CMS recently issued a rule change
MSPs (QMB, QI, SLMB) are paid for by Medicaid, they pay for Medicare out of pockets like Part B or co-pays. In the past there was a requirement that before you could qualify you had to pursue all available sources of income and this would make most people ineligible once Social Security was added in to their income. The Centers for Medicare and Medicaid Services (CMS) has eliminated the requirement to apply for other benefits as a condition of Medicaid eligibility under 42 CFR § 435.608. Under this requirement, Medicaid applicants and recipients have been required, as a condition of their eligibility, to take all necessary actions to obtain other benefits to which they are entitled. Such benefits include, but are not limited to, annuities, pensions, retirement and disability benefits such as Veterans’ compensation and pensions, Social Security Retirement, Survivors, and Disability Insurance, Railroad Retirement benefits and unemployment benefits.
But don't MSPs have resource limits?
Not all states have resource limits. Alabama, Arizona, Connecticut, Delaware, Louisiana, Massachusetts, Mississippi, New Mexico, New York, Oregon, Vermont, and the District of Columbia do not have asset limits for MSPs (as of January 2026).
The plan is to delay Social Security to age 70 and keep income low enough. This means 5 years of Medicare costs become $0. And it is original Medicare, not Medicare Advantage. In my state QMB eligibility is set to 138% FPL (QMB basically pays for all Medicare out of pockets). QI (pays for Part B) is set to 186% FPL. CT has high QMB limits, $ 2,752.00 single. $ 3,719.00 couple.
MSPs also get you Extra Help Part D Low Income Supplement. This covers most of your Part D costs.
MSPs do not come under Estate Recovery rules for Medicaid, even though Medicaid pays for them.
MSPs (QMB, QI, SLMB) are paid for by Medicaid, they pay for Medicare out of pockets like Part B or co-pays. In the past there was a requirement that before you could qualify you had to pursue all available sources of income and this would make most people ineligible once Social Security was added in to their income. The Centers for Medicare and Medicaid Services (CMS) has eliminated the requirement to apply for other benefits as a condition of Medicaid eligibility under 42 CFR § 435.608. Under this requirement, Medicaid applicants and recipients have been required, as a condition of their eligibility, to take all necessary actions to obtain other benefits to which they are entitled. Such benefits include, but are not limited to, annuities, pensions, retirement and disability benefits such as Veterans’ compensation and pensions, Social Security Retirement, Survivors, and Disability Insurance, Railroad Retirement benefits and unemployment benefits.
But don't MSPs have resource limits?
Not all states have resource limits. Alabama, Arizona, Connecticut, Delaware, Louisiana, Massachusetts, Mississippi, New Mexico, New York, Oregon, Vermont, and the District of Columbia do not have asset limits for MSPs (as of January 2026).
The plan is to delay Social Security to age 70 and keep income low enough. This means 5 years of Medicare costs become $0. And it is original Medicare, not Medicare Advantage. In my state QMB eligibility is set to 138% FPL (QMB basically pays for all Medicare out of pockets). QI (pays for Part B) is set to 186% FPL. CT has high QMB limits, $ 2,752.00 single. $ 3,719.00 couple.
MSPs also get you Extra Help Part D Low Income Supplement. This covers most of your Part D costs.
MSPs do not come under Estate Recovery rules for Medicaid, even though Medicaid pays for them.
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