State Policy · NJ
New Jersey Bill Would Increase Medicaid Personal Needs Allowance for Nursing Home Residents
New Jersey legislators advanced a bill to add a cost-of-living adjustment to the monthly personal needs allowance for nursing home residents enrolled in Medicaid. The legislation would increase the allowance that residents retain for personal expenses after Medicaid pays for their care. The bill has moved forward in the legislature but timing for final passage and effective date remain unclear. The change would affect Medicaid long-term care financing and could modestly increase state Medicaid spending while improving residents' ability to cover incidental expenses.
Why it mattersThis would increase New Jersey's Medicaid nursing home costs while affecting how facilities and managed care plans budget for resident personal needs.