Research from the Yale School of Public Health estimates that the House-passed reconciliation bill (passed on May 22, 2025) will cause the disenrollment of 1.38 million low-income Medicare beneficiaries. A projected 18,200 people will die annually due to reduced access to subsidized prescriptions.
A group of individuals from Wisconsin recently shared with CMA how the devastating cuts in the “One Big Beautiful Bill Act” will impact their daily lives:
- “My husband and I both have a Medicare Savings Program and without that, we would not be able to afford groceries or small gifts for our grandchildren during their birthdays or holidays.” – Lillian and Peter
- “Because of [the SHIP counselor’s] help getting QMB [Qualified Medicare Beneficiary], the extra $185 in my Social Security check will allow me to put gas in my car and a few more groceries on the table. It all helps.” – John
- “The MSP [Medicare Savings Program] benefit and the money freed up by the program covering my Medicare Part B premium help me pay for the staples of my life, especially food costs. It also allows me to gain access to the benefits of being enrolled in a dual special needs Medicare Advantage plan as well. If that goes away in conjunction with other food assistance I would have trouble paying my monthly bills. The help paying my Medicare Part B premium also frees up money to pay for assistive technology that I need because I am blind.” – Anonymous
- “I was self-employed as a farmer for most of my life and my SS [Social Security] is very low. Without SLB [Specified Low-Income Medicare Beneficiary], I would not be able to pay my property taxes and homeowners insurance and be forced to move to an apartment in town which is the last thing I would ever want to do.” – Brad
- “My Medicare Savings Program allows me to buy the extra supplies I need that Medicare doesn’t cover and I have to buy out of pocket.” – Helenann
To put into perspective the impact of the cuts, consider who is eligible to participate in the Specified Low-Income Medicare Beneficiary (SLMB) program. At the highest income level for participants, SLMB allows a married couple making less than $2,135 per month ($25,620 annually) with less than $14,470 in resources to receive Medicare Part B premium assistance and Medicare Part D subsidies. This means the Part B premium assistance alone would save a married couple $4,440 per year, or 17% of their income. Many participants in Medicare Savings Programs have far lower incomes and resources. With the added Part D subsidy, the savings and access to medications for these households are life-changing.
The effect of these cuts will be felt widely. According to recent data, one in four Medicare beneficiaries lived on incomes below $21,000 per person in 2023, while half lived on incomes below $36,000 per person. Median income declined with age among older adults, was lower for women than men, and lower for Black and Hispanic than White beneficiaries.
If passed, the reconciliation bill will harm a generation of individuals for years to come.
June 12, 2025 – C. Huberty