Unclaimed Senior Benefits: $30 Billion Left on the Table

The $30 Billion Crisis: Benefits Seniors Have Earned But Aren’t Claiming

Author: Rachel Thompson, Benefits Research Specialist

Last updated: October 17, 2025

Next review: January 2026

This senior benefits guide for 2025 outlines how stacking SNAP, Extra Help, and Medicare Savings Programs can boost a limited budget each month.

---

EMERGENCY HELP – TAKE ACTION NOW

If you need immediate assistance:

Food Crisis: SNAP Hotline: 1-800-221-5689 – Say: “I’m 65+, my income is [amount], I need emergency food assistance.”

Heating/Utility Shutoff: LIHEAP: 1-866-674-6327 – Say: “I received a shutoff notice and need crisis energy assistance.”

If a shutoff is looming, this emergency utility bill help for seniors walkthrough shows fast options and who to call first. Keep this utility help cheat sheet (PDF) for phone numbers and documents to have ready.

Prescription Costs: Social Security: 1-800-772-1213 (TTY: 1-800-325-0778) – Say: “I need to apply for Medicare Extra Help for prescription drug costs.”

---

QUICK HELP BOX

• Social Security/SSI: 1-800-772-1213 (TTY: 1-800-325-0778)
• SNAP Food Assistance: 1-800-221-5689
• Free Benefits Screening: BenefitsCheckUp.org or dial 211
• Medicare Questions: 1-800-633-4227
• State Health Insurance Assistance: Find your SHIP
• For a quick overview of options beyond SNAP, scan these food programs for seniors.

The Area Agency on Aging directory lists local offices that provide free application assistance and benefits counseling.

---

The Problem: Billions in Earned Benefits Go Unclaimed

Margaret, 73, lives on $1,450 monthly Social Security. After paying $750 rent and $185 Medicare Part B premium, she has $515 remaining for everything else. She often skips dinner to stretch her food budget.

What Margaret doesn’t know: She qualifies for approximately $373 in additional monthly support through SNAP food assistance ($188 average cash benefit) and the Medicare Savings Program that would cover her Part B premium ($185 saved monthly). She may also qualify for Extra Help that could save her an estimated $5,900 annually on prescription drug costs.

She’s never applied. When asked why, she says: “Someone else probably needs it more.”

Margaret represents a widespread issue. According to National Council on Aging analysis, older Americans leave approximately $30 billion in benefits unclaimed annually. This isn’t a matter of ineligibility—these are benefits seniors have earned through decades of tax contributions but aren’t accessing. Understanding the Federal Poverty Level and seniors clarifies why many older adults qualify for help even when monthly income looks too high.

---

Understanding the Scale: Program-by-Program Breakdown

To put the numbers in context, see how the Federal Poverty Level affects eligibility across programs.

Medicare Part D Extra Help (Low Income Subsidy)

Value: Social Security Administration estimates average annual savings of $5,900-$6,200 per eligible person.

Participation gap: Approximately 2 million eligible Medicare beneficiaries are not enrolled. Centers for Medicare & Medicaid Services data shows roughly 1.25 million people receiving Extra Help also qualify for but are not enrolled in Medicare Savings Programs, with additional estimates pointing to 2-3 million total missing out on MSP benefits worth $3.96-$5.94 billion annually. This Extra Help overview covers savings amounts, 2025 limits, and how decisions are issued.

Source: National Council on Aging 2024 analysis, CMS Medicare Savings Programs data

SNAP Food Assistance

Value: Average monthly benefit for older adults is $188, with 80% of senior participants receiving more than the minimum $23.

Participation gap: Approximately 5 million eligible seniors are not participating. National data shows about 4.8 million older adults (60+) enrolled, representing less than half the eligible population. The SNAP for seniors guide details net-income rules, the medical expense deduction, and state application links.

Note on state data: The most recent state-by-state participation breakdown available is from 2015 Food Research & Action Center analysis. While national-level data has been updated through 2023, detailed state participation rates for seniors specifically have not been republished. Current national participation among all eligible individuals is approximately 82%.

Source: NCOA SNAP Facts, USDA FY2023 Characteristics Report

Supplemental Security Income (SSI)

Value: Maximum monthly payment in 2025 is $967 for individuals, $1,450 for couples. Average federally administered payment in January 2025 was $714.

