Ending the Community Spouse Income Allocation

Stop allowing the community spouse income allocation for the month indicated in each of the situations listed below. 

• The LTC income calculation is no longer used.  Do not allow the community spouse income allocation in a community income calculation.

• The community spouse has a change in circumstances and either:

• The calculated allocation is $0 (community spouse income increases or expenses decrease).

• There is no longer a community spouse (the couple divorces, the community spouse enters an LTCF or begins receiving waiver services, or the community spouse dies). End the community spouse income allocation for the month following the month of the change.

• The LTC spouse stops making the allocation available to the community spouse. End the community spouse income allocation for the month following the month the allocation stops.

The community spouse chooses to not accept the income allocation (or accepts a reduced amount only – adjust the allocation to this amount within the LTC income calculation).