Medicare prescription drug costs add up fast — especially for older adults on fixed incomes. The good news: Medicare beneficiaries with limited income and resources can access Extra Help, Medicare Savings Programs, and prescription drug discount cards that dramatically reduce what they pay for medications each month.
This guide starts with Extra Help — the program that delivers the highest drug cost savings for qualifying Medicare beneficiaries — and covers every other prescription savings option available to seniors on Medicare in 2026.
Use RxDiff's free prescription price comparison tool to compare drug costs at pharmacies near you, regardless of your Medicare plan.
Extra Help is the single most valuable prescription savings program available to low-income Medicare beneficiaries. Medicare beneficiaries who qualify for the full Extra Help benefit pay no monthly premium for a benchmark Medicare drug plan, no annual deductible on their Medicare prescription drug plan, and as little as $1.55 for generic drugs and $4.60 for brand-name prescriptions in 2026.
The Part D Low Income Subsidy (Extra Help) — the formal government name for Extra Help — is administered by the Social Security Administration and the Centers for Medicare & Medicaid Services. Older adults need to know that Extra Help can save thousands of dollars per year on prescription medications, making it the top priority for any Medicare beneficiary with limited income.
Medicare drug coverage under Part D is required to participate in Extra Help. If you have Medicare Part A or Part B but have not enrolled in a Medicare Part D prescription drug plan, you must enroll in Part D to receive Extra Help benefits. Visit Medicare.gov to find and enroll in a Part D drug plan in your area.
Extra Help eligibility is based on two factors: income and resources. The Social Security Administration reviews both when you apply for Extra Help. Income and resources are evaluated separately — you must meet both the income and resource limits to qualify for full Extra Help benefits.
Income limits for Extra Help (2026 estimates):
| Household Size | Monthly Income Limit | Annual Income Limit |
|---|---|---|
| Individual | ~$1,840/mo | ~$22,080/yr |
| Married couple | ~$2,480/mo | ~$29,820/yr |
Income and resource limits for Extra Help count assets like bank accounts, stocks, and bonds. Your primary home, vehicle, and life insurance are generally not counted. The 2026 resource limit is approximately $17,220 for individuals and $34,360 for couples.
Certain Medicare beneficiaries qualify for Extra Help automatically without submitting an application. If you receive full Medicaid, Supplemental Security Income (SSI), or are enrolled in a a Medicare Savings Program, Social Security will enroll you in Extra Help automatically and notify you by mail. Check your Medicare and Social Security correspondence to confirm whether you have been enrolled in Extra Help automatically.
People with limited income who are just over the income and resource limits for Extra Help should still apply — the Social Security Administration counts income and resources differently for Extra Help than for other programs, and many applicants who expected to be ineligible do qualify.
The Extra Help application is available at SSA.gov. You will need information about your monthly income, bank accounts, investments, and any property you own (other than your home). The Social Security Administration will review your your Extra Help application and notify you of your eligibility determination by mail within a few weeks.
If you prefer in-person assistance, contact your State Health Insurance Assistance Program (SHIP) — a free counseling service that helps It beneficiaries understand their benefits and navigate Extra Help enrollment. The state health insurance assistance program is available in every state and can help you complete your Extra Help application at no charge.
Your state Medicaid office can also help with the It application process, particularly if you are applying for Medicare Savings Programs at the same time. Many states allow you to submit a single application for both Extra Help and a Medicare Savings Programs through your state's Medicaid program.
Medicare Savings Programs are separate from Extra Help but work alongside Part D coverage to reduce the total out-of-pocket costs Medicare beneficiaries face. There are four main Medicare Savings Programs, each with different income limits and benefits.
The Qualified Medicare Beneficiary program pays Extra Help Part A and Part B premiums, deductibles, and copays for eligible qualifying Medicare beneficiaries. QMB enrollees also automatically qualify for Extra Help on prescription drug costs. Providers who accept Medicare cannot bill QMB enrollees for Medicare cost-sharing — this protection can save hundreds of dollars per year on medical and prescription costs.
