Texas sets the Personal Needs Allowance at $75 per month, raised from $60 effective January 1, 2024. That's well above the $30 federal minimum. Nearly all remaining income, after Medicare premiums, any spousal allowance, and allowable medical expenses, goes to the facility as applied income.
The detail behind the number
Seventy-five dollars a month, raised from sixty effective January 2024. Texas sits well above the thirty-dollar federal floor, though the amount still surprises families who have not encountered applied income before.
Nearly everything else goes to the facility. Social Security, pension and other income is applied to the cost of care after subtracting Medicare premiums, any spousal allowance, and certain allowable medical expenses. The personal needs allowance is what remains for haircuts, phone, clothing and anything outside what the facility provides.
Plan for this explicitly. Families who assume a parent retains discretionary money are the ones who find out when a resident cannot afford a hearing aid battery.
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