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Trump issues final rule requiring most Medicaid beneficiaries to work
CMS says most adults must log 80 hours a month of work, school or volunteering, with states given wide discretion on exemptions.
On Monday, CMS released guidance implementing new Medicaid work requirements effective Jan. 1, 2027, requiring many adults to work, attend school, or volunteer 80 hours monthly to maintain coverage under President Donald Trump's policy.
The Trump administration claims the policy encourages job growth, citing National Bureau and Economic Research data showing Americans work fewer hours than in previous decades. Officials argue existing benefits reduce employment incentives.
Pregnant women, veterans, and those deemed "medically frail" receive exemptions. CMS administrator Dr. Mehmet Oz stated, "We're forgiving, but we're not foolish," noting the policy targets problem areas compassionately.
During the first year, enrollees can self-attest to exemption qualifications without documentation. Officials set a 2028 deadline for States to build verification systems using claims data and records.
A KFF report projects about 5 million people could lose coverage by 2034 due to administrative hurdles rather than employment status. Larry Levitt of KFF cited Nebraska's nearly 300-page medical code list as evidence of implementation complexity.