Congress·In Committee·H.R. 5685

Congress Proposes Doubling Medicaid Personal Needs Allowance for Nursing Home Residents in 2026

PNA Modernization Act

6 months ago·View on Congress.gov

Part of: Proposed Legislation Aims to Double Personal Needs Allowance for Care Residents

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Stalled

No legislative action in over 90 days.

Legislative Progress

House

Senate

President

Law

Key Points

Congress would raise the minimum personal needs allowance for people on Medicaid who live in institutions like nursing homes.
Starting Jan. 1, 2026, the minimum would increase from $30 to $60 a month for an individual, and from $60 to $120 a month for a couple.
This is meant to leave residents with more of their own money for basics like toiletries, haircuts, clothing, and phone or small personal items.
After Nov. 2025, the minimum amounts would automatically rise when Social Security benefits go up, so the allowance doesn’t fall behind over time.

Medicare MedicaidHealthcareSocial Security

Impact Analysis

Personal Impact

How this policy affects specific groups of people

Positive Impacts(2)

Medicaid

Helps

Disability Benefits

Helps

Milestones

2 milestones2 actions

Oct 3, 2025House

Referred to the House Committee on Energy and Commerce.

Oct 3, 2025

Introduced in House

What Happens Next

Projected impacts based on AI analysis

Late 2025 through early 2026

States update Medicaid ‘patient pay’ rules and system calculations to reflect the new minimum allowances

People may see changes in how much of their monthly income they must pay to the facility and how much they can keep, and facilities may receive a slightly different payment mix (more from Medicaid, less from resident income).