Medicare Savings Programs (MSP) are federally funded programs administered by each state. These programs are for people on Medicaid with limited income and resources. The Medicare Savings Programs help pay some or all of a citizen’s Medicare premiums, deductibles, copayments and coinsurance.
What are the general requirements for Medicare Savings Programs?
Below are general requirements for the MSP:
- Reside in a state or the District of Columbia.
- Are age 65 or older.
- Receive Social Security Disability benefits.
- People with certain disabilities or permanent kidney failure (even if under age 65).
- Meet standard income and resource requirements.
For a full list of requirements visit Medicare.gov’s Medicare Savings Program page.
There are four types of Medicare Savings Programs listed below. If you have income from working, you still may qualify for these four programs even if your income is higher than the income limits listed for each program.
Qualified Medicare Beneficiary (QMB):
- Individual monthly income limit: $1,084
- Married couple monthly income limit: $1,457
- Individual resource limit: $7,860
- Married couple resource limit: $11,800
Specified Low-Income Medicare Beneficiary (SLMB):
- Individual monthly income limit: $1,296
- Married couple monthly income limit: $1,744
- Individual resource limit: $7,860
- Married couple resource limit: $11,800
Qualifying Individual (QI):
- Individual monthly income limit: $1,456
- Married couple monthly income limit: $1,960
- Individual resource limit: $7,860
- Married couple resource limit: $11,800
Qualified Disabled & Working Individuals (QDWI):
- Individual monthly income limit: $4,339
- Married couple monthly income limit: $5,833
- Individual resource limit: $4,000
- Married couple resource limit: $6,000
Countable resources included in the Medicare Savings Program resource limits are money in a checking or savings account, stocks, and bonds. Items not included in countable resources are your home, one car, burial plot, up to $1,500 for burial expenses, furniture, and personal items.
How do I apply for a Medicare Savings Program?
If you have or are eligible for Part A, your income for 2020 is at or below the income limits for any of the programs above, and you have limited resources below the limits above, you should call your state Medicaid program to see if you qualify in the state you reside.
What are the advantages of a Medicare Savings Program?
Medicare Savings Programs allow citizens to save money on Medicare premiums, deductibles, copayments and coinsurance. Enrollment into MSPs automatically makes a person eligible to receive the extra help with prescription drug costs with Medicare’s Extra Help benefit. This benefit helps pay for prescription drugs and is estimated by the Social Security Administration to have an annual value of $4,900. If you get Extra Help but you’re not sure if you're paying the right amount, call your drug plan. Your plan may ask you to give information to help them check the level of Extra Help you should receive.
How do I apply for Medicaid?
You can apply for Medicaid and enroll any time of year. Once you are ready to apply, contact your state Medicaid agency for more information or submit an application through the Health Insurance Marketplace on HealthCare.gov. Once enrolled, your state can provide a list of approved health care providers you can contact for services.
What if I am not eligible for Medicaid?
If you don’t qualify for Medicaid, Benefits.gov wants you to know you still have options. Since 2002, Benefits.gov has provided millions of citizens with information on over 1,000 government benefits. Fill out our Benefit Finder questionnaire to find out what other benefits you may be eligible to receive. While we don’t accept benefit applications on Benefits.gov, we can help you find where to apply.
