Garden State Times

Bipartisan legislation aimed at increasing the personal needs allowance for nursing home residents in New Jersey has progressed through the Senate Health, Human Services, and Senior Citizens Committee. The bill, sponsored by Senator Carmen Amato (R-9), seeks to address financial challenges faced by seniors and vulnerable residents in assisted-living facilities.

“With the cost-of-living skyrocketing in New Jersey, many seniors and vulnerable residents in nursing homes are struggling to cover basic personal expenses,” said Sen. Amato. “While financial aid is available, current monthly allowances from the state have not kept up with inflation and are too small to have a meaningful financial impact. This legislation would increase the state’s personal needs allowance to strengthen quality of life and ease some of the financial burden for those residents.”

The Personal Needs Allowance (PNA) is a discretionary fund that Medicaid beneficiaries in nursing homes can retain from their income, exempt from care costs. This money helps cover minor expenses such as clothing or gifts. Federal law mandates a minimum PNA of $30 per month for Medicaid-funded nursing home residents, but states can set higher amounts up to $200.

The proposed bill S-3319 plans to raise New Jersey's PNA from $35 to $140 monthly for those not receiving SSI assistance. For SSI recipients, the state supplement would increase from $20 to $90 per month. Additionally, it requires annual adjustments aligned with Social Security cost-of-living changes.

For further details on the bill or to contact Senator Amato, Chris Sivel, SRO Deputy Director of Communications can be reached via email.