This page provides a plain-English summary of key elder care and estate planning information specific to Texas residents. It covers Texas Medicaid limits, estate tax rules, advance directive information, and links to important Texas 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.
Texas Medicaid — 2026 Eligibility Limits for Long Term Care
Medicaid is the primary payer for nursing home care in Texas for eligible low income residents. Texas Medicaid for long term care is administered by the Texas Health and Human Services Commission — HHSC.
Important note — Texas has not expanded Medicaid Texas has not expanded Medicaid under the Affordable Care Act. Most healthy adults aged 19 to 64 without disabilities or dependent children do not qualify for Texas Medicaid regardless of income.
Income limit — single applicant The income limit for a single nursing home Medicaid applicant is $2,982 per month in 2026. Texas is an income cap state meaning applicants whose income exceeds this limit must establish a Qualified Income Trust — also called a Miller Trust — to qualify.
Asset limit — single applicant A single applicant must have $2,000 or less in countable assets. Exempt assets — assets that do not count toward the limit — include the primary residence with equity up to $730,000 if the applicant intends to return home, one vehicle regardless of value, personal belongings and household furnishings, and irrevocable prepaid funeral and burial contracts up to $1,500.
Married couples — one spouse applying When only one spouse applies for Medicaid nursing home benefits the applicant spouse may retain up to $2,000 in countable assets. The community spouse — the spouse who remains at home — may retain between $32,532 and $162,660 in countable assets under the Community Spouse Resource Allowance depending on the couple’s total assets.
Monthly Maintenance Needs Allowance The community spouse is entitled to a minimum monthly income allowance of up to $4,066.50 per month in 2026. If the community spouse’s income falls below this amount the nursing home spouse may transfer income to bring the community spouse up to the allowance.
Personal needs allowance Texas nursing home Medicaid recipients are allowed to keep $75 per month as a personal needs allowance. The remainder of their income is applied toward the cost of care.
Look-back period Texas has a 60-month — five year — look-back period. When applying for nursing home Medicaid the state reviews the previous five years of financial transactions for asset transfers made for less than fair market value. Disqualifying transfers may result in a penalty period of ineligibility.
Qualified Income Trust — Miller Trust Because Texas is an income cap state applicants whose income exceeds $2,982 per month must establish a Qualified Income Trust — also called a Miller Trust or QIT — to qualify. Excess income is deposited into the trust each month and disbursed toward care costs. An elder law attorney can help establish a properly structured QIT.
How to apply for Texas Medicaid Applications can be submitted online at YourTexasBenefits.com, by phone by calling 2-1-1 or 1-877-541-7905, or in person at a local Texas HHSC office. Processing typically takes 45 to 90 days.
Texas Medicaid administering agency Texas Health and Human Services Commission — hhs.texas.gov
Texas Estate Tax — 2026
No Texas state estate tax Texas does not impose a state estate tax or a state inheritance tax. In 2025 Texas voters approved a constitutional amendment permanently prohibiting the Texas Legislature from enacting a state estate tax or inheritance tax making Texas one of the most favorable states in the country for estate planning.
Federal estate tax Texas 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 Texas gift tax Texas does not impose a state gift tax. Federal gift tax rules apply — the annual gift tax exclusion is $19,000 per recipient in 2026.
Community property Texas is a community property state. Assets acquired during marriage are generally considered equally owned by both spouses. Community property receives favorable tax treatment at death and Texas residents should ensure their estate plans account for community property rules.
Transfer on death deeds Texas allows transfer on death deeds — also called TOD deeds — which allow property owners to name beneficiaries who will automatically receive real estate at the owner’s death without going through probate. TOD deeds are a useful probate-avoidance tool for Texas homeowners.
Texas probate Texas has a relatively streamlined independent administration process for estates with a valid will. Texas also offers a muniment of title process for simple estates where the only asset is real estate. An estate planning attorney can advise on the best approach for your situation.
