8150 Determination 
 of Countable Income - Countable income is that amount of income 
 which is considered in determining eligibility and the amount of obligation 
 for medical expenses. For persons in non-Medicaid approved institutions 
 or whose financial eligibility is determined based on the spenddown provisions 
 of 8172 (3), the independent living policies 
 of 7240 are applicable.
 
In determining patient liability, all exempt and nonexempt income shall 
 be considered beginning either with the month a person begins receiving 
 long term care or the following month as specified in 8113 
 except for:
 
	- Income allocated for the support of dependents in accordance with 
	 8143 (4) or the spousal impoverishment 
	 provisions of 8144.2.
 
- Holocaust survivor payments in accordance with 6410; 
	 and
 
- Reduced VA pensions in accordance with 6410.
 
 Note: The full pension amount [including aid and attendance 
	 (A&A)] of a veteran or spouse which has not yet been reduced but 
	 will be upon notification to VA of Medicaid NF approval, is countable 
	 towards the patient liability. The portion of the VA benefit attributed 
	 to unusual medical expenses (UME) continues to be exempt.
 
 Only individuals without dependents are subject to the reduced VA pension. 
	 Veterans with a spouse or other dependent(s) and veterans residing 
	 in one of the state VA homes are not subject to the reduced VA pension. 
	  If the VA pension is not subject to reduction, the portion of 
	 the benefit attributed to aid and attendance (A&A) and unusual 
	 medical expenses (UME) is exempt towards the patient liability as 
	 indicated in items (4) and (5) below.
 
- VA aid and attendance benefits in accordance with 6410; 
	 and
 
- VA benefits resulting from unusual medical expenses (UME) in accordance 
	 with 6410.