What each program pays
Medicare Savings Programs are run by each state's Medicaid program. In Arizona that is AHCCCS, and AHCCCS does not charge people enrolled in a Medicare Savings Program. The three programs AHCCCS offers are:
| Program | Income limit (share of the federal poverty level) | What AHCCCS pays |
|---|---|---|
| QMB | Up to 100% | Part A premium (if you owe one), Part B premium, and Medicare deductibles, coinsurance and copays |
| SLMB | Above 100%, up to 120% | Part B premium |
| QI-1 | Above 120%, up to 135% | Part B premium (you can't get QI-1 while you get other Medicaid benefits) |
The Part B premium is $202.90 a month in 2026. Once a program starts paying it, the premium stops coming out of your Social Security check, which can take a few months to show up. For QMB, the cost-sharing help is just as valuable: providers who accept Medicare may not bill a QMB for Medicare deductibles, coinsurance or copays, including the Part B deductible ($283 in 2026) and the Part A hospital deductible ($1,736 per benefit period in 2026).
Arizona's income limits
AHCCCS compares your monthly household income, after the deductions its rules allow, to a percentage of the federal poverty level (FPL). The percentages are in the table above. AHCCCS updates the dollar amounts every year when the federal poverty guidelines change (its current chart took effect February 1, 2026) and publishes them, for one person and for a couple, in its eligibility requirements chart.
Why the numbers on Medicare.gov look a little different: Medicare.gov publishes national limits that already include a small standard income disregard, while AHCCCS lists the limit it applies to your income after deductions. Use AHCCCS's chart for Arizona, and if you are close to a limit, apply anyway and let AHCCCS do the math.
Income includes Social Security, pensions, wages and most other money you receive. If you are married and live with your spouse, AHCCCS uses the couple's income and the couple limit.
No resource test in Arizona
Many states also limit how much you can have in savings to qualify. Arizona does not. AHCCCS lists the resource limit for QMB, SLMB and QI-1 as "N/A," and the Arizona Administrative Code says resources such as cash, financial accounts, real property, vehicles, trusts and life insurance are not considered for these programs. Medicare.gov's national page shows a resource limit, but it does not apply in Arizona. Savings, a paid-off home or a second car will not keep you out of a Medicare Savings Program here.
Other requirements
- You must be entitled to Medicare Part A. If you don't have Part A because you would have to pay a premium for it, QMB can pay that premium; ask AHCCCS or Social Security how to enroll.
- You must live in Arizona and be a U.S. citizen or qualified immigrant.
- You must give a Social Security number.
If you are under 65, have a disability and work
Federal law also has a fourth Medicare Savings Program, Qualified Disabled and Working Individuals (QDWI), which pays only the Part A premium for some people under 65 who went back to work and now have to pay a premium to keep Part A. AHCCCS's eligibility chart does not list QDWI separately, so ask AHCCCS if it might apply to you. Arizona also has Freedom to Work, which gives full AHCCCS coverage to working people ages 16 through 64 who are blind or have a disability, with income up to 250% of the FPL (only earned income counts) and a monthly premium for some members.
Extra Help with Part D drug costs
Extra Help (also called the Low-Income Subsidy) lowers what you pay for Medicare Part D drug coverage. It is a federal program run by Social Security, not AHCCCS, but the two are linked:
- Automatic with a Medicare Savings Program. If AHCCCS approves you for QMB, SLMB or QI-1, or you have full AHCCCS coverage or SSI, you get Extra Help automatically. You don't need a separate application.
- An Arizona advantage. Extra Help has its own resource limit ($16,590 for one person and $33,100 for a married couple in 2026, or $18,090 and $36,100 if you expect to use some savings for burial). Because Arizona's Medicare Savings Programs have no resource test, someone with savings above those amounts can still qualify for a Medicare Savings Program through AHCCCS and then get Extra Help automatically.
- Applying directly. If you don't qualify for a Medicare Savings Program, you can still apply for Extra Help with Social Security at ssa.gov or 1-800-772-1213. In 2026, the income limit is $23,940 a year for one person and $32,460 for a married couple (150% of the federal poverty level).