Texas Advance Directives
Texas law recognizes the following advance directive documents:
Medical Power of Attorney 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 competent adults or notarized.
Directive to Physicians — Texas Living Will Documents your wishes regarding life-sustaining treatment when you have a terminal or irreversible condition and cannot communicate. Must be signed and witnessed by two competent adults.
Out-of-Hospital DNR Order A physician order directing emergency medical personnel not to attempt resuscitation outside of a hospital setting.
Texas POLST — Physician Orders for Life-Sustaining Treatment Texas uses the Medical Orders for Scope of Treatment — MOST — form for seriously ill patients. Must be signed by a physician.
Designation of Guardian Texas allows individuals to designate their preferred guardian in advance in case guardianship proceedings become necessary. This document can help ensure that your wishes regarding guardianship are known.
Free Texas advance directive forms Free Texas-specific advance directive forms are available at caringinfo.org and from the Texas Medical Association at texmed.org.
Texas Key Agencies and Resources
Texas Health and Human Services Commission — HHSC Administers Texas Medicaid and a range of health and human services programs. Website: hhs.texas.gov Phone: 2-1-1 or 1-877-541-7905
Texas Department of Aging and Disability Services — DADS Now part of HHSC — coordinates long term care programs and services for older Texans. Website: hhs.texas.gov/aging
Texas Area Agencies on Aging Texas is served by 28 Area Agencies on Aging that coordinate local services for older adults and caregivers including home care, nutrition programs, transportation, and caregiver support. Eldercare Locator: 1-800-677-1116 or eldercare.acl.gov
Texas Long Term Care Ombudsman Program Advocates for the rights of residents of nursing homes, assisted living facilities, and other long term care settings. Website: hhs.texas.gov/ombudsman Phone: 1-800-252-2412
Texas Legal Services Center Provides free legal assistance to low income Texans including seniors on issues related to Medicaid, benefits, and elder law. Website: tlsc.org Phone: 1-888-988-9996
State Bar of Texas Lawyer Referral Service Connects Texans with attorneys including those who specialize in elder law and estate planning. Website: texasbar.com Phone: 1-800-252-9690
Texas Veterans Resources
Texas Veterans Commission Provides services and benefits to Texas veterans and their families including free VA claims assistance, veterans employment services, and mental health programs. Website: tvc.texas.gov Phone: 1-512-463-5538
Texas State Veterans Homes Texas operates veterans homes providing long term care to eligible veterans and their spouses. Facilities are located in Amarillo, Big Spring, Bonham, El Paso, Floresville, McAllen, Temple, and Tyler. Website: tvc.texas.gov/veteran-homes
Texas Hazlewood Act Provides tuition exemptions at Texas public colleges and universities to eligible veterans, their spouses, and dependent children. Website: tvc.texas.gov/education
Texas Senior Property Tax Benefits
Residence Homestead Exemption — Age 65 and Older Texas homeowners aged 65 and older receive an additional $10,000 homestead exemption reducing the taxable value of their home. Apply through your county appraisal district.
School District Tax Freeze Once you qualify for the over-65 homestead exemption your school district property taxes are frozen at that year’s level and cannot increase as long as you own and live in the home.
Property Tax Deferral Texas homeowners aged 65 and older may defer payment of property taxes on their primary residence until the home is sold or transferred. Interest accrues at 5 percent per year. Contact your county tax assessor-collector for information.
Finding Elder Law and Estate Planning Attorneys in Texas
The following resources can help you find a qualified elder law or estate planning attorney in Texas:
- National Academy of Elder Law Attorneys — NAELA — naela.org — searchable directory by location
- State Bar of Texas Lawyer Referral Service — texasbar.com — 1-800-252-9690
- Texas Legal Services Center — tlsc.org — free legal assistance for income-qualifying seniors
The information on this page is for general informational purposes only and does not constitute legal or financial advice. Medicaid eligibility limits, estate tax 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: March 2026