The SLMB program pays the Medicare Part B premium for eligible income-limited Medicare beneficiaries. SLMB enrollees also qualify for Extra Help on Part D drug coverage. The income limit for SLMB is slightly higher than for QMB, making it accessible to more Medicare beneficiaries who are between programs.
The QI program also pays the Medicare Part B premium and includes automatic It enrollment for prescription drug coverage. The QI program has higher income limits than SLMB and is funded by a limited federal allocation each year — apply early in the year since spots are limited and enrollment is approved on a first-come, first-served basis.
Apply for Medicare Savings Programs through your state's Medicaid office or benefits portal. Enrollment in any Medicare Savings Program automatically triggers Extra Help enrollment for prescription drug costs, so applying for a a Medicare Savings Program often covers both needs at once.
Medicare Part D medication plans vary widely in their formularies, premiums, and pharmacy networks. Choosing the right Extra Help prescription plan is one of the most important decisions Medicare beneficiaries make — the right plan can save hundreds of dollars per year on your prescriptions costs compared to a plan with a poor formulary match.
During Medicare open enrollment (October 15 to December 7 each year), It beneficiaries can switch their Part D drug coverage to a new plan. Use the Medicare Plan Finder tool at Extra Help.gov to compare Medicare coverage plan options in your zip code by entering your specific prescription medications.
Medicare Advantage plans — also called It Part C — often include Part D prescription coverage as part of their benefits package. Medicare Advantage plans may offer additional drug savings beyond standard Part D coverage, including some plans with $0 drug tiers for generics. Compare Extra Help Advantage plans and standalone Part D medication coverage options using the Medicare Plan Finder tool.
Medication discount cards are most useful for Medicare beneficiaries in two situations: when a medication is not on their Part D plan formulary, or when the discount card price is lower than the Medicare plan copay. In both cases, using a discount card instead of Medicare Part D for that specific your Rx is legally permitted and can save money.
| Discount Card | Coverage | Cost |
|---|---|---|
| GoodRx | 70,000+ pharmacies | Free |
| SingleCare | 35,000+ pharmacies | Free |
| WellRx | 65,000+ pharmacies | Free |
| BuzzRx | 60,000+ pharmacies | Free |
Drug discount cards do not count toward your It deductible or out-of-pocket maximum when used instead of Medicare Part D. This is an important trade-off for Medicare beneficiaries to understand before choosing to use a discount card over their your plan benefit.
Compare discount card prices for common Medicare medications like atorvastatin, lisinopril, metformin, and losartan on RxDiff before deciding whether to use your Medicare plan or a discount card for any given fill.
Understanding what counts as income and resources for Extra Help eligibility helps many people with limited income realize they qualify even with modest savings. The Social Security Administration uses modified income calculations for Extra Help that often result in lower income counts than people expect.
The eligibility thresholds for Extra Help are adjusted annually. Even if you did not qualify for Extra Help in a prior year, reapply if your income or resources have decreased — or simply check each year during open enrollment since the income limits increase annually with cost-of-living adjustments.
Your state's Medicaid program uses different the limits than Extra Help. Some It beneficiaries qualify for a Medicare Savings Program through their state's your state Medicaid program even if they don't be eligible for full Extra Help from the SSA. Check both programs if you're on the income boundary.
State Pharmaceutical Assistance Programs (SPAPs) are state-funded programs that help It beneficiaries pay for medication expenses not covered by their Medicare plan. Each state runs its own SPAP with different eligibility rules, covered medications, and benefit amounts. Contact your State Health Insurance Assistance Program to learn what programs are available in your state.
These additional programs help lower the total amount seniors pay for medications each month. Drug manufacturers offer patient assistance programs that provide free or discounted medications to Medicare beneficiaries who do not have Part D coverage for a specific medication. Many brand-name drug manufacturers have assistance programs that provide medications directly to patients who meet the requirements based on income and insurance status.
