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CMP CERTIFIED MEDICAID PLANNER FINAL EXAM QUESTIONS WITH
DETAILED- VERIFIED ANSWERS- ALREADY GRADED A+ || NEWEST
EXAM 2025-2026
Elder Law / Estate Planning / Financial Planning / Geriatric Care
Management
Exam coverage: -
• Foundational Knowledge: - Primary purpose of Medicaid, CMS,
state vs. federal funding, history of Medicaid, mandatory vs.
optional benefits, ACA expansion
• Medicaid Financial Eligibility: - Income limits (e.g., 2025 income
cap $2,901/month), asset limits ($2,000 individual), home equity
limits, vehicle exemptions, spend‑down, qualified income trusts
• Asset Transfer and Look‑Back Period: - 60‑month look‑back,
calculation of penalty periods, exceptions (transfers to spouses,
disabled children, caretaker children), promissory notes
• Spousal Impoverishment: - CSRA (minimum $31,584, maximum
$157,920 for 2025), MMNA (minimum $2,465), shelter allowance,
income allocation
• Estate Recovery Recovery rules, exemptions (surviving spouse,
disabled child, caretaker child), undue‑hardship waivers, recovery
against probate vs. non‑probate assets
• Long‑Term Care Planning: - Medicaid Asset Protection Trusts
(MAPTs), long‑term care partnership policies, annuities (SPIAs),
spend‑down strategies
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• Special Needs and Pooled Trusts (d)(4)(A) self‑settled trusts,
third‑party SNTs, pooled trusts (d)(4)(C), payback provisions
• Medical Necessity and Level of Care: - Nursing facility level of care
(NFLOC), ADL assessment, cognitive impairment, HCBS waivers
• Ethical and Professional Considerations: - Full disclosure,
informed consent, conflicts of interest, confidentiality,
professional competence
DOMAIN 1 – FOUNDATIONAL KNOWLEDGE (Questions 1–20)
1. A financial planner is advising an elderly client about paying for
long‑term care. What is the primary purpose of Medicaid long‑term care
planning?
A) To help clients invest in health insurance policies.
B) To protect assets while ensuring Medicaid eligibility.
C) To increase a client’s income through government subsidies.
D) To avoid paying taxes on retirement accounts.
CORRECT ANSWER: B
Rationale: Medicaid planning helps clients qualify for long‑term care
benefits without unnecessarily depleting their assets.
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2. Which federal agency administers the Medicaid program at the
national level?
A) Internal Revenue Service (IRS).
B) Centers for Medicare & Medicaid Services (CMS).
C) Social Security Administration (SSA).
D) Department of Health and Human Services (HHS).
CORRECT ANSWER: B
Rationale: CMS is the federal agency that oversees Medicaid, sets
general guidelines, and approves state plans.
3. Which two levels of government jointly fund and administer the
Medicaid program?
A) Federal and local county governments only.
B) State and federal governments.
C) Federal government only.
D) State governments only.
CORRECT ANSWER: B
Rationale: Medicaid is funded jointly by states and the federal
government; the federal share is called the Federal Medical Assistance
Percentage (FMAP).
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4. What is the historical basis for the Medicaid program?
A) Title I of the Social Security Act of 1935.
B) Title XIX of the Social Security Act of 1965.
C) The Balanced Budget Act of 1997.
D) The Affordable Care Act of 2010.
CORRECT ANSWER: B
Rationale: Medicaid was created in 1965 as Title XIX of the Social
Security Act, alongside Medicare (Title XVIII).
5. Which of the following is a mandatory benefit that every state
Medicaid program must provide?
A) Dental services for adults.
B) Non‑emergency medical transportation.
C) Inpatient and outpatient hospital services.
D) Chiropractic services.
CORRECT ANSWER: C
Rationale: Inpatient and outpatient hospital services, physician services,
and nursing facility services for adults are mandatory benefits.
6. Which landmark federal law significantly expanded Medicaid eligibility
to low‑income adults under age 65?
