August 2005
Are You Eligible for Extra Help to
Pay for Medicare Prescripton Drug Costs?
Social Security Information
by Jennifer Haglund
Beginning in January 2006, Medicare will offer
prescription drug plans to beneficiaries. But now is the
time to see if you qualify for some extra financial help
in paying for your monthly premiums, annual deductibles
and prescription co-payments under the new program.
From late May through mid-August, Social Security
is mailing letters to nearly 19 million people who are potentially
eligible for this extra help. The letter includes an application
and a return-addressed, postage-paid envelope. The letter
will explain the prescription drug program, and tell you
how to apply for the extra help. Those who qualify for the
extra help could save an average of $2,100 per year.
Even if you do not get an application in
the mail, you still might be eligible for help with prescription
drug costs. See if you might qualify and apply online at
Social Security's website,
www.socialsecurity.gov
or call 1-800-772-1213 (TTY 1-800-325-0778) for more information
or to apply over the telephone.
To qualify for the extra help, a person or
married couple living together must have limited income
and resources. Individuals may qualify if your total annual
income is below $14,355 and your resources are valued below
$10,000. The limits for a married couple living together
are higher: $19,245 in combined annual income and $20,000
in resources. These resources can be slightly higher --
an additional $1,500 per person -- if you will be using
some of your money for burial expenses. Even if your income
is higher, you still may be able to get some help if, for
example, you or your spouse supports other family members
who live with you, if you have earnings from work or if
you live in Alaska or Hawaii .
There are also certain exclusions from both
income and resources. For example, your home and cars are
not counted as resources. So if you think you might be eligible,
you should apply.
Some beneficiaries will automatically qualify
for the extra financial help. Anyone who has both Medicare
and Medicaid, or Medicare and Supplemental Security Income,
or anyone whose state pays his or her Medicare premiums,
will not have to complete an eligibility application. But
even if you automatically qualify for extra help, you still
need to enroll in a Medicare-approved prescription drug
plan to obtain both coverage and the extra help.
For more information about getting extra help
with Medicare prescription drug costs, call Social Security
at 1-800-772-1213 (TTY 1-800-325-0778), or visit www.socialsecurity.gov.
To learn more about the Medicare prescription drug plans,
call 1-800-MEDICARE (1-800-633-4227) or visit www.medicare.gov.