Participation gap: Participation rate among eligible seniors remains around 49-51%, meaning roughly 2.3 million older adults who qualify don’t receive benefits. SSI cash assistance basics explain eligibility at age 65+, typical payment amounts, and application steps.

Source: Social Security Administration SSI data, Congressional Research Service SSI overview

Alongside federal programs, these charities that help seniors can bridge gaps with food, housing, utility, and legal support.

---

Why Benefits Go Unclaimed: Three Primary Barriers

These myths and facts about “free money” address common misconceptions that keep eligible seniors from applying.

Barrier 1: Stigma and Misconceptions

Many seniors believe these programs are “welfare” or that claiming benefits takes resources from others who need them more.

The reality: These are insurance programs funded through payroll and Medicare taxes. Unclaimed benefits don’t get redistributed to other eligible individuals—the funds simply remain unspent in program accounts. A breakdown of common benefit myths can help families start a judgment-free conversation about applying.

Barrier 2: Application Complexity

While some applications have been simplified (Michigan’s SNAP application now takes under 20 minutes), many seniors still face documentation requirements, income verification, and recertification processes that can be overwhelming.

During the 2023-2024 Medicaid unwinding, over 25 million people lost coverage, with 69% terminated for procedural reasons—returned mail, missed deadlines, incomplete paperwork—rather than actual ineligibility. Local benefits counselors can sit with you to complete forms, gather proofs, and track decisions.

Source: KFF Medicaid Unwinding Analysis

Barrier 3: Lack of Awareness

Many seniors simply don’t know these programs exist or don’t understand eligibility criteria. The Social Security Administration doesn’t systematically track or publish comprehensive participation rate data for age-based SSI eligibility, representing a significant transparency gap. This step-by-step benefits roadmap prioritizes which programs to apply for first based on typical savings.

---

Program Details and Eligibility

A primer on how income and assets are counted helps predict eligibility across multiple programs.

Medicare Part D Extra Help (2025)

Income Limits:

• Individuals: $1,976/month
• Couples: $2,664/month

Asset Limits:

• Individuals: $16,660
• Couples: $33,240

Note: These limits include a $20 income disregard SSA automatically subtracts. Certain types of income and assets may not be counted.

2025 Benefits:

• $0 premiums and deductibles for most enrollees
• Maximum copays: $4.90 generic, $12.15 brand-name drugs
• $0 copays once out-of-pocket costs reach $2,000 annual cap (new for 2025)
• Average value of coverage: Approximately $5,900 annually in prescription drug cost savings

How to Apply:

• Apply online at SSA
• Call 1-800-772-1213 (TTY: 1-800-325-0778)
• Decision typically arrives within 3 weeks

Extra Help 2025 details include copay caps, asset rules, and decision timelines.

Source: Medicare Extra Help Information

Medicare Savings Programs (2025)

Four programs help pay Medicare costs for people with limited income:

Medicare Savings Programs explained compares QMB, SLMB, and QI and notes states with no asset limits.

Important: States have flexibility in determining income and resource limits. Many states use “less restrictive methodologies” that may allow eligibility above federal limits shown here. Contact your state Medicaid office for specific rules.

Resource limits: $9,660 individual, $14,470 couple (for QMB, SLMB, QI)

How to Apply:

• Contact your state Medicaid office
• Find your State Health Insurance Assistance Program

Source: Medicare.gov MSP Information

SNAP Food Assistance (2025-2026)

Income Limit: Generally 130% of poverty level ($1,732/month for one person)

Benefits: Average $188/month for older adults living alone. Amounts vary based on income, household size, and allowable deductions.

Key Deduction for Seniors: Medical expenses over $35/month can be deducted from income, increasing benefit amounts. Currently only 16% of older adults utilize this deduction.

How to Apply:

• Call 1-800-221-5689
• Find your state SNAP office
• Many states offer online applications

Processing Time: 7-30 days (7 days for emergency situations)

SNAP income rules for older adults highlight the $35+ medical deduction and net-income test.