CMP CERTIFIED MEDICAID PLANNER FINAL EXAM QUESTIONS WITH
DETAILED- VERIFIED ANSWERS- ALREADY GRADED A+ || NEWEST
EXAM 2025-2026
Elder Law / Estate Planning / Financial Planning / Geriatric Care
Management
Exam coverage: -
• Foundational Knowledge: - Primary purpose of Medicaid, CMS,
state vs. federal funding, history of Medicaid, mandatory vs.
optional benefits, ACA expansion
• Medicaid Financial Eligibility: - Income limits (e.g., 2025 income
cap $2,901/month), asset limits ($2,000 individual), home equity
limits, vehicle exemptions, spend‑down, qualified income trusts
• Asset Transfer and Look‑Back Period: - 60‑month look‑back,
calculation of penalty periods, exceptions (transfers to spouses,
disabled children, caretaker children), promissory notes
• Spousal Impoverishment: - CSRA (minimum $31,584, maximum
$157,920 for 2025), MMNA (minimum $2,465), shelter allowance,
income allocation
• Estate Recovery Recovery rules, exemptions (surviving spouse,
disabled child, caretaker child), undue‑hardship waivers, recovery
against probate vs. non‑probate assets
• Long‑Term Care Planning: - Medicaid Asset Protection Trusts
(MAPTs), long‑term care partnership policies, annuities (SPIAs),
spend‑down strategies
, Page 2 of 112
• Special Needs and Pooled Trusts (d)(4)(A) self‑settled trusts,
third‑party SNTs, pooled trusts (d)(4)(C), payback provisions
• Medical Necessity and Level of Care: - Nursing facility level of care
(NFLOC), ADL assessment, cognitive impairment, HCBS waivers
• Ethical and Professional Considerations: - Full disclosure,
informed consent, conflicts of interest, confidentiality,
professional competence
DOMAIN 1 – FOUNDATIONAL KNOWLEDGE (Questions 1–20)
1. A financial planner is advising an elderly client about paying for
long‑term care. What is the primary purpose of Medicaid long‑term care
planning?
A) To help clients invest in health insurance policies.
B) To protect assets while ensuring Medicaid eligibility.
C) To increase a client’s income through government subsidies.
D) To avoid paying taxes on retirement accounts.
CORRECT ANSWER: B
Rationale: Medicaid planning helps clients qualify for long‑term care
benefits without unnecessarily depleting their assets.
, Page 3 of 112
2. Which federal agency administers the Medicaid program at the
national level?
A) Internal Revenue Service (IRS).
B) Centers for Medicare & Medicaid Services (CMS).
C) Social Security Administration (SSA).
D) Department of Health and Human Services (HHS).
CORRECT ANSWER: B
Rationale: CMS is the federal agency that oversees Medicaid, sets
general guidelines, and approves state plans.
3. Which two levels of government jointly fund and administer the
Medicaid program?
A) Federal and local county governments only.
B) State and federal governments.
C) Federal government only.
D) State governments only.
CORRECT ANSWER: B
Rationale: Medicaid is funded jointly by states and the federal
government; the federal share is called the Federal Medical Assistance
Percentage (FMAP).
, Page 4 of 112
4. What is the historical basis for the Medicaid program?
A) Title I of the Social Security Act of 1935.
B) Title XIX of the Social Security Act of 1965.
C) The Balanced Budget Act of 1997.
D) The Affordable Care Act of 2010.
CORRECT ANSWER: B
Rationale: Medicaid was created in 1965 as Title XIX of the Social
Security Act, alongside Medicare (Title XVIII).
5. Which of the following is a mandatory benefit that every state
Medicaid program must provide?
A) Dental services for adults.
B) Non‑emergency medical transportation.
C) Inpatient and outpatient hospital services.
D) Chiropractic services.
CORRECT ANSWER: C
Rationale: Inpatient and outpatient hospital services, physician services,
and nursing facility services for adults are mandatory benefits.
6. Which landmark federal law significantly expanded Medicaid eligibility
to low‑income adults under age 65?