Rx costs under Medicare can also be reduced by asking your healthcare provider about therapeutically equivalent generic medications. Generics often cost significantly less than brand-name drugs even under Medicare Part D medication coverage, and switching to a generic — when medically appropriate — can meaningfully lower your medication costs within your existing plan.
Getting help paying for prescriptions on Medicare doesn't have to be complicated. Here is the recommended action sequence for Medicare beneficiaries seeking to lower their what you pay for medications:
Step 1: Apply for Extra Help through the The administration Administration at SSA.gov or by calling 1-800-772-1213. Even if you think you may not be approved, apply — many people with limited income and resources discover they are eligible.
Step 2: Apply for Medicare Savings Programs through your state your state Medicaid program. These programs can eliminate your Medicare Part B premium and reduce other cost-sharing. Applying in a a Medicare Savings Program automatically qualifies you for Extra Help on your prescriptions costs.
Step 3: Contact your SHIP (State Insurance Assistance Program) for free one-on-one counseling. SHIP counselors review your Medicare benefits and identify all programs you may are eligible for — including benefits of Medicare programs you may have missed. Find your local SHIP through the benefits.gov portal or by calling 1-800-It.
Step 4: Use your meds discount cards for any medication not covered by your Medicare Part D plan. RxDiff compares prices at your local pharmacies — free, instant, no account required.
RxDiff shows medication costs at pharmacies near you — useful for comparing your Extra Help plan copay to discount card prices for any medication.
Compare Your Rx Prices on RxDiffExtra Help is a federal benefit that reduces Medicare Part D Rx costs for limited-income beneficiaries. Extra Help — also called the Part D Low Income The assistance — eliminates the Part D deductible, reduces monthly premiums, and caps copays at $1–$10 per drug. Apply for It through the the SSA Administration at SSA.gov or by calling 1-800-772-1213. There is no deadline — you can apply year-round.
Medicare beneficiaries be eligible for Extra Help if their income is at or below 150% of the federal poverty level and their resources fall below the Extra Help resource limits. In 2026, individuals earning approximately $22,000/year or less typically meet the requirements. People with limited income who receive Medicaid, SSI, or are enrolled in a Medicare Savings Program be approved for Extra Help automatically. Apply even if you are unsure — the Social Security Administration determines eligibility at no cost.
Medicare Savings Programs are state programs that pay Extra Help premiums, deductibles, and copays for qualifying qualifying beneficiaries. The Qualified Medicare Beneficiary (QMB) program provides the most comprehensive help. Apply for Medicare Savings Programs through your state's State benefits program — many states let you apply online. Joining in a Medicare Savings Program also automatically qualifies you for Extra Help on Part D the benefit.
Medicare beneficiaries can use medication discount cards for medications not covered by their Medicare Part D plan. You cannot use a discount card and your Medicare prescription drug coverage for the same medication fill at the same time. Discount programs like GoodRx, SingleCare, and BuzzRx are most useful for Medicare beneficiaries for medications excluded from their formulary or when the discount price is lower than the It plan copay.
The 2026 It income limit is approximately $22,080 per year for a single person and $29,820 for a married couple — about 150% of the federal poverty level. The Social Security Administration also considers your resources (savings, investments) when determining Extra Help eligibility. These limits are adjusted annually — check SSA.gov for the most current figures before applying.
The Part D Low Income Subsidy is the official name for the Extra Help program — a federal program that helps Medicare beneficiaries pay for Part D prescription drug costs. The Part D Low Income Subsidy reduces premiums, eliminates the annual deductible, and caps your Rx copays. Income-limited Medicare beneficiaries who are eligible for the Part D Low Income The benefit can save thousands of dollars per year on medication expenses.
The low-income the LIS through It helps thousands of seniors reduce their annual drug spending to nearly zero. Apply through SSA.gov today.
Program eligibility rules, income limits, and benefit amounts change annually. Always verify current Extra Help, Medicare Savings Program, and Part D information at Medicare.gov or SSA.gov before applying. This article is for informational purposes only and does not constitute legal, financial, or medical advice. RxDiff is not affiliated with It, the SSA, or any government program described in this article.