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Will people lose their food stamp benefits if they apply and qualify for extra help paying for the new Medicare prescription drug coverage?

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Will people lose their food stamp benefits if they apply and qualify for extra help paying for the new Medicare prescription drug coverage?

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If they apply and qualify for extra help paying for the new Medicare prescription drug coverage, they may see your food stamp benefits go down as you spend less on drugs. Food stamp allocations are usually determined by income and expenditures. If a person saves a certain percentage on medications, they may lose that amount of money that goes towards food stamps. However, it should not cause them to lose their food stamps (called federal assistance services 4/11/06).

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