Medicare Savings Programs (MSPs) are state-run Medicaid programs that pay your Medicare Part A and Part B premiums, deductibles, and copayments if your income is below federal limits. In 2026, a single person earning under approximately $1,620/month may qualify. These programs are drastically underclaimed — check your eligibility instantly with our Medicare Savings Estimator ↗.
What Is a Medicare Savings Program?
A Medicare Savings Program (MSP) is a state-administered Medicaid benefit that helps pay the out-of-pocket costs of Medicare for people with limited income and resources. The program is funded jointly by the federal government and each state, and eligibility is determined by your state Medicaid agency — not by Social Security or Medicare directly.
If you qualify for an MSP, your state effectively acts as a secondary payer, covering Medicare premiums and in some cases deductibles and copayments that would otherwise come directly out of your pocket. Many beneficiaries who qualify for MSPs also automatically qualify for Extra Help (Part D Low-Income Subsidy) — a related federal benefit that reduces prescription drug costs to near zero.
The programs are chronically underclaimed. SSA and CMS estimates consistently show that several million eligible seniors are not enrolled. The most common reason is simply not knowing the programs exist.
The Four Types of Medicare Savings Programs
Qualified Medicare Beneficiary (QMB)
The QMB program is the broadest MSP benefit. If you qualify, your state pays:
- Your Medicare Part A premium (up to $505/month in 2026 if you have fewer than 30 quarters of work credits)
- Your Medicare Part B premium ($185.00/month in 2026 for most people)
- Part A and Part B deductibles
- Part A and Part B copayments and coinsurance
QMB beneficiaries also receive automatic qualification for Extra Help (LIS) for Part D drug costs.
Specified Low-Income Medicare Beneficiary (SLMB)
The SLMB program pays your Medicare Part B premium only ($185.00/month in 2026). It does not cover deductibles or copayments. Like QMB, it automatically qualifies you for Extra Help.
Qualifying Individual (QI)
The QI program also pays only the Medicare Part B premium. It is funded by an annual federal grant, which means slots are limited and awarded on a first-come, first-served basis each calendar year. You must apply (or reapply) annually. QI beneficiaries also receive automatic Extra Help.
Qualified Disabled and Working Individuals (QDWI)
The QDWI program is for people under 65 who are disabled, have returned to work, and lost premium-free Part A. It pays the Medicare Part A premium only. Income limits for QDWI are higher than for the other three programs.
2026 Monthly Income Limits (Federal Guidelines)
States may use limits slightly higher than the federal guidelines shown below. Always verify with your state Medicaid office or use our Medicare Savings Program Estimator.
| Program | Single Person | Married Couple | What It Pays |
|---|---|---|---|
| QMB | ~$1,255/month | ~$1,704/month | Part A + B premiums, deductibles, copays |
| SLMB | ~$1,506/month | ~$2,046/month | Part B premium only |
| QI | ~$1,695/month | ~$2,296/month | Part B premium only |
| QDWI | ~$2,511/month | ~$3,407/month | Part A premium only |
Note: These are approximate 2026 federal poverty level-based limits. Your state may disregard certain income types, which means you may qualify even if your gross income slightly exceeds these amounts.
How Assets Are Counted
MSPs have resource limits separate from income limits. In 2026, the approximate limits are:
- Single person: $9,660 in countable resources
- Married couple: $14,470 in countable resources
Resources that are not counted include your primary home (regardless of value), one vehicle, personal belongings and household goods, life insurance with face value under $1,500, and burial funds up to $1,500.
Resources that are counted include checking and savings accounts, stocks, bonds, mutual funds, and additional real estate.
How to Apply
You apply for an MSP through your state Medicaid agency — not through Social Security. The two main ways to apply:
- Contact your State Health Insurance Assistance Program (SHIP): Free, unbiased counselors who can walk you through the paperwork. Call 1-800-MEDICARE (1-800-633-4227) and ask to be connected to your state SHIP.
- Apply online or in person at your state Medicaid office: Search “[your state] Medicaid application” or visit benefits.gov to find your state’s portal.
If you are already enrolled in Medicaid, you may automatically qualify — ask your caseworker whether MSP benefits have been applied to your Medicare account.
What Most Sources Don’t Tell You
Many QMB beneficiaries do not realize that providers are legally prohibited from billing you for Medicare cost-sharing if you have QMB. That means if a doctor or hospital charges you a Medicare copayment while you are enrolled in QMB, they are violating federal law. You can report violations to your State Medical Assistance office or 1-800-MEDICARE.
Additionally, if you were eligible for an MSP in prior months but were not enrolled, some states offer retroactive coverage — meaning they can cover Medicare costs you already paid. Ask specifically about retroactive eligibility when you apply.
Your Action Checklist
- Use the Medicare Savings Estimator to check your estimated eligibility (takes 2 minutes)
- Call your state SHIP (1-800-633-4227) to confirm eligibility and get application help
- Gather income documents: Social Security award letter, pension statements, bank statements
- Ask about retroactive coverage when you apply — it may recover costs you already paid
- If enrolled in QMB, save the confirmation letter — providers cannot bill you for copayments
- If applying for QI, apply early in the calendar year — slots are limited and awarded annually