What is the impact of the Medicare prescription drug coverage on food stamps?
With the Extra Help to defer prescription drug costs, a consumer may see his/her Food Stamps benefit go down as they spend less on drugs, but the decline is expected to be more than offset by Medicare’s Extra Help. With Extra Help, consumers will have more cash to spend on things they need other than medications, like food. Changes in medical expenses should be reported when the consumer files to renew his/her Food Stamps benefit. However, if the consumer’s medical expense went up for any reason, he/she can report the increased cost at any time. Providers should give consumers who are receiving Food Stamps and are eligible for Extra Help a copy of the CMS Tip Sheet “Information Partners Can Use: Food Stamps,” 5/25/05.