Source: USDA SNAP Elderly/Disabled Rules

Supplemental Security Income (2025)

Who Qualifies:

• Age 65+ OR disabled OR blind
• Income below $967/month (individuals), $1,450/month (couples)
• Resources below $2,000 (individuals), $3,000 (couples)

What Doesn’t Count as Resources:

• Your home where you live
• One vehicle
• Household goods and personal effects
• Burial funds up to $1,500 per person

How Income Affects Payment:

• First $20/month of unearned income excluded
• Remaining unearned income reduces payment dollar-for-dollar
• Earned income: first $65 excluded, then payment reduced by $1 for every $2 earned

How to Apply:

• Apply online at SSA
• Call 1-800-772-1213
• Visit local Social Security office

Processing Time: 3-6 months average

SSI eligibility and payments covers federal benefit rates, resource rules, and what doesn’t count.

Source: SSA SSI Information

---

Common Mistakes and How to Avoid Them

Mistake 1: Assuming Social Security income disqualifies you from other benefits

Reality: In December 2023, 34% of all SSI recipients also received Social Security. Many programs look at total income, not just one source.

Mistake 2: Not claiming the SNAP medical expense deduction

Reality: If you spend over $35/month on medical costs (including Medicare premiums, prescriptions, copays), you can deduct these from your income. This often increases SNAP benefits significantly.

Example: Monthly income $1,400 with $220 in medical costs ($185 Part B premium + $35 prescriptions). Subtract $35 base = $185 deductible expense. Countable income drops to $1,215, potentially qualifying you when you thought income was too high.

Mistake 3: Giving up after initial denial

Reality: Many denials are due to incomplete documentation, not actual ineligibility. During Medicaid unwinding, 69% of disenrollments were procedural errors.

Mistake 4: Not applying for multiple programs simultaneously

Reality: Qualifying for one program often automatically qualifies you for others. If you’re on Medicaid or SSI, you automatically qualify for SNAP in most states. If you qualify for QMB, SLMB, or QI, you automatically qualify for Extra Help.

Mistake 5: Hiding assets or providing incorrect information

Reality: Be honest about all income and resources. SSA has a $20 income disregard and excludes certain assets. Providing false information can result in denial or having to repay benefits.

This benefits checklist for seniors helps track deductions, proofs, and follow-ups to avoid preventable denials.

---

What to Do If Denied

A roundup of organizations that can help with appeals includes legal aid, counseling, and case-management options.

SNAP Denial

Appeal Timeline: 90 days to request fair hearing

Steps:

1. Call the number on denial letter within 10 days
2. Request “continued benefits” during appeal if currently receiving
3. File fair hearing request in writing
4. Gather supporting documents: income proof, medical expense receipts

SNAP appeal tips for seniors explain timelines, hearing requests, and how to document medical expenses.

Extra Help Denial

Appeal Timeline: 60 days

Steps:

1. Call SSA at 1-800-772-1213 to understand reason
2. Verify all exclusions were applied ($20 income disregard, burial funds, etc.)
3. Request reconsideration in writing
4. Provide additional documentation if requested

Guidance on how to revisit an Extra Help decision includes reconsideration steps and what to verify on exclusions.

Medicare Savings Program Denial

Appeal Timeline: Varies by state (typically 30-90 days)

Steps:

1. Contact State Health Insurance Assistance Program immediately
2. Request state Medicaid fair hearing
3. Verify whether state uses less restrictive methodologies
4. Gather income and asset documentation

MSP appeal guidance summarizes state-level timelines and how less-restrictive methodologies can affect eligibility.

SSI Denial

Appeal Timeline: 60 days for each level

Appeal Process:

1. Reconsideration (first level)
2. Administrative Law Judge hearing (if denied at reconsideration)
3. Appeals Council review
4. Federal court review

SSI appeal stages walk through reconsideration, hearings, and Appeals Council review.

Free Legal Help: Legal Services Corporation Locator at 1-844-LSCHELP

---

Application Checklists

A printable benefits checklist keeps IDs, income proofs, and bills organized for multiple applications.

SNAP Application Documents

• [ ] Proof of identity (driver’s license, state ID, passport)
• [ ] Proof of residence (lease, utility bill, property tax statement)
• [ ] Social Security number for all household members
• [ ] Income verification (bank statements showing deposits from last 2 months)
• [ ] Medical expense documentation (receipts for costs over $35/month)
• [ ] Utility bills (if separate from rent)
• [ ] Rent receipt or mortgage statement

SNAP documents and timelines cover common proofs, interview expectations, and expedited processing.

