Financial Help for Grandparents Raising Grandchildren in Nebraska

When a grandchild lands in your home because their parent can't be there right now, the money questions hit fast. You're buying food, clothes, diapers, and school supplies on a budget that was sized for one or two people — not a growing child. Nebraska has several programs that support children and caregivers, and each applies different income rules. Child-only ADC excludes a non-needy relative caregiver's income; child Medicaid generally excludes it when the caregiver is not claiming the child as a tax dependent. SNAP and child care subsidy count caregiver income under their program rules.

Nebraska's Main Financial Programs for Relative Caregivers

Six state and federal programs form the core safety net for grandparents and relatives raising someone else's child in Nebraska:

ADC Child-Only Cash Grant. Nebraska's Aid to Dependent Children program pays a monthly cash grant for the child. When you apply as a non-needy relative payee, your Social Security checks, pension, or wages are completely ignored. Eligibility depends on the child's own countable income and other ADC rules. If the child has no countable income and meets the other eligibility rules, no child income reduces the maximum payment for the eligible unit. A single child can receive up to $623 per month under the July 2026 payment standard.

Nebraska Medicaid and Kids Connect. Health coverage for the child runs through Medicaid or the state's CHIP program (Kids Connect). Medicaid income thresholds are 162% of the federal poverty level (FPL) for infants, 145% for children ages 1 through 5, and 133% for ages 6 through 18. The separate CHIP tier extends to 185%–194% FPL. When you apply on behalf of a grandchild, your income stays out of the Medicaid calculation unless you claim them as a tax dependent.

SNAP (Food Stamps). SNAP groups people who customarily purchase and prepare food together into a household. If you and the child do that together, SNAP counts your income as part of that household; when food is purchased and prepared separately, separate eligibility units can be evaluated. The standard deduction, child care costs, and heating and cooling utility allowance may reduce countable income.

Child Care Subsidy. If you're working or in a training program, Nebraska's Title 392 subsidy helps cover child care costs. Your income is counted for this program, but the ADC grant the child receives is not.

Title III-E Caregiver Support. Grandparents and relatives age 55 or older who are the primary caregiver for a child under 18 qualify for services through your local Area Agency on Aging — respite care, counseling, support groups, and limited supplemental help. No court order required.

Subsidized Guardianship (GAP). If the child entered your home through the child welfare system and you became a licensed kinship foster parent, the Guardianship Assistance Program pays a negotiated monthly rate when you finalize legal guardianship. This program is not available for informal care arrangements.

What Counts and What Doesn't

The single most important thing to understand: in a child-only ADC grant, your income is excluded. Your retirement checks, your wages, your savings — none of it is counted for that grant. The state evaluates the child's countable income, such as Social Security survivor benefits paid on a parent's record or child support payments.

This income exclusion also applies to child Medicaid when you are not claiming the child as a tax dependent. SNAP and child care subsidies count caregiver income under their program rules.

Where to Apply

iServe Nebraska (iserve.nebraska.gov) offers a single online application for Medicaid, ADC, SNAP, LIHEAP, and child care subsidy. Paper Form EA-117 covers ADC, SNAP, LIHEAP, and child care subsidy. Title III-E services are provided through local Area Agencies on Aging, and GAP is handled through DHHS child welfare. You can also call the Economic Assistance line at 1-800-383-4278.

The Lutheran Family Services Kinship Navigator program (1-833-572-2053) is a free statewide service that helps you figure out which programs to apply for and what documents to gather before you contact DHHS.

How the Guide Helps

Our Nebraska Financial Help guide walks through each program's rules, shows exactly what documents you need for each application, and includes trackers for submission dates and renewal deadlines. It covers the situations that trip people up — what happens when a child receives SSI, how child support cooperation works, and what changes if you move from an informal arrangement to legal guardianship.

See more Nebraska guides →