H.R. 7778 — Medicaid PNA Modernization Act

This section increases the minimum monthly personal needs allowance (PNA) under Medicaid for institutionalized individuals—i.e., the amount such recipients in nursing facilities or similar institutions may retain from their income each month for clothing and other personal needs after applying the balance to care costs—to $60 (from $30) effective January 1, 2026. The section further increases the PNA for institutionalized couples to $120 (from $60) effective the same date and requires both PNAs to be adjusted annually thereafter by the percentage increase in Social Security benefits under title II (i.e., cost-of-living adjustments under SSA section 215(i)) for months after November 2026.