Medicare Low-Income Subsidy (LIS) – Extra Help
- Diane Andree
- Apr 22
- 2 min read
If you are struggling to pay the high cost of your prescription drugs, you may be able to get help. Medicare’s Low-Income Subsidy (LIS), also called Extra Help, is a federal program designed to help people with limited income and resources pay their Medicare Part D prescription drug costs.
What Extra Help Covers
If you qualify, Extra Help can save you hundreds, or even thousands of dollars by covering:
Your Part D premium — often $0
Your Part D deductible — $0
Lower prescription copays
In 2026, most people who qualify will pay no more than:
$5.10 for each generic drug
$12.65 for each brand-name drug
Once your total drug costs reach $2,100, you will pay $0 for all covered prescriptions for the rest of the year.
Who Can Qualify?
Eligibility is based on your income and your resources (assets). For 2026, the limits are:
Income
$23,940 per year for an individual
$32,460 per year for a married couple
Resources
$18,090 for an individual
$36,100 for a married couple
What Counts as Resources? Resources may include:
Bank accounts
Stocks and bonds
Certificates of deposit
Cash value of life insurance
Real estate other than your primary home
The following do not count:
Your home
One car
Household furnishings
Personal belongings
Burial plots
Up to $1,500 set aside for burial expenses per person
Some people qualify automatically, including anyone who has:
Medicaid
A Medicare Savings Program that helps pay Part B
Supplemental Security Income (SSI)
How It Works
If you qualify and do not already have a Medicare drug plan, Medicare will automatically enroll you in one. You will receive a letter telling you which plan you were assigned to, and you can change to a different plan if you prefer. Even if your income changes during the year, you will continue to receive Extra Help through December 31. If you still qualify the following year, your Extra Help continues automatically. Another important benefit is that if you qualify for Extra Help, you do not have to pay a Medicare Part D late enrollment penalty.
People who receive Extra Help may also be able to change their Medicare drug coverage once per month if needed.
How to Apply - Applying is quick and free. You can apply:
Online application - https://www.ssa.gov/medicare/part-d-extra-help
By calling Social Security at 1-800-772-1213
In person at your local Social Security office
Get free help applying from local State Health Insurance Assistance Program (SHIP).
Many people who qualify never apply because they assume they make too much or have too many savings. It is worth checking, because this program can make a big difference in the cost of your prescriptions.
Comments