This page provides a plain-English summary of key elder care and estate planning information specific to Arkansas residents. It covers Arkansas Medicaid limits, estate tax rules, advance directive information, and links to important Arkansas agencies and resources.
Information on this page is updated periodically but laws and limits change frequently. Always verify current figures with the relevant agency or a licensed attorney.
Arkansas Medicaid — 2026 Eligibility Limits for Long Term Care
Arkansas’s Medicaid program is administered by the Arkansas Department of Human Services — DHS. Arkansas expanded Medicaid in 2014 through a unique private option model now called ARHOME — Arkansas Health and Opportunity for Me — which provides coverage to adults aged 19 to 64 with incomes up to 138 percent of the federal poverty level through qualified health plans rather than traditional Medicaid.
Income limit — single applicant The income limit for a single Arkansas nursing home Medicaid applicant is $2,982 per month in 2026. Arkansas is an income cap state meaning applicants whose income exceeds this limit must establish a Qualified Income Trust — also called a Miller Trust or QIT — to qualify. Arkansas also offers a medically needy spend-down pathway calculated over a three-month period for applicants who prefer that route.
Asset limit — single applicant A single applicant must have $2,000 or less in countable assets for nursing home Medicaid and the ARChoices Waiver. Exempt assets include the primary residence with equity up to $752,000 if the applicant intends to return home, one vehicle, personal belongings and household furnishings, life insurance without cash surrender value, burial spaces, and irrevocable burial plans. Note that IRAs and 401(k)s are counted as countable assets in Arkansas.
Home and community based care — ARChoices Waiver Arkansas’s primary HCBS program for seniors is the ARChoices in Homecare Waiver — ARChoices — which provides home and community based services for Arkansans aged 21 and older who need nursing facility level care but want to remain at home. The asset limit is $2,000 for a single applicant and the income limit is $2,982 per month. ARChoices provides services including personal care homemaker services adult day services respite care and assistive technology. Note that ARChoices may have a waitlist — families should apply early. Contact DHS Aging and Adult Services at 1-866-801-3435 for current enrollment information.
State Plan Personal Care — no waitlist option with higher asset limit Arkansas offers a State Plan Personal Care program that provides in-home personal care assistance as a Medicaid State Plan benefit. Unlike ARChoices the State Plan Personal Care program does not require nursing facility level of care — a functional need for personal care assistance is sufficient. Importantly the State Plan Personal Care program uses a higher asset limit of $9,950 for a single applicant — significantly more generous than the $2,000 ARChoices limit. This program has no waitlist making it a valuable option for Arkansans who need immediate in-home personal care assistance while their assets are above the ARChoices limit.
Living Choices Assisted Living Waiver Arkansas offers the Living Choices Assisted Living Waiver which helps eligible seniors and people with disabilities pay for services in an assisted living setting. Eligibility requires nursing facility level of care and meets the same income and asset limits as ARChoices.
Married couples — one spouse applying When only one spouse applies for Arkansas Medicaid the community spouse — the spouse who remains at home — may retain 50 percent of the couple’s combined countable assets up to a maximum of $162,660. If 50 percent of the couple’s assets is less than $32,532 the community spouse may retain up to $32,532. The applicant spouse retains $2,000.
Monthly Maintenance Needs Allowance The minimum Monthly Maintenance Needs Allowance for the community spouse is $2,643.75 per month in 2026. The maximum is $4,066.50 per month for community spouses with high housing costs.
Personal needs allowance — among the lowest in the country Arkansas nursing home Medicaid recipients are allowed to keep only $40 per month as a personal needs allowance — one of the lowest in the country. The remainder of income is applied toward the cost of care.
Look-back period and divestment penalty Arkansas has a 60-month — five year — look-back period for nursing home Medicaid and ARChoices Waiver applications. Asset transfers made within 60 months of applying that were for less than fair market value may result in a penalty period of ineligibility. The 2026 divestment penalty divisor in Arkansas is approximately $6,200 per month reflecting the state’s relatively low average nursing home costs — among the lowest in the country.
Estate recovery Arkansas requires Medicaid estate recovery. After an Arkansas Medicaid recipient dies the state seeks reimbursement from the estate for long term care costs paid. Planning with an elder law attorney can help protect assets from estate recovery.
How to apply for Arkansas Medicaid Applications can be submitted online through Access Arkansas at access.arkansas.gov, by phone at 1-855-372-1084, or in person at your local Arkansas DHS county office.
Arkansas Medicaid administering agency Arkansas Department of Human Services — dhs.arkansas.gov
Arkansas Estate Tax — 2026
No Arkansas state estate tax Arkansas does not impose a state estate tax. No Arkansas estate tax applies to any estate regardless of size.
No Arkansas inheritance tax Arkansas does not impose an inheritance tax. Beneficiaries who receive assets from an Arkansas decedent owe no Arkansas inheritance tax regardless of the size of the inheritance or their relationship to the deceased.
Federal estate tax Arkansas residents may be subject to the federal estate tax. The federal estate tax exemption is $15,000,000 per person in 2026 following enactment of the One Big Beautiful Bill Act. The exemption is portable between spouses meaning a married couple can protect up to $30,000,000 from federal estate tax with proper planning. The top federal estate tax rate is 40 percent on amounts above the exemption.
No Arkansas gift tax Arkansas does not impose a state gift tax. Federal gift tax rules apply — the annual gift tax exclusion is $19,000 per recipient in 2026.
