A:  If you have trouble covering the costs of your prescription drug plan, apply for the federal government’s “Extra Help” program.  “Extra Help” is available to all lower-income beneficiaries, and can be particularly valuable for Notch Babies who have few assets other than their Social Security benefits. 

 To qualify, your income in 2006 must be below $14,700 for individuals, $19,800 for married persons living with spouse.  Your savings and assets must be less than $10,000 (individuals) or $20,000 (couples).  The government, however, does not count the value of your home, vehicle(s), personal possessions, and certain other assets. 

Even if you are not sure you qualify, it’s well worth the effort to apply.  “Extra Help” pays for some, or all, of your drug plan premium, the annual deductible and co-payments.  It also provides very valuable coverage for Part D’s onerous “doughnut hole” gap.  It can substantially reduce costs for those who qualify.

In order to get “Extra Help,” you must apply to Social Security.  You may apply at your local Social Security Office, or online, but you will need to have certain documents such as bank statements.  To get more information about “Extra Help” and the documents needed to apply, call Social Security at 1-800-772-1213 or visit www.socialsecurity.gov.

I also strongly urge you to make sure that you’re enrolled in the most appropriate and cost effective drug plan for you — it sounds like you may not be.  You can get free, unbiased one-on-one counseling to apply for “Extra Help” and compare drug plans (and switch plans if need be) from your local Area Agency on Aging.  You can find the number listed in your phone book.  Because Medicare’s Open Enrollment period ends December 31, 2006, call and make an appointment today.

November 2006