Medicare Savings Programs help reduce your out-of-pocket Medicare costs by paying for your Part B premiums and your cost-sharing.
Three programs are available to low-income Vermonters. The programs are commonly called by their initials: QMB, SLMB and QI-1. When you apply, the State of Vermont will see if you are eligible for one of the three programs.
QMB
The 2023 maximum income levels for QMB are:
- $1,215 per month for individuals
- $1,644 per month for couples
QMB pays for your monthly Medicare Part A and Part B premiums. QMB also pays for your deductibles, copayments and coinsurance for Medicare Parts A and B.
See our note about income calculations, below.
SLMB and QI-1
SLMB and QI-1 pay for Part B premiums only. They do not cover other costs.
The 2023 maximum income levels for SLMB are:
- $1,458 per month for individuals
- $1,972 per month for couples
The 2023 maximum income levels for QI-1 are:
- $1,641 per month for individuals
- $2,219 per month for couples
See our note about income calculations, below.
Note: You cannot have QI-1 and Medicaid at the same time.
There is no resource limit for the Medicare Savings Programs. That means the state only looks at your income and not your savings or property.
Note about income calculations
The first step in calculating your income is to determine whether the income is “earned” or “unearned.”
If your income is earned income, such as money you earned from a job, the State of Vermont will calculate your countable income by subtracting $65 and then dividing the remaining income in half.
Example: Your monthly paycheck is $800.
Countable earned income: $800 minus $65 = $735 divided by 2 = $367.50. The State of Vermont will count $367.50 when determining eligibility for Medicare Savings Programs.
If your income is unearned, such as unemployment benefits or Social Security payments, the State of Vermont will subtract $20 when counting your countable unearned income.
Example: Your monthly Social Security payment is $800.
Countable unearned income: $800 minus $20 = $780. The State of Vermont will count $780 when determining eligibility for Medicare Savings Programs.
This can be confusing. If you need help, contact us at the Office of the Health Care Advocate (HCA) by filling out this form or calling 1-800-917-7787. There is no charge for our help.
How to apply
Call Green Mountain Care at 1-800-250-8427 to ask for an application. You should expect a decision within 30 days of submitting your application.
You can also get the applications online.
If you want to apply for both Medicare Savings Programs and Medicaid for Aged Blind and Disabled (MABD), use this “205ALLMED” application.
If you want to apply only for Medicare Savings Programs and/or VPharm, use this “201P” application. This application is shorter, but you will not be screened for MABD.
If you are denied, see our page about appealing state decisions.
