Community Corner
Social Security Raise Due Oct. 14 May Lift FL Nursing Home Cap
The 2027 COLA resets Florida's nursing home Medicaid income cap. Here's what families should know, explained by attorney Kellen Bryant.
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The Social Security Administration is expected to announce the 2027 cost-of-living adjustment, or COLA, on Wednesday, Oct. 14. That is the same morning the U.S. Bureau of Labor Statistics is scheduled to release September consumer price data. For Northeast Florida families planning for nursing home or long-term care, the number matters beyond the size of next year's checks. It also sets the income limit Florida uses for long-term care Medicaid.
Under section 409.904(3), Florida Statutes, that limit equals 300 percent of the federal Supplemental Security Income (SSI) rate. The SSI rate is $994 a month in 2026. That puts the 2026 income cap for Florida's Institutional Care Program (ICP) and the Statewide Medicaid Managed Care Long-Term Care program (SMMC-LTC) at $2,982 a month for a single applicant, according to Florida Department of Children and Families eligibility standards.
Forecasters expect a bigger raise than this year's 2.8 percent. After the government released August inflation data on Sept. 11, AARP projected a 3.6 percent COLA for 2027, which it said would raise the average retired worker's benefit by $75 a month, and The Senior Citizens League projected 3.5 percent. Both are estimates. The official figure depends on September prices.
Kellen Bryant, a Florida Bar Board Certified Elder Law Attorney and co-founder of Berg Bryant Elder Law Group, PLLC, said the October announcement is a planning date for families, not only for retirees. Bryant is a Jacksonville native who opened his law practice in 2009. His firm has served more than 8,000 families across Duval, Nassau, St. Johns and Clay counties.
"The income cap moves with the SSI rate each January," Bryant said. "When a parent's income sits close to the line, a change of a few dollars can decide which paperwork the family needs before a Medicaid application."
The math is simple. A 3.5 percent COLA would lift the SSI rate to about $1,028 a month, which would put the cap near $3,084. That is only an illustration. SSA will publish the actual 2027 SSI rate with the COLA, and DCF standards typically change on Jan. 1.
Income above the cap does not end the conversation. Florida lets applicants whose gross income exceeds the limit set up a Qualified Income Trust, often called a Miller trust. Each month, the income above the cap goes into the trust account. That money then goes toward the cost of care.
"Many families assume a pension or a steady Social Security check puts Medicaid out of reach," Bryant said. "Often, a properly drafted Qualified Income Trust solves the income issue. The key is funding it correctly every single month."
A larger COLA can also cut the other way. A parent whose income sits just under the 2026 cap could land over the 2027 cap after the raise, depending on other income and deductions. Families who already have a Qualified Income Trust may need to adjust the monthly deposit once the new figures are out.
The COLA does not change every Medicaid rule. For 2026, DCF sets the countable asset limit for a single applicant at $2,000. A spouse who remains at home may keep up to $162,660 in countable assets under the Community Spouse Resource Allowance. Florida also reviews gifts and transfers made in the 60 months before an application. The 2026 transfer penalty divisor is $10,645, so each $10,645 given away can delay eligibility by about one month.
Those rules exist because care is expensive. In CareScout's 2025 Cost of Care Survey, released in March, the Florida median for a private nursing home room was $12,167 a month and a semi-private room was $10,342 a month. Families facing costs like those often look at legal ways to protect assets from nursing home costs well before an application is filed.
The COLA news also comes one day before Medicare Open Enrollment, which runs Oct. 15 through Dec. 7. Bryant said families often use that window to ask whether Medicare will pay for a nursing home. Medicare Part A covers skilled nursing facility care for a limited time after a qualifying hospital stay. In 2026, a patient pays $0 for days 1 through 20, $217 a day for days 21 through 100, and all costs after day 100 in a benefit period, according to Medicare's 2026 cost fact sheet. Medicare generally does not pay for long-term custodial care.
"Open enrollment is a smart time to compare drug and health plans," Bryant said. "But changing a Medicare plan generally will not add long-term nursing home coverage. That takes a separate plan, and it works best when families start early."
Monthly costs are rising too. The 2026 Medicare Trustees Report projects the standard Part B premium will rise from $202.90 a month to $209.50 in 2027. The Centers for Medicare & Medicaid Services usually confirms official figures in November. For many retirees, the Part B premium comes straight out of the Social Security check, so part of the COLA will go toward it.
Bryant suggested a few steps for families before the new year.
First, note the COLA when it is announced on Oct. 14. Then check the personal notice SSA posts in each my Social Security account in December. Write down each parent's new gross monthly income, before Medicare premiums are deducted.
Second, compare that figure with Florida's 2027 income cap once DCF publishes it. If income is close to or above the limit, ask an elder law attorney whether a Qualified Income Trust is needed, or whether an existing trust's deposit should change.
Third, gather bank statements and records of any gifts or transfers from the last five years. DCF reviews that window.
Fourth, confirm that a current durable power of attorney and health care surrogate designation are in place. Without them, a family member may lack the legal authority to sign trust or Medicaid paperwork for a parent.
"The families who have the smoothest experience are the ones who look at these numbers before a hospital discharge forces the issue," Bryant said.
When that discharge comes first, the timeline shortens, but options remain. Families already facing a nursing home admission can learn how Medicaid crisis planning works, or contact the firm to talk through their situation before the 2027 figures take effect.
About Berg Bryant Elder Law Group, PLLC
Berg Bryant Elder Law Group, PLLC is a Northeast Florida elder law firm founded on May 1, 2016. Its Florida Bar Board Certified Elder Law Attorneys help families with Medicaid planning for nursing home and long-term care, asset protection, revocable and irrevocable trusts, estate planning, guardianship, probate, trust administration, special needs trusts, and VA Aid and Attendance benefits. The firm has offices in Jacksonville, Orange Park, and St. Augustine and serves Duval, Nassau, St. Johns, and Clay counties.
To learn more, visit bbelderlaw.com.
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