Medicare Savings Program: 2026 Income Limits, What It Pays, and How to Apply

What Are Medicare Savings Programs?

Medicare Savings Programs (MSPs) are financial assistance programs for low-income Medicare beneficiaries. They're funded jointly by the federal government and the states and administered by your state Medicaid office — but you do not need to be on full Medicaid to get one. Each MSP pays some portion of your Medicare costs directly, so the money never has to leave your pocket in the first place.

There are four programs. QMB is the most generous and has the lowest income limit. SLMB and QI pay only your Medicare Part B premium. QDWI is a narrow program for disabled workers who lost premium-free Part A when they returned to work. Which one you fit into depends almost entirely on your monthly income.

The Four Programs at a Glance

Qualified Medicare Beneficiary (QMB)

QMB pays your Part A premium (if you owe one), your Part B premium, and all Medicare deductibles, coinsurance, and copays. That includes the $283 Part B deductible and the $1,736 hospital deductible in 2026. Providers are legally barred from billing QMB enrollees for Medicare cost sharing — a protection called "no balance billing." For someone with even one hospital stay a year, QMB can be worth $9,000 or more. Read our full QMB guide for 2026 limits, billing protections, and how to apply.

Specified Low-Income Medicare Beneficiary (SLMB)

SLMB pays your Part B premium only — $202.90 a month in 2026. Your Social Security check goes up by that amount because the premium is no longer deducted. SLMB can coexist with full Medicaid. Read our full SLMB guide for 2026 limits and how to apply.

Qualifying Individual (QI)

QI is the same benefit as SLMB — the Part B premium — but with a higher income limit. The catch: QI is funded by an annual block grant, so states can stop enrolling new applicants if funds run out, and you cannot have QI and full Medicaid at the same time. Apply early in the year if you can. Read our full QI guide for 2026 limits and how to apply.

Qualified Disabled and Working Individual (QDWI)

QDWI pays the Part A premium for people under 65 who lost premium-free Part A because they went back to work after disability. It has the highest income limit of the four but the strictest asset test.

2026 Income Limits and Resource Limits

These are the federal limits effective 2026. Your state may allow higher income or skip the asset test entirely.

• QMB: monthly income up to $1,350 (individual) or $1,824 (couple); resources up to $9,950 / $14,910
• SLMB: monthly income up to $1,616 (individual) or $2,184 (couple); resources up to $9,950 / $14,910
• QI: monthly income up to $1,816 (individual) or $2,455 (couple); resources up to $9,950 / $14,910
• QDWI: monthly income up to $5,405 (individual) or $7,299 (couple); resources up to $4,000 / $6,000

Two notes on the math. First, these figures already build in the $20 general income disregard, so compare them against your gross monthly income minus $20. Second, the resource limit is indexed each year — the 2026 figure rose from $9,660 in 2025.

Several states — including New York, Connecticut, Delaware, Maine, and Mississippi — have eliminated the asset test for some or all MSP tiers, and others use higher income thresholds than the federal limits. If you're close to the line, apply anyway and let the state do the math.

What Counts Toward the Resource Limit

Countable assets include:

• Checking and savings accounts
• Stocks, bonds, mutual funds, and CDs
• Real estate other than your primary home
• A second vehicle

Not counted:

• Your home, no matter its value
• One vehicle
• Household goods, personal effects, and wedding rings
• Burial plots and up to $1,500 per person in designated burial funds
• Life insurance with a face value under $1,500

Many homeowners with modest savings qualify and never realize it — the home and first car are completely exempt.

How to Apply Through Your State Medicaid Office

You can apply for a Medicare Savings Program at any time of year — there's no enrollment window. Applications go to your state Medicaid agency, not Social Security. Most states let you file online, by mail, or in person, and the state has up to 45 days to decide.

Bring or upload:

• Your Medicare card and photo ID
• Your Social Security benefit letter
• Bank statements from the last two to three months for every account
• Proof of any other income (pension stubs, annuity statements)
• Proof of citizenship or lawful residence

Timing matters. SLMB and QI benefits can be backdated up to three months before your application date, which means a retroactive refund of premiums you already paid. QMB does not backdate — coverage starts the month after approval — so file the moment your income or assets fall under the limit.

Extra Help Comes With It Automatically

Enrolling in QMB, SLMB, or QI automatically qualifies you for Extra Help, the Medicare Part D low-income subsidy. In 2026 that means prescription copays of about $5.10 for generics and $12.65 for brand-name drugs, no Part D premium for benchmark plans, and the $2,100 annual out-of-pocket drug cap. Extra Help alone is worth thousands per year — and with an MSP, there's no separate application.

MSPs also stack with other benefits. Many enrollees qualify for SNAP as well — our SNAP calculator for seniors gives a quick estimate — and dual-eligible beneficiaries often qualify for Medicare Advantage plans with flex card benefits.

Common Mistakes That Cost People Money

• Assuming you won't qualify. The MSP resource limit is nearly five times higher than the SSI limit, and your home and car don't count.
• Applying at the Social Security office. SSA doesn't process MSP applications; your state Medicaid office does.
• Waiting to apply. Every month you delay on SLMB or QI is a month of premiums you may not get back beyond the three-month backdating window.
• Not reporting income drops. If your income falls, you may move from SLMB up to QMB and gain full cost-sharing protection.
• Paying a balance bill on QMB. If a provider bills you for a Medicare copay while you're on QMB, that's illegal — report it to your state Medicaid office.

Medicare Savings Programs FAQ

What are Medicare Savings Programs?

State-administered programs that pay Medicare costs for people with limited income and assets. SLMB and QI pay the monthly Part B premium ($202.90 in 2026). QMB pays premiums plus all Medicare deductibles, copays, and coinsurance. QDWI pays the Part A premium for disabled workers who returned to work.

What are the income limits to get help with Medicare costs?

For 2026, the federal limits for an individual are $1,350 a month for QMB, $1,616 for SLMB, and $1,816 for QI — each with a $9,950 resource limit. Couples' limits are $1,824, $2,184, and $2,455 with $14,910 in resources. Some states set higher limits or waive the asset test.

Are Medicare Savings Programs the same as Medicaid?

No. Your state Medicaid agency runs them, but they are separate benefits with much higher income and asset limits than full Medicaid. You can get an MSP without qualifying for Medicaid coverage. QMB and SLMB can be combined with full Medicaid if you qualify for both; QI cannot.

How much money can I have in the bank and still qualify?

Up to $9,950 as an individual or $14,910 as a married couple in 2026 for QMB, SLMB, and QI — counting bank accounts, investments, and CDs, but not your home, one car, or personal belongings. Several states have no asset test at all.