Medicare Savings Programs You Need to Know

Millions of seniors qualify for Medicare assistance programs but don't know they exist. These programs can save you thousands of dollars annually.

Medicare Savings Programs (MSPs)

Medicare Savings Programs help pay Medicare premiums, deductibles, and co-insurance if you qualify. There are four programs:

1. Qualified Medicare Beneficiary (QMB) Program

What it covers:

• Part A premiums (if you have to pay them)
• Part B premiums
• Part A and B deductibles
• Part A and B coinsurance

2024 Income Limits:

• Individual: $1,275/month ($15,300/year)
• Couple: $1,724/month ($20,688/year)

Potential Savings: $1,800-$7,000+ per year

2. Specified Low-Income Medicare Beneficiary (SLMB) Program

What it covers:

• Part B premiums only ($174.70/month in 2024)

2024 Income Limits:

• Individual: $1,526/month ($18,310/year)
• Couple: $2,063/month ($24,750/year)

Potential Savings: $2,096 per year

3. Qualified Individual (QI) Program

What it covers:

• Part B premiums only (limited funding, first-come-first-served)

2024 Income Limits:

• Individual: $1,716/month ($20,590/year)
• Couple: $2,320/month ($27,840/year)

4. Qualified Disabled & Working Individuals (QDWI) Program

What it covers:

• Part A premiums for certain disabled individuals who are working

Extra Help / Low-Income Subsidy (LIS)

Helps pay Medicare Part D prescription drug costs.

What it covers:

• Monthly premiums
• Annual deductibles
• Prescription co-payments

Income Limits (2024):

• Individual: $1,903/month ($22,590/year)
• Couple: $2,575/month ($30,660/year)

Potential Savings: $5,000+ per year

How to Apply

For Medicare Savings Programs:

1. Contact your State Medicaid office
2. Call your State Health Insurance Assistance Program (SHIP) at 1-877-839-2675
3. Visit your local Social Security office

For Extra Help:

1. Apply online at ssa.gov/medicare/prescriptionhelp
2. Call Social Security at 1-800-772-1213
3. Apply when enrolling in a Part D plan

State Pharmaceutical Assistance Programs (SPAPs)

Many states offer additional prescription drug assistance:

• California: California Prescription Drug Discount Program
• Pennsylvania: PACE and PACENET
• New York: Elderly Pharmaceutical Insurance Coverage (EPIC)
• New Jersey: Senior Gold Prescription Discount Program

Visit medicare.gov/spap to find programs in your state.

Patient Assistance Programs

If you don't qualify for government programs, pharmaceutical companies offer assistance:

NeedyMeds

• Website: needymeds.org
• Free information on 14,000+ programs
• No income verification required for searching

RxAssist

• Website: rxassist.org
• Directory of patient assistance programs
• Eligibility information for each program

Partnership for Prescription Assistance

• Phone: 1-888-477-2669
• Matches patients with appropriate assistance programs

For even more ways to reduce prescription costs—including online pharmacies, discount cards, and AI tools to fight billing errors—see our complete guide to healthcare technology savings.

Medicare Advantage vs. Original Medicare

Switching might save money if:

• Your Advantage plan premiums increased
• Your doctors left the network
• Your prescriptions aren't well-covered

Annual Enrollment Period: October 15 - December 7

Preventive Services (100% Free)

Take advantage of free Medicare preventive services:

• Annual wellness visit
• Diabetes screenings
• Cancer screenings (breast, cervical, colorectal, lung, prostate)
• Cardiovascular disease screenings
• Depression screenings
• Flu, pneumonia, and hepatitis B shots

Common Mistakes to Avoid

1. Not shopping during Annual Enrollment: Plans change - review annually
2. Paying for Medigap Plan F: If you qualified for Medicare after 2020, you can't buy Plan F
3. Missing the Extra Help deadline: Apply as soon as possible
4. Not appealing denials: Always appeal if a claim is denied

Real Success Story

Martha from Ohio was paying $300/month for her Part D plan plus $200/month in prescription co-pays. After applying for Extra Help and switching to a $0 premium plan, she now pays less than $20/month total – saving over $5,000 per year.

Beyond prescription and premium assistance, many Medicare Advantage plans include free gym memberships through programs like SilverSneakers. Discover how to access free fitness programs through Medicare and community resources to stay healthy while saving $600-1,200 annually.

Get Help

Don't navigate this alone:

• SHIP (State Health Insurance Assistance Program): 1-877-839-2675
• Medicare: 1-800-MEDICARE (1-800-633-4227)
• Social Security: 1-800-772-1213
• Area Agency on Aging: 1-800-677-1116

Important: These programs don't count against you for other benefits, and applying doesn't affect your Social Security or Medicare. The worst they can say is "no," so it's always worth applying.