Medicaid Work Requirements for Veterans

Only veterans with a total VA disability rating are exempt because they are veterans. Other veterans can still qualify for a different exemption, and VA job programs count toward the 80 hours.

Updated · Based on official sources listed below · How we research

Short answer: Veterans are exempt only if the VA rates their disability as total (100%), either temporary or permanent. CMS says veterans paid at the 100% rate through individual unemployability (TDIU) also qualify. Other veterans ages 19 to 64 in the adult expansion group must meet the 80-hour rule starting January 1, 2027 (earlier in a few states), unless another exemption fits.

The rule in the law

Federal law excludes a person "who is a veteran with a disability rated as total under section 1155 of title 38" (sec. 1902(xx)(9)(A)(ii)(IV)). The CMS rule says this means a temporary or permanent VA disability rated 100% (42 CFR 435.554(c)(4)).

In the rule's preamble, CMS adds that veterans who get total disability based on individual unemployability (TDIU), which pays at the 100% rate even when the combined rating is lower, must be treated the same as veterans rated 100%.

How often it is checked

Veterans without a total rating

You may still be exempt another way, for example if you:

If you need to meet the rule, VA and Department of Labor job and training programs for veterans count as a work program. The CMS rule says any Labor or VA employment and training program that serves veterans is an approved work program. Being enrolled in VA health care does not change the Medicaid rule.

What proof is usually needed

CMS said it is looking at a data match with the VA, but until a state has one, it must ask you for proof. Your VA benefit summary letter, which you can download from VA.gov, shows your rating and whether it is permanent and total. If you get TDIU, the letter shows that you are paid at the 100% rate.

What to do next

Frequently asked questions

Are veterans exempt from Medicaid work requirements?

Only veterans with a total (100%) VA disability rating, temporary or permanent, or TDIU. Other veterans must meet the rule unless another exemption fits.

I am rated 70% and get TDIU. Am I exempt?

Yes. CMS says veterans who get total disability based on individual unemployability are paid at the 100% rate and must be treated like veterans rated 100%.

Do VA job training programs count toward 80 hours?

Yes. Employment and training programs for veterans run by the Department of Labor or the VA count as a work program.

Does a VA pension exempt me?

Not by itself. The law names only a disability rated as total. A veteran on a pension may still be exempt for another reason, such as a disability or serious health condition.

Are veterans exempt from SNAP work rules too?

No. SNAP has different rules. The SNAP veteran exemption ended in 2025. See SNAP work rules for veterans.

Sources

  1. Public Law 119-21 (H.R. 1), sec. 71119: community engagement requirement (GovInfo)
  2. CMS interim final rule, Medicaid community engagement requirement, 91 FR 33348 (June 3, 2026)
  3. CMS-2454-IFC, official PDF (GovInfo)
  4. U.S. Department of Veterans Affairs: individual unemployability (TDIU)
  5. U.S. Department of Veterans Affairs: download your VA benefit letters