Extra Help Application Documents

• [ ] Medicare number (from Medicare card)
• [ ] Social Security number
• [ ] Income information (Social Security award letter, pension statements)
• [ ] Asset information (bank statements with current balances)
• [ ] Life insurance policies (if cash value exceeds $1,500)
• [ ] Spouse’s income/assets if married and living together

Documents for Extra Help include Social Security numbers, Medicare ID, and current asset statements.

SSI Application Documents

• [ ] Birth certificate or proof of age
• [ ] Social Security card or number
• [ ] Living arrangement details (lease, mortgage, or letter from landlord)
• [ ] Medical records (names/addresses of doctors, hospitals, clinics)
• [ ] Current medication list
• [ ] Work history for past 15 years
• [ ] Bank statements for past 12 months (all accounts)
• [ ] Asset documentation (deeds, titles, insurance policies)
• [ ] Citizenship or immigration documents

The SSI paperwork guide lists proofs that speed up claims and reduce follow-up requests.

Note: You can apply even if you don’t have all documents. Agencies will help you gather required information.

---

Resources for Diverse Communities

Rural Seniors: Transportation and internet access pose significant barriers. Solutions include Area Agencies on Aging at 1-800-677-1116 for transportation assistance, phone applications instead of online-only, and mobile enrollment events. Many rural post offices can help submit applications.

LGBTQ+ Seniors: SAGE (Services & Advocacy for GLBT Elders) at 1-877-360-5428 provides culturally competent benefits counseling. All federal programs prohibit discrimination based on sexual orientation or gender identity.

Veterans: You may qualify for both VA benefits and civilian programs (SSI, SNAP, Medicare Savings Programs) simultaneously. Contact VA at 1-800-827-1000 for VA benefits, and apply separately for civilian programs. VA benefits generally don’t count against other program eligibility.

Immigrant/Refugee Seniors: Eligibility depends on immigration status. Lawful Permanent Residents who worked 40 quarters (10 years) qualify for SSI. Refugees and asylees may qualify immediately. All agencies must provide free interpreters—request when calling. SSA language assistance

Deaf/Hard of Hearing Seniors: TTY services available: SSA TTY: 1-800-325-0778. Video Relay Services accepted for phone applications. Request ASL interpreters for in-person appointments at no cost. Many states offer online applications. Multilingual Area Agency on Aging support connects callers to interpreters and culturally competent counselors.

Seniors with Cognitive Decline: If you’re experiencing memory difficulties, involve a trusted family member now. You can designate a representative payee to help manage benefits. Area Agencies on Aging at 1-800-677-1116 offer free enrollment assistance.

---

Immediate Next Steps

If you’re ready to check your eligibility and apply:

Step 1 (15 minutes): Visit BenefitsCheckUp.org or call 211 for a free, comprehensive screening of all programs you may qualify for.

Step 2 (30 minutes): Call the highest-priority program based on your situation:

• Can’t afford prescriptions: Extra Help at 1-800-772-1213
• Can’t afford food: SNAP at 1-800-221-5689
• Can’t afford Medicare premium: State SHIP program
• Need comprehensive help: 211

A prioritized action plan helps decide whether to start with Extra Help, MSPs, or SNAP based on likely savings.

Step 3: Begin gathering documents using checklists above. Apply even if documentation is incomplete—agencies will work with you.

Step 4: If you need application assistance, contact Area Agency on Aging at 1-800-677-1116. Trained counselors provide free help.

---

Frequently Asked Questions

Q: I receive $1,500/month Social Security. Do I qualify for any benefits?

A: You likely qualify for Extra Help (income limit $1,976/month for individuals in 2025) and possibly Medicare Savings Programs (limits vary by program type: $1,276–$1,716/month for individuals). You may also qualify for SNAP depending on allowable deductions. Apply to find out for certain.

Q: I have $1,800 in savings. Will that disqualify me?

A: For SSI, resource limits are $2,000 for individuals and $3,000 for couples. Your $1,800 is below the limit. Additionally, your home, one vehicle, and burial funds up to $1,500 per person don’t count toward this limit.

Q: How long does approval take?

A: SNAP: 7–30 days (7 days for emergency situations). Extra Help: typically about 3 weeks for a decision letter. Medicare Savings Programs: 30–60 days depending on your state. SSI: on average 3–6 months.

Q: Can I get help with applications?

