Oregon Independent Choices Program: Oregon 2026 Guide

Oregon’s Independent Choices Program (ICP) gives Medicaid in-home service recipients a monthly cash budget, rather than authorized hours, so they can buy the help they need in the way that suits them. The participant pays caregivers, including family members, and can buy some items that replace human help.

This page explains who can use the Independent Choices Program in 2026, how family members can be paid, what the program covers, how to apply, and how it fits with nursing home Medicaid. For the full statewide rules on income, assets, spouses and the look-back, see our Oregon Medicaid guide.

Figures change periodically. Double-check current amounts before relying on them.

What the Independent Choices Program is

In ICP, the value of the person’s in-home service plan is paid into a dedicated account each month. The participant writes a service budget that shows how the money will be spent, keeps records, and acts as the employer of any caregivers, including paying employer taxes, usually with help from a payroll service. ICP suits people who want more flexibility and are comfortable with record-keeping, or have a representative who is.

Programs like the Independent Choices Program let the person receiving care pick who helps them, frequently a family member or friend. An agency typically handles pay, taxes and checks. Most programs pay adult children and other relatives; spouses are more often excluded.

Who qualifies in 2026

Oregon looks at both how much help a person needs and what they own and earn. In general, to qualify for the Independent Choices Program an applicant must:

be eligible for Oregon in-home services through the K Plan or waiver;
live in their own home;
be able to manage a cash benefit and employer duties, or have a representative who can;
have a safe service plan; and
agree to keep records and account for spending.

The money test. the Independent Choices Program uses Oregon’s long-term care Medicaid financial rules, which are usually the same income and asset limits used for nursing home Medicaid. Savings, investments and real estate other than the home count; the home, a car, belongings and some burial funds usually do not. Gifts made in the five years before applying can trigger a penalty that delays waiver services, just as it would delay nursing home coverage.

The usual Oregon long-term care financial rules apply. In 2026: $2,982 a month of income, with an income cap trust above it, and $2,000 in assets for a single person.

For reference, these are Oregon’s key 2026 long-term care Medicaid figures:

Item	2026 figure
Income limit (applicant)	$2,982 a month (300% of the SSI rate)
Asset limit (single applicant)	$2,000
Asset limit (couple, both applying)	$3,000
Home equity limit	$752,000
Spouse at home: resource allowance (CSRA)	The greater of half the couple’s resources (up to $162,660) or $32,532
Spouse at home: monthly income allowance	Minimum $2,705 (from July 1, 2026) / maximum $4,066.50
Personal needs allowance (nursing facility)	$81.28 a month
Look-back period	60 months (5 years)

Married applicants. When one spouse applies and the other stays at home, spousal impoverishment protections generally apply, so the spouse at home can keep a share of the couple’s assets and may receive part of the applicant’s income. The spousal allowance pages explain how these amounts are figured.

Services the Independent Choices Program can cover

Depending on assessed need, the Independent Choices Program can include:

wages for caregivers, including relatives
items and services that replace human help, such as appliances or home changes, when in the budget
emergency backup care arrangements
training on budgeting and employer duties

Not included. Rent, groceries and household bills are outside the Independent Choices Program. Most caregiver pay is taxable, though some live-in payments are excluded from income.

How to apply for the Independent Choices Program

The usual sequence for the Independent Choices Program is below. Running the financial application and the care assessment in parallel can shorten the wait.

Get assessed for in-home services through the local APD or Area Agency on Aging office.
Tell the case manager you want to join the Independent Choices Program.
Complete ICP orientation and write a service budget.
Open the dedicated account and set up payroll arrangements.
Payments begin, and spending is reviewed periodically.

Staying organized. Copy every form before you send it and keep a simple call log. During the assessment, describe a typical bad day rather than a good day, and have a family member present who knows how much help is really needed. Memory problems, falls and the need for supervision all count, even when the person can still do some tasks alone. If the answer is no, the written notice explains how to request a fair hearing and the deadline.

Waiting lists and timing

ICP has limited enrollment, so there can be a wait to join even for people already receiving in-home services.

Because openings can be limited, it usually makes sense to get on any list early, even before needs are urgent. While waiting, other options can help: state plan personal care, adult day programs, PACE where offered, Older Americans Act services through the Area Agency on Aging, and family caregiver support. The waiver waiting lists page explains common rules.

How it relates to nursing home Medicaid

ICP is for people at home who meet nursing facility service levels. If the arrangement no longer meets the person’s needs, they can switch to regular in-home services or a community setting.

Because participants meet a nursing home level of care, the Independent Choices Program is a substitute for nursing home care, not a step below it. Nursing home Medicaid is an entitlement for people who qualify, so it has no waiting list, while a waiver may. A participant who later needs a nursing home keeps Medicaid, though more of their income then goes toward care. People leaving a nursing home often get priority for waiver openings, with help from Money Follows the Person.

Getting ready for the Independent Choices Program

The need for the Independent Choices Program often arrives suddenly, after a hospital stay or a fall. Some preparation goes a long way. A good first step is a short written picture of the day: which tasks need help, who does them now, and what the backup is. The same list helps at the assessment and makes it clear where paid help matters most.

On the financial side, gather recent bank statements, income letters such as Social Security and pension notices, health insurance cards, and proof of age and residence in Oregon. Keep older statements too: if a waiver or nursing home becomes necessary, the five-year look-back applies. A durable power of attorney and health care directive, signed while the person can still make decisions, let a family member handle applications and appeals without court involvement.

Check in on how the arrangement is working every few months; a reassessment can adjust hours or services. Notes on falls, hospital visits and new diagnoses make later reviews easier.

Tips for families

Family conversations about fairness, the caregiver’s career and backup plans help avoid conflict later. Track tasks and hours from the start. Past private payments to family should be backed by a caregiver agreement, or they may count as gifts. Have a backup plan for illness or vacations.

We encourage families to consult a Certified Medicaid Planner before filing for the Independent Choices Program. A planner can compare Oregon’s programs side by side, protect a spouse’s share where the rules allow, and prepare the paperwork. Costs range widely, from about $150 to $600 an hour, about $500 to $6,000 for application help, and about $2,500 to $15,000 or more for full planning.

Last updated for 2026. General information only, not legal or financial advice. Medicaid Answers is a free educational resource published by Medicaid Answers Foundation.