Q: I’m a social worker trying to help a friend who lives in Maine. I understand all you have said (referring to a recent blog on Medicaid), but am wondering, if a spouse who will remain in the community, partially retired, with a 401K he still hasn’t touched, will his 401K have to be spent down?
A: Kerry Peabody, our expert blogger on LTC insurance, says that the 401K is considered. “If they’re married,” says Kerry, “the community spouse’s 401k is still considered a “countable resource.” So it would be included in determining eligibility, and subject to the spend down requirements.”