With Extra Help in 2026, you pay no more than $5.10 for each generic drug and $12.65 for each brand-name drug. Full AHCCCS members with income at or below 100% of the poverty level pay no more than $1.60 and $4.90. All Part D enrollees also have a $2,100 yearly cap on out-of-pocket drug costs in 2026.
- No late enrollment penalty. You won't pay a Part D late enrollment penalty while you get Extra Help.
- Monthly plan changes. If you have AHCCCS or Extra Help, you can switch standalone Part D plans, or leave a Medicare Advantage plan for Original Medicare with a standalone Part D plan, once a month. The change starts the first day of the next month. Since 2025, this monthly option no longer lets you switch from one Medicare Advantage plan to another; people with full AHCCCS coverage have a separate monthly option to join an integrated D-SNP (see AHCCCS and Medicare).
How to apply
- Online: Health-e-Arizona Plus (healthearizonaplus.gov).
- By phone: 1-855-HEA-PLUS (1-855-432-7587).
- In person: a DES Family Assistance Office. Call 1-855-HEA-PLUS for the nearest one.
- By mail: AHCCCS accepts mailed applications for the Medicare Savings Programs; the address is on its eligibility requirements chart.
Have your Medicare card, Social Security number and proof of income (such as your Social Security benefit letter and pension statements) ready. You will need to renew your eligibility with AHCCCS, so open and answer any mail from AHCCCS promptly.
Tip: Not sure if you're close? Our savings programs calculator gives a quick estimate. AHCCCS makes the final decision.
After you're approved
A Medicare Savings Program does not change your Medicare coverage by itself, but it opens some choices, including dual special needs plans (D-SNPs) for people with both Medicare and AHCCCS, where they are available in your county. A licensed insurance agent with Benefits Life can explain the Medicare plans from the companies they work with that fit your AHCCCS program, at no cost to you. Call (602) SENIORS (602-736-4677), TTY 711, or see plans in your ZIP code.
Sources
- AHCCCS — Eligibility Requirements (effective February 1, 2026)
- AHCCCS Eligibility Policy Manual — 409 Medicare Savings Program (MSP)
- Arizona Administrative Code R9-29-207 — Resources (Medicare Savings Programs)
- Medicare.gov — Medicare Savings Programs
- Medicare.gov — Help with drug costs (Extra Help)
- CMS — CY 2026 Resource and Cost-Sharing Limits for Low-Income Subsidy
- Social Security — Extra Help with Medicare prescription drug plan costs
- Medicare.gov — Special Enrollment Periods
- eCFR — 42 CFR 423.38, enrollment periods
Frequently asked questions
Does Arizona have an asset test for Medicare Savings Programs?
No. AHCCCS lists no resource limit for QMB, SLMB or QI-1, and Arizona's rules say resources such as cash, bank accounts, property, vehicles and life insurance are not considered for these programs. Only your income counts.
What are the income limits for QMB, SLMB and QI-1 in Arizona?
AHCCCS sets them as a share of the federal poverty level after allowed deductions: QMB up to 100%, SLMB above 100% up to 120%, and QI-1 above 120% up to 135%. AHCCCS updates the dollar amounts each year when the poverty guidelines change, and publishes them in its eligibility requirements chart.
Will I get Extra Help if I qualify for a Medicare Savings Program?
Yes. People with a Medicare Savings Program, full AHCCCS coverage or SSI get Extra Help automatically, without a separate application. Because Arizona's Medicare Savings Programs have no resource test, this can be a path to Extra Help for people whose savings are above Extra Help's own resource limit.
Can I change my Medicare drug plan more often with Extra Help?
Yes. If you have AHCCCS or Extra Help, you can switch to a different standalone Part D plan, or from a Medicare Advantage plan to Original Medicare with a standalone Part D plan, once a month. The change takes effect the first day of the next month.
How do I apply for a Medicare Savings Program in Arizona?
Apply through AHCCCS online at Health-e-Arizona Plus (healthearizonaplus.gov), by phone at 1-855-HEA-PLUS (1-855-432-7587), at a DES Family Assistance Office, or by mailing an application to AHCCCS. You need a Social Security number and must be entitled to Medicare Part A.
