Does unemployment affect medicaid eligibility in New York?

Unemployment benefits do count as income for Medicaid purposes in New York, but the good news is that the income limits for Medicaid are pretty high. For a single person in 2025, you can make up to about $2,200 per month and still qualify. Your $350 weekly unemployment ($1,400 monthly) should keep you well under the limit. You should report the unemployment income to your local Department of Social Services though.

You're supposed to report income changes within 10 days to your local DSS office. I made the mistake of not reporting my unemployment right away and they made me pay back some benefits later. Better to be safe and report it now even if you're still under the income limit.

Wait I'm confused - I thought if you get ANY income while on Medicaid you lose it? My caseworker told me I couldn't work at all. This doesn't make sense.

I've been trying to get through to my local Department of Social Services for weeks to report my unemployment but their phone lines are always busy. It's so frustrating! Has anyone found a better way to reach them?

ugh the whole system is such a mess. why do we have to jump through all these hoops just to keep basic health coverage? it's ridiculous that people have to worry about losing medicaid just because they're getting unemployment benefits they're entitled to

Just want to add that if your unemployment runs out and you're still looking for work, you should definitely reapply for Medicaid if your income drops below the threshold again. Don't assume you're automatically covered.

Just went through this exact situation myself. You can also report your unemployment income online through the NY State of Health website or the myBenefits app if you have access to those. Sometimes it's faster than trying to get through on the phone. Also keep documentation of when you reported it in case there are any issues later - screenshot confirmations, save emails, etc. The system can be glitchy so having proof you reported on time is really helpful.

Just wanted to share that I went through something similar last year. When I reported my unemployment to DSS, they actually increased my SNAP benefits since my total income was still pretty low. So don't assume reporting unemployment income will automatically hurt you - sometimes it can help with other benefits. Also, if you have any medical appointments coming up, try to schedule them sooner rather than later just in case there are any delays in processing your income change report. Better to be safe!

I work at a local community health center and see this confusion all the time. Just to clarify a few things - New York expanded Medicaid under the ACA, so the income limit for a single person is actually around 138% of the Federal Poverty Level, which comes out to about $20,120 annually or roughly $1,677 monthly in 2025. So your $350/week unemployment ($1,400/month) definitely keeps you eligible. Also, many people don't realize that even if your income temporarily goes over the Medicaid limit, you might qualify for subsidized insurance through the NY State of Health marketplace instead of losing coverage entirely. The key is reporting changes promptly so they can adjust your benefits appropriately rather than cutting you off completely.

Just wanted to add something that might help - if you're having trouble getting through to DSS by phone, many counties in NY also accept income change reports by mail or fax. You can usually find the specific address and fax number for your county's DSS office on their website. I had to use this method when I couldn't get through by phone, and it worked fine. Just make sure to send it certified mail if you go that route so you have proof of delivery. Also, don't stress too much about the exact timing - as long as you make a good faith effort to report within a reasonable timeframe, most caseworkers are understanding, especially given how hard it can be to reach them sometimes.

I just went through this same situation a few months ago and wanted to share what I learned. First, definitely don't panic - your $350/week unemployment should keep you well under the Medicaid income limits. But here's something important that others haven't mentioned: when you report your unemployment income, make sure to also report when it started and provide documentation (like your determination letter from DOL). This helps DSS calculate your eligibility correctly from the right date. Also, if you're getting any other income like part-time work or side gigs, make sure to report ALL of it at the same time - they'll find out eventually anyway and it's better to be completely transparent upfront. One more thing - keep copies of everything you submit and write down the date and method you used to report. This saved me when there was a mix-up with my case later on.

This thread has been so helpful! I'm in a similar situation - just started getting unemployment after being laid off from my retail job. One thing I want to add that might help others is that you should also let your unemployment caseworker know if you're on Medicaid. Sometimes there are programs that can help with job training or other services that coordinate between the two systems. Also, if anyone is struggling with medical costs while dealing with unemployment, many hospitals and clinics in NY have financial assistance programs that can help even if you have Medicaid - they often cover copays or services that Medicaid doesn't fully cover. It's worth asking about when you're scheduling appointments.

I've been following this thread and wanted to add something that might be useful - if you're worried about potential gaps in coverage while your income change is being processed, you can ask DSS for a "pending" or "interim" coverage letter. This basically confirms you've reported the change and are waiting for processing, which most healthcare providers will accept to continue services. I had to use this when there was a delay processing my unemployment income report and my doctor's office was questioning my coverage status. Also, keep in mind that if you do temp work or pick up any part-time jobs while collecting unemployment, you need to report that income to BOTH the Department of Labor (for your unemployment benefits) AND to DSS (for your Medicaid). It's easy to forget about the Medicaid reporting when you're focused on the unemployment requirements.

I'm going through the exact same situation right now - just got laid off last week and starting to collect unemployment while trying to figure out how this affects my Medicaid. This thread has been incredibly helpful! I had no idea there were so many ways to report income changes besides calling (which I've been dreading). The myBenefits app and mailing options sound much more manageable. One question though - does anyone know if there's a grace period for reporting? Like if I report within the 10-day window but it takes them weeks to process, am I protected during that processing time? I'm worried about getting hit with a retroactive penalty even though I'm reporting on time.