What is Money Follows the Person?

Discover how Money Follows the Person might be shaking up the status quo by helping people leave institutions for independent living. Is this the future of care?
Published on
December 19, 2023
Presented by Givers
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Key Takeaways

Tending to an aging or disabled loved one brings enough stress without constant worries over quality care. As a caregiver, learning about programs providing support during significant life transitions gives peace of mind. Money Follows the Person (MFP) helps families move those eligible from institutions into community-based home care. 

What is Money follows the person (MFP)?

Money Follows the Person (MFP) is a federal program that helps eligible individuals living in institutions, such as nursing homes, transition back to their own homes or community-based care. This plan provides financial help and support services to help individuals and their families with the move and the transition process. 

Benefits of MFP

The Money Follows the Person program shifts long-term care away from institutions toward home and community-based options. It provides funding and guidance to smooth these transitions for aging and disabled Medicaid recipients and their families. Benefits include:

  • Expanding support system to adjust to living at home
  • Customizing spaces/services to meet unique needs 
  • Improving quality of life, health, and independence

By moving people from institutional settings to more independent living arrangements, MFP enhances individuals' and their families' quality of life while reducing healthcare costs.

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Overview of MFP 

In operation since 2008, Money Follows the Person is a federal demonstration program helping shift state resources toward home-based care from nursing facilities. It awards funding to states to develop infrastructure to improve transitions. Over 40 states actively assist transitions through MFP.

Eligibility for MFP

Medicaid pays for much long-term assistance. Those receiving these benefits for over 90 days in institutions like nursing facilities or long-term hospitals can qualify for MFP if they move back home. So, what does Medicaid cover? 

Services covered by MFP

MFP funds short-term services like coordinating home modifications for accessibility needs when leaving institutions. One of the ways the MFP program supports this transition is by providing short-term services to help individuals with disabilities or chronic illnesses coordinate home modifications for accessibility needs. States can customize offerings but often include: 

  • Home health aides
  • Medical equipment 
  • Accessibility modifications
  • Caregiver training
  • Transition coordination

Modifications include installing grab bars, widening doorways, or adding wheelchair ramps to ensure individuals can safely and comfortably live in their homes. By providing this support, the MFP program helps aging adults keep their independence and improve their overall quality of life.

MFP transition process 

When a loved one leaves the hospital, it can be overwhelming to navigate the transition back home. That's where experts come in to assess individual needs and eligibility. They create a personalized plan that outlines the required in-home services and a timeline for adjusting care. 

Once the plan is in place, a case manager oversees the move. They arrange all necessary medical support, equipment, and home modifications before the discharge day. That way, the transition can be as smooth as possible, and your loved one can get the care they need in their home. 

It's essential to have a plan in place for post-hospital care. Experts and a case manager to guide you through the process make all the difference for you and your care recipient.

People qualifying for MFP

Is your loved one in need of a new living situation? Many families find that nursing facilities lead to depression or even poor care. Sometimes, family members need social interaction with their grandchildren or miss living with their pets. A caregiver may be concerned about COVID-19 or other prevalent illnesses in nursing homes today. There are many reasons why family caregivers choose to move their loved ones from a long-term facility. Your care recipient may benefit from living in their own home. But who qualifies for MFP?

Medicaid-eligible Individuals

Applicants must receive Medicaid assistance for nursing home stays over 90 days. Those enrolled in long-term managed care programs also qualify. Eligibility depends on both medical and financial need.

People with disabilities in institutional settings

Caring for a disabled loved one requiring long-term facility care is challenging, especially weighing medical needs versus quality of life. If Medicaid covers over 90 straight days of nursing home or psychiatric hospital costs, Money Follows the Person assists with transitions back home. It funds customized plans and services, empowering people who need round-the-clock institutional care to thrive independently through tailored in-home support. 

By coordinating medical equipment, home modifications, caregiver education, and more, MFP gives your disabled family member a chance to return to community-based living with dignity.

People with developmental disabilities in long-term care facilities

Money Follows the Person proves invaluable for caregivers. It lets patients leave institutions where Medicaid pays for over 90 consecutive days of care by funding customized transition plans to sustain treatment gains at home. By tailoring in-home support, your developmentally disabled family member can return home to keep progressing.

Nursing facilities and other institutions participating in MFP

While Money Follows the Person aims to redirect long-term care from institutions to home-based settings, facilities still play vital roles for patients with intensive medical needs. MFP actively engages qualifying nursing homes, hospitals, and rehabilitation centers to collaboratively manage transitions that balance patient interests with health requirements.

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Qualified institutions

Eligible facilities include nursing homes, hospitals, or institutions providing psychiatric, intellectual disability, or rehabilitation services with consistent Medicaid payment.

Quality assurance standards for nursing facilities and other institutions

To participate, facilities must comply with Medicaid and Medicare health/safety regulations, ensuring proper patient care and oversight. MFP only works with centers that maintain quality standards. 

By subsidizing transitional services through Medicaid, MFP incentivizes facilities to discharge patients to alternative community care models when appropriate while upholding top standards.

Planning for a successful transition out of an institution

Moving an aging or disabled loved one home after months or years in structured facilities feels overwhelming for caregivers and patients alike. Money Follows the Person eases uncertainty through transition specialists guiding each step.

Transition specialist assistance

Navigating complex disability/aging care systems is challenging. MFP-funded specialists help coordinate customized transitions home, handling paperwork, modifications, equipment, and support. They simplify this significant life change for family caregivers and their loved ones. 

These experienced case managers become trusted advocates, interfacing with facilities to design customized discharge plans that meet patients' needs. They handle complex details like:

  • Scheduling home modifications
  • Arranging medical equipment
  • Conducting caregiver training
  • Setting up counseling
  • Accessing financial support

With someone coordinating all the moving pieces, families focus on providing strength and comfort during confusing transitions. Specialists relieve burdens navigating convoluted systems by liaising between providers, contractors, and funding agencies. Their involvement allows for securing necessary services before patients even leave facilities.

During intensely vulnerable times, transition specialists promise caregivers and beneficiaries they won't manage alone. MFP's client-centered support empowers families to transform their loved one's quality of life.

Aging and disabled loved ones deserve care, promoting independence and dignity. Money Follows the Person uniquely provides personalized support, empowering those once confined to facilities to engage in vibrant and fulfilling lives on their own terms.

At its core, Money Follows the Person recognizes that home and family nourish the human spirit in ways even the best institutions cannot. Coaching family caregivers through daunting transitions thoughtfully guides people to a better quality of life. Its client-centered approach compassionately transports individuals from surviving within four walls to thriving surrounded by loved ones.

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