, it would be $3,785.67 mo. & likely more than enough to pay for AL or at home care from an agency to offset what family does.

A&A seems to be ideal for those doing in their home care or in AL as between elders savings (assets), monthly income AND extra $ from A&A, it covers all the costs. It kinda also works great for those in NH (who takes Medicaid) or in AL (w/Medicaid waiver beds) but are with still too much in assets to be financially eligible for Medicaid & having to do a “spend down” of assets. The A&A $ enables them to be @ home or in private pay for a longer period of time. Comprende?

A&A on its own @ $1500 or $1800 or even 2k a mo will not ever ever ever pay enough $$$$ to cover in full the monthly NH room & board costs (5k-15k mo) that LTC Medicaid will. Medicaid is better program to be on for LTC. So you’d get A&A suspended or cancelled, so that $ stops getting paid & that income no longer exists to be counted for your LTC Medicaid eligibility.

Again please please Remember they are both “at need” programs.
LTC Medicaid it’s basically being impoverished with no more than 2k in non exempt assets for an individual for most states & under monthly income limits your state has for LTC Medicaid (most $2100). You’ll need to check what the latest $ amounts are for VA, I didn’t deal witH VA for my mom or mil. If your on A&A at the time you apply for Medicaid, it’s included in your Medicaid application (as it’s in your bank statements) but gets viewed as non permanent income so not included for your overall financial eligibility (cause it’s gonna be stopping or suspended). Medicaid will instead tally up your other income to determine what your copay or SOC (share of cost) to the NH will be, less a $50-60 smallish PNA (personal needs allowance). PNA varies by state.

VA seems to move glacially so it could be months till A&A suspension hits payment system. VA is going to either clawback $ or want to be repaid. So cannot spend VA A&A$$ once they have applied to LTC Medicaid; $ has to just be in limbo in the bank account till VA recaptures it. Based on what others have written seems to be 4-5 months for VA to stop A&A payment & instead switch to VA veterans needs allowance of $90 a mo. to be paid instead.

VA $90 is extra $. It’s theirs to keep & not part of Medicaid required copay of income to the NH. So end up with VA $90 AND Medicaid PNA $ as extra $ each mo.

Yeah its not a simple couple of steps.....
go into a fully VA LTC facility & all dealt within VA billing systems.
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Bumping you up.
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