The maximum income to qualify for Medicaid in Indiana depends on which program you fit into. For adults ages 19 to 64 applying through the Healthy Indiana Plan (HIP), the ceiling is 138% of the Federal Poverty Level, which in 2026 is about $1,836 per month ($22,025 per year) for a single person.1Family and Social Services Administration. Federal Poverty Level Income Chart Children, pregnant women, older adults, and people with disabilities qualify under different programs with different — and often higher — income limits, some reaching 350% of the poverty level.
Income Limits for Adults on HIP
HIP covers adults ages 19 through 64 who aren’t eligible under another Medicaid category.2IN.gov. HIP – Am I Eligible The technical standard is 133% of the Federal Poverty Level, but a built-in 5% income disregard effectively raises the ceiling to 138%.1Family and Social Services Administration. Federal Poverty Level Income Chart
Here are the 2026 monthly income ceilings by household size:
- 1 person: $1,835.50
- 2 people: $2,489.20
- 3 people: $3,141.88
- 4 people: $3,795.50
- 5 people: $4,449.20
- 6 people: $5,101.85
Add $652.50 per month for each additional person beyond six.1Family and Social Services Administration. Federal Poverty Level Income Chart
Income Limits for Children and Pregnant Women
Indiana’s Hoosier Healthwise program uses higher ceilings than HIP. Pregnant women and infants under age one qualify with household income up to 213% of the FPL. Children ages one through 18 qualify at up to 163%.2IN.gov. HIP – Am I Eligible For a family of four in 2026, 213% works out to roughly $5,858 per month and 163% to roughly $4,483 per month.
The Children’s Health Insurance Program (CHIP), which sits under the Hoosier Healthwise umbrella, extends coverage to children in families earning up to 255% of the FPL. That reaches families who earn too much for traditional Medicaid but can’t comfortably afford private insurance.
Income Limits for Older Adults and People with Disabilities
The Aged, Blind, and Disabled (ABD) category covers people 65 and older and those with qualifying disabilities. Non-institutionalized applicants qualify starting at $1,330 per month for an individual. People with disabilities who live in a nursing facility or receive Home and Community-Based Waiver services can qualify with monthly income up to $2,982.3IN.gov. Indiana Medicaid – Eligibility Guide That higher figure is 300% of the federal SSI benefit rate, which is $994 per month for an individual in 2026.4Social Security Administration. SSI Federal Payment Amounts for 2026
ABD applicants also face an asset test (covered below), which HIP and Hoosier Healthwise applicants do not.
Income Limits for Working People with Disabilities (MED Works)
MED Works serves working people with disabilities ages 16 to 64. The income ceiling is much higher — 350% of the FPL, counting both earned and unearned income. To qualify, you must be employed and earn at least $290 per month (the federal minimum wage of $7.25 multiplied by 40 hours).5IN.gov. MEDWorks FAQ
How Indiana Counts Your Income
For children, parents, pregnant women, and HIP adults, Indiana uses Modified Adjusted Gross Income (MAGI).6Indiana Family and Social Services Administration. Overview of the New Modified Adjusted Gross Income (MAGI) Methodology and Updates to the Medicaid Hierarchy The ABD and MED Works categories use different rules and add asset tests.
MAGI starts with your Adjusted Gross Income from your federal tax return, then adds back three items: tax-exempt interest, non-taxable Social Security benefits, and any foreign earned income you excluded.6Indiana Family and Social Services Administration. Overview of the New Modified Adjusted Gross Income (MAGI) Methodology and Updates to the Medicaid Hierarchy Wages, self-employment earnings, investment income, and Social Security all count. Supplemental Security Income (SSI) and child support received do not.
The 5% Income Disregard
If your income falls just above a MAGI-based threshold, a federal rule may still let you qualify. The Affordable Care Act created a disregard equal to 5 percentage points of the FPL, applied only when it makes the difference between qualifying and not.7Medicaid.gov. Application of 5% FPL Income Disregard for MAGI-Based Eligibility This is why the HIP chart lists 138% (133% plus the disregard).1Family and Social Services Administration. Federal Poverty Level Income Chart
Household Size Under MAGI
Your household is your tax filing unit: you, your spouse if you file jointly, and anyone you claim as a dependent. Income from all household members is combined. That’s different from the older rules that counted everyone living in the home. If you file separately from a spouse or don’t claim a roommate as a dependent, their income generally won’t count against you.
Asset Limits
HIP, Hoosier Healthwise, and CHIP don’t count assets. If your income fits, it doesn’t matter what you have in savings or what your home is worth.
ABD and MED Works are different. Countable assets can’t exceed $2,000 for an individual or $3,000 for a married couple.3IN.gov. Indiana Medicaid – Eligibility Guide Countable assets include bank accounts, investments, and property beyond your primary home. Your home, one vehicle, personal belongings, and certain burial funds are typically exempt.
When One Spouse Needs Nursing Home Care
When one spouse enters a nursing facility and applies for Medicaid, federal law protects the spouse who stays home from being impoverished. Indiana uses two mechanisms.
The community spouse resource allowance lets the at-home spouse keep between $32,532 and $162,660 in assets as of January 2026, depending on the couple’s total countable resources. The at-home spouse keeps half of the couple’s combined assets, subject to that floor and ceiling.8IN.gov. ILTCP – Spousal Impoverishment Protection Law
On the income side, the at-home spouse is entitled to a minimum monthly maintenance needs allowance of $2,644. If their own income falls below that, they can keep enough of the nursing home spouse’s income to reach it. With particularly high living expenses, the at-home spouse can appeal to raise that allowance to as much as $4,067 per month.8IN.gov. ILTCP – Spousal Impoverishment Protection Law The spouse in the facility keeps $52 per month as a personal needs allowance.9IN.gov. The 2026 Self-Assessment Guide for Long Term Care Insurance
Non-Income Requirements That Still Matter
Income does most of the work in determining eligibility, but it isn’t the only test. You must be an Indiana resident and either a U.S. citizen or a qualified immigrant.10Indiana General Assembly. Indiana Code 12-15-2.5-2 – Lawful Permanent Residents, Exceptions Lawful permanent residents are eligible for a period of one year. Active-duty military members stationed outside Indiana, along with their dependents, remain eligible for one year after discharge or the end of deployment.
Age determines which program you apply under, and that in turn determines which income ceiling you’re measured against. HIP is for adults 19 to 64. Hoosier Healthwise covers children and pregnant women. People 65 and older, and those with qualifying disabilities, go through ABD. Pregnancy and disability can open categories with higher income limits than HIP, so if you fit more than one category, the more generous one applies.