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How to Apply for a Medicaid Spend Down

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    • 1). Apply for Medicaid. You will need to submit a Medicaid application to determine your eligibility. If you do not know how to locate your Medicaid office, contact the Department of Health and Human Services.

    • 2). Wait for a response. Your application will either be approved or denied based on your income and assets. If your application is denied because you exceed the income requirements, you will be sent a Spend-Down notice. You must meet the asset requirements in your state.

    • 3). Gather all medical bills. Usually the spend down period lasts six months, although it can vary depending on the state. Provide any unpaid or paid medical bills.

    • 4). Submit copies of your bills to your assigned caseworker. The bills are subtracted from your income. If the amount remaining still exceeds the Medicaid income limit, you will be required to pay the medical bills in excess before Medicaid coverage begins paying.

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