Everyone who has Medicare Part B pays a monthly premium. These premiums are adjusted annually. The standard Part B premium in 2025 is $185 per month and is projected to be $206.50 in 2026. Some people with higher incomes may pay more based on an IRMAA surcharge. If you, like many seniors, live on a limited income, you may find your Medicare expenses difficult to afford. If you struggle to pay your Part B premium, there are programs that can help if you qualify.
Medicare Savings Programs
There are three Medicare Savings Programs (MSP’s) that offer assistance paying for Part B premiums, Each program has its own unique benefits and eligibility requirements.
These programs are federally funded and administered by each state. The guidelines and requirements set by each state will vary. If you meet your state’s income and resource limits they will determine which programs you qualify for. Even if you believe your income is above the limit set in your state you should still apply because in some states certain income and resources may not be counted when determining your eligibility.
Many people who qualify for MSP’s also qualify for Medicaid, known as dual eligibility. If you qualify for an MSP you may also automatically qualify for Extra Help which helps cover the costs of prescription drugs, including Part D deductibles and copays. If you qualify for Medicare Savings Programs and Extra Help you could save as much as $8,420 annually.
What counts as income:
- Social Security benefits
- Railroad, state, or local retirement benefits
- Investment interest or dividends
- Gifts or contributions
- Civil service annuities
- Veteran or private pension benefits
- Earnings or wages
- Royalties and rental income
- The value of food, clothing, or shelter paid by someone else including a spouse
What does not count as income:
- The first $20 your monthly income
- The first $65 of your monthly wages
- Half of your monthly wages (minus the $65)
- Food stamps
What counts as a resource:
- Money in the bank such as a checking or savings account
- Investments such as CDs, retirement accounts, stocks, and bonds
- Life insurance policies with a face value over $1,500
- Real estate not considered your primary residence
What does not count as a resource:
- Your primary residence where you live
- One car (additional vehicles, boats, and motorcycles count as resources)
- Burial plot and burial funds up to $1,500 per person
- Furniture, household, and personal items
Income and Resource Limits Change Every Year
Income and resource limits for Medicare Savings Programs change every year based on the Federal Poverty Guidelines. These numbers are released each January, and your state’s Medicaid agency may not implement the new year’s guidelines until March or April.
Below are the baseline federal income and resource limits for 2025. Most states use these limits, but some states have different guidelines. Some states, for example, have higher income limits and some states do not apply asset limits. It’s important to check the requirements in your state.
Qualified Medicare Beneficiary (QMB) Program
QMB pays your Part B premium, as well as your Part A premium if you have one. It also pays any deductibles, coinsurances and copayments for any Medicare covered services.
Monthly Income Limits:
- Individual: $1,325
- Married Couple: $1,783
Resource Limits:
- Individual: $9,660
- Married Couple: $14,470
You must show your Medicare and Medicaid (or QMB) card each time you see the doctor. If you qualify for this program providers cannot bill you for any services or items covered by Medicare including deductibles, copays, and coinsurance. You will also qualify for Extra Help and pay no more than $12.15 in 2025 for each drug covered by your Medicare drug plan.
Specified Low Income Medicare Beneficiary (SLMB) Program
SLMB helps pay for Part B premiums. You must have Part A and B to qualify.
Monthly Income Limits:
- Individual: $1,585
- Married Couple: $2,135
Resource Limits:
- Individual: $9,660
- Married Couple: $14,470
If you qualify for this program you also qualify for Extra Help and will pay no more than $12.15 in 2025 for each drug covered by your Medicare drug plan.
Qualifying Individual (QI) Program
QI helps pay for Part B premiums. You must have Part A and B to qualify.
Monthly Income Limits:
- Individual: $1,781
- Married Couple: $2,400
Resource Limits:
- Individual: $9,600
- Married Couple: $14,470
QI is only available to those who don’t qualify for or receive any other Medicaid benefits. Eligibility is reviewed every year, and recipients must apply each year to stay in the program. States approve applications on a first come first served basis with priority given to those already in the program. If you qualify for this program you also qualify for Extra Help and will pay no more than $12.15 in 2025 for each drug covered by your Medicare drug plan.
How to Apply
Call your local Medicaid office to determine if you are eligible for an MSP in your state. You can also call 1-800-MEDICARE to ask about financial assistance with your Medicare premiums. They can provide you with the phone number for the Medicaid office in your state.
If You Pay a Part B IRMAA Surcharge
If you are paying a Part B IRMMA (Income Related Monthly Adjustment Amount) surcharge and your income has decreased due to a qualifying event, you can ask Social Security for a redetermination. Surcharge fees are adjusted annually based on your modified gross income reported on your tax filings from two years ago.
Qualifying events include:
- Marriage, divorce, or annulment
- Spouse’s death
- Loss of job or reduced hours
- Loss of income generating property
- Reduction or loss of your pension
- A settlement from an employer
You may qualify to get a refund or credit on the Part B premiums that you overpaid due to IRMAA fees.
Silver&Smart keeps you up to date on Medicare information, as well as current events, planning for retirement costs and traveling. Subscribe today.