Arkansas income tax — reducing rates Arkansas has a graduated state income tax with rates ranging from 2 percent to 3.9 percent for 2026 — down from higher rates in recent years as Arkansas has been aggressively cutting its income tax. Social Security benefits and Railroad Retirement benefits are fully exempt from Arkansas income tax. Retirees aged 59.5 and older may exempt the first $6,000 of IRA distributions from Arkansas income tax. Up to $6,000 of income from private or government employer-sponsored retirement plans is also tax-exempt in Arkansas.
Step-up in basis Inherited assets in Arkansas receive a stepped-up tax basis to fair market value at the date of the original owner’s death. This can significantly reduce capital gains taxes when beneficiaries later sell inherited property.
Arkansas Advance Directives
Arkansas law recognizes the following advance directive documents:
Arkansas Declaration — Living Will Documents your wishes regarding life-sustaining treatment when you have a terminal condition or are in a persistent vegetative state. Must be signed and witnessed by two adults.
Arkansas Durable Power of Attorney for Health Care Names a healthcare agent to make medical decisions on your behalf when you are unable to do so. Must be signed and witnessed by two adults or notarized.
Arkansas POLST — Physician Orders for Life-Sustaining Treatment Arkansas uses a POLST form for seriously ill patients that documents specific medical orders regarding CPR hospitalization and artificial nutrition. Must be signed by a physician or nurse practitioner.
Arkansas Do Not Resuscitate Order A physician order directing emergency personnel not to perform CPR. Arkansas has standardized out-of-hospital DNR protocols.
Arkansas Advance Directive Registry Arkansas does not maintain a statewide advance directive registry. Copies of your advance directive should be given to your healthcare agent physician and any hospital or care facility where you receive care.
Free Arkansas advance directive forms Free Arkansas-specific advance directive forms are available at caringinfo.org and from the Arkansas Medical Society at arkmed.org.
Arkansas Key Agencies and Resources
Arkansas Department of Human Services — DHS Administers Arkansas Medicaid including long term care programs. Website: dhs.arkansas.gov Access Arkansas Portal: access.arkansas.gov Phone: 1-855-372-1084
Arkansas Division of Aging, Adult and Behavioral Health Services — DAABHS Coordinates programs and services for older Arkansans including home care nutrition programs caregiver support and the Arkansas SHIIP program for free Medicare counseling. Website: dhs.arkansas.gov/aging Phone: 1-866-801-3435 Arkansas SHIIP — free Medicare counseling: 1-800-224-6330
Arkansas Area Agencies on Aging Arkansas is served by 8 Area Agencies on Aging that coordinate local services for older adults and caregivers. Eldercare Locator: 1-800-677-1116 or eldercare.acl.gov
Arkansas Long Term Care Ombudsman Program Advocates for the rights of residents of nursing homes and assisted living facilities. Investigates complaints and helps resolve problems free of charge. Website: dhs.arkansas.gov/aging/ombudsman Phone: 1-800-482-8049
Arkansas Bar Association Lawyer Referral Service Connects Arkansans with attorneys including those who specialize in elder law and estate planning. Website: arkbar.com Phone: 1-800-609-5668
Legal Aid of Arkansas and Center for Arkansas Legal Services Provides free civil legal services to low income Arkansans including seniors on issues related to Medicaid benefits housing and elder law. Legal Aid of Arkansas: arlegalservices.org — 1-800-952-9243 Center for Arkansas Legal Services: arlegalservices.org — 1-800-950-5817
Arkansas Veterans Resources
Arkansas Department of Veterans Affairs — ADVA Provides services and benefits to Arkansas veterans and their families including free VA claims assistance and connections to Arkansas veterans resources. Website: veterans.arkansas.gov Phone: 1-501-683-2382
Arkansas State Veterans Homes Arkansas operates veterans homes providing long term care to eligible veterans and their spouses. Facilities are located in Fayetteville and North Little Rock. Website: veterans.arkansas.gov/veterans-homes
Arkansas Senior Property Tax Benefits
Age 65 and Disabled Homeowner Property Tax Freeze Arkansas homeowners who are aged 65 and older or who are disabled and meet income requirements qualify to have the taxable assessed value of their primary residence frozen at its current level. Once frozen the assessed value cannot increase even if the home appreciates in value. This can provide significant long-term property tax savings. Apply through your county assessor’s office.
Homestead Tax Credit All Arkansas homeowners who occupy their home as their primary residence qualify for a homestead tax credit of up to $500 regardless of age or income. This credit is applied directly to the property tax bill.
Disabled Veteran Property Tax Exemption Arkansas veterans who are totally and permanently disabled due to a service-connected disability qualify for a full property tax exemption on their primary residence. Beginning in 2026 Arkansas expanded eligibility so that homes owned by a trust or LLC can qualify for the exemption if the veteran or an eligible surviving family member lives in the home. Apply through your county assessor’s office.
Finding Elder Law and Estate Planning Attorneys in Arkansas
The following resources can help you find a qualified elder law or estate planning attorney in Arkansas:
- National Academy of Elder Law Attorneys — NAELA — naela.org — searchable directory by location
- Arkansas Bar Association Lawyer Referral Service — arkbar.com — 1-800-609-5668
- Arkansas Chapter of NAELA — Arkansas has an active NAELA chapter with members throughout the state
- Legal Aid of Arkansas — arlegalservices.org — free legal assistance for income-qualifying seniors — 1-800-952-9243
The information on this page is for general informational purposes only and does not constitute legal or financial advice. Arkansas Medicaid rules and other figures change frequently. Always verify current information with the relevant agency or a licensed attorney. Laws vary and individual circumstances differ significantly.
Last updated: May 2026