A: Yes. Free assistance is available from your Area Agency on Aging at 1-800-677-1116, SHIP counselors, local senior centers, and legal aid at 1-844-LSCHELP. Many communities also have trained volunteers who help with applications daily.

Q: What if my income changes after approval?

A: Report changes within 10 days. For SSI, any income or resource change may affect your payment. For SNAP, income increases may reduce benefits but you might still qualify. For Extra Help, even if your income changes mid-year, you’ll generally keep benefits through December 31 of that year.

Q: Will applying affect my credit score?

A: No. Federal benefits programs don’t report to credit bureaus. Applying for or receiving SNAP, SSI, Extra Help, or Medicare Savings Programs has zero impact on your credit scores.

The Grants for Seniors home hub links to state pages, calculators, and popular guides for deeper answers.

---

About This Guide

Author: Rachel Thompson is Editor of GrantsForSeniors.org and has spent nearly a decade researching and writing about government assistance programs for older Americans. She specializes in translating complex federal and state benefit policies into accessible guidance for seniors and their families.

This guide is based on October 2025 federal program data and recent research on benefit participation. Primary sources include:

• National Council on Aging – Benefits Access Analysis (2024)
• Social Security Administration – SSI and Extra Help Programs (2025)
• USDA Food and Nutrition Service – SNAP Characteristics FY2023
• Centers for Medicare & Medicaid Services – Medicare Savings Programs (2025)
• Kaiser Family Foundation – Medicare Part D Analysis (2024-2025)
• Congressional Research Service – SSI Overview (2025)

Editorial Standards: All benefit amounts, income limits, and program details are verified from official government sources. When recent data is unavailable, we note the most current information available and its date. Editorial Standards describes update cadence, sourcing, and review practices for senior-focused content.

Not Affiliated: This guide is published by GrantsForSeniors.org, an independent resource for seniors. We are not affiliated with any government agency.

Data Currency Note: Some program participation statistics rely on the most recent published analyses. For example, detailed state-by-state senior SNAP participation data uses 2015 Food Research & Action Center analysis as more recent state-specific breakdowns have not been published. National-level participation data is current through FY2023-2024.

Last Verified: October 2025
Next Review: January 2026

Found an Error? Email corrections to [contact email]. We review all submissions within 48 hours and update the guide when program details change.

---

Resumen en Español

La Crisis de $30 Mil Millones: Los adultos mayores en Estados Unidos dejan sin reclamar aproximadamente $30 mil millones cada año en beneficios federales.

Programas Principales (2025):

• Extra Help (Medicamentos): Ahorro promedio de $5,900 anuales. Límite de ingresos: $1,976/mes
• SNAP (Alimentos): Promedio $188/mes para adultos mayores. Límite: $1,732/mes
• Programas de Ahorro de Medicare: Cubren prima Parte B ($185/mes). Límites: $1,276-$1,716/mes
• SSI: Máximo $967/mes individuos, $1,450/mes parejas

Números Importantes:

• Seguro Social/SSI: 1-800-772-1213 (TTY: 1-800-325-0778)
• SNAP: 1-800-221-5689
• Evaluación Gratis: 211 (24/7, multilingüe)

Para apoyo local inmediato, estos recursos por estado conectan con oficinas y programas cercanos.

Recursos en Español: Todos los programas federales deben proporcionar intérpretes certificados sin costo. Para información completa, consulte el artículo completo arriba.

---

Disclaimer

This guide provides general information about federal benefit programs for seniors. It is not legal, financial, or medical advice.

Program Details Change: Benefit amounts, income limits, and eligibility rules are updated annually and sometimes mid-year. Verify current details with program administrators before applying.

Individual Results Vary: Eligibility and benefit amounts depend on your specific circumstances including income, assets, household composition, medical expenses, and state of residence.

Your Rights:

• You have the right to apply for any benefit program
• You have the right to free application assistance
• You have the right to appeal if denied
• You have the right to free interpreters if needed

Emergency Contacts:

• Social Security: 1-800-772-1213 (TTY: 1-800-325-0778)
• SNAP Hotline: 1-800-221-5689
• Medicare: 1-800-633-4227
• Benefits Screening: 211
• Crisis Support: 988

---

Questions? Need help? Call 211 for free, confidential assistance in multiple languages.

For complete program details, eligibility rules, and state-specific information, see the full guide at GrantsForSeniors.org