Simulation of Medicaid and SCHIP Eligibility: Implications of Findings From 10 States. Final Report.. 2. Income Thresholds

08/16/2000

The threshold tests used by states vary by program. TANF and 1931 Medicaid programs often use the old AFDC standards of payment and need standards for their threshold tests.8 Other standards are used as well. For example, the TANF and 1931 Medicaid programs in Florida use the federal poverty level (FPL) for the gross income test, but the payment standard is used for the net income test.

States may also use a fixed dollar amount for the income test. For example, the 1931 Medicaid program in Alabama uses a fixed dollar amount for its gross income test, and the TANF program in Arkansas uses a fixed dollar amount for its net income test. Although the TANF and 1931 Medicaid programs use a variety of thresholds, the Medicaid poverty expansions and the SCHIP programs in the 10 states use a percentage of the FPL when determining income eligibility for these programs.