Medicaid vs Medicare Income Limit 2024: What’s the Difference?

Medicaid vs Medicare Income Limit 2024 1

The United States government sponsors Medicare and Medicaid, two programs meant to assist some residents in paying for medical treatment. These two taxpayer-funded programs, founded in 1965, have names similar enough to cause misunderstanding regarding their functions and the coverage they offer.

Medicaid vs Medicare Income Limit 2024

For many individuals 65 years of age and older, as well as those with disabilities, Medicare offers medical coverage. Medicare eligibility is independent of income level. Medicaid is intended for low-income individuals of any age and is frequently used as a last choice for those without access to other resources.

Medicaid vs Medicare Income Limit 2024:

Medicaid and Medicare are two government-sponsored programs designed to assist residents in paying for their health care and other related medical expenses. The two programs—which were designed with American citizens in mind—may seem a lot alike. Still, there are significant differences regarding how they operate and the advantages they provide. When we discuss Medicare, we refer to a program that assists persons 65 or older with a handicap. The income levels are not taken into consideration in this instance. 

Medicaid is a health care program available to all residents, regardless of age, and is intended for individuals with low incomes and limited or no access to resources. In addition, Medicare is broken down into four categories: hospital expenses, essential medical supplies, supplementary insurance, and prescription medication.

The services and cost-sharing are where the two programs diverge. Medicare may be costlier for certain people than others, and you should assess your health state per your coverage to determine whether the program is right for you. The income threshold 2024 is $103,000 for single people and $206,000 for couples. This amount covers the cost of Medicare. Medicaid’s income thresholds for households with a single person begin at $20030. It is evident that Medicare has a higher income cap than Medicaid, but you must read this article to the conclusion to get all the financial facts.

Medicare and Medicaid are benefits offered to US citizens, and these programs are paid individually to help with health care expenditures. One program is for residents 65 years of age or older who have a handicap; the other has no age restriction.

Post Title  Medicare vs Medicaid Income Limit 2024
Organization Name  US Federal Organization 
Country  United States of America 
Benefits  Medicare and Medicaid 
Beneficiaries  US Citizens 
Medicare Age Limit  65 years and above 
Medicaid Age Limit  No limit 
Income limits  Mentioned below 
Post type  Finance 

About Medicare:

Medicare assists in providing health care coverage to eligible individuals with specific disabilities and U.S. citizens 65 or older. The program consists of four parts:

Hospitalization Coverage: 

Medicare Part A covers hospital stays for anyone 65 or older, regardless of income. One must have worked for at least ten years and paid Medicare taxes to be eligible, either themselves or their spouse. Part A is often non-premium; nevertheless, there are coinsurance and deductibles.

Medical Insurance:

Medicare Part B, which pays for equipment and medically required services, is also available to those who qualify for Part A. This covers outpatient procedures, lab work, x-rays, wheelchairs, walkers, and doctor visits. It also includes preventative care like flu vaccines and illness screenings.

The regular Part B premium increased from $164.90 in 2023 to $174.70 in 2024. Usually, Social Security or Railroad Retirement benefits are used to offset this. There are coinsurance and deductibles. The program requires additional annual funding from those whose modified adjusted gross income (MAGI) exceeds $103,000 ($206,000 for a couple).

Medicare Advantage Plans:

Those who meet Medicare Parts A and B requirements can also access Medicare Advantage plans or Part C. Private firms that have received Medicare approval provide Part C coverage.

Apart from the benefits of Parts A and B, most Part C plans also include dental, vision, and hearing care. Some furthermore offer coverage for prescription drugs. It operates similarly to preferred provider organizations (PPOs) and health maintenance organizations (HMOs), which individuals widely use to get healthcare services throughout their working years.

Some people may find Medicare Advantage advantageous, while others may find that their out-of-pocket expenses increase due to coinsurance, deductibles, and copays. To determine whether the plan is good for you, consider your health situation in addition to its features and coverage.

Prescription Drug Coverage:

Prescription medication coverage is offered via Medicare Part D. Part D plans require participants to pay monthly premiums, an annual deductible, and copayments for certain prescription drugs in addition to out-of-pocket expenses. If your Medicare Part C plan does not cover prescription drugs, most will prevent you from purchasing Part D. Every year, people can sign up for Medicare from October 15 to December 7.

2024 Medicare Costs:

  • Most persons who have paid Medicare taxes for 40 or more quarters are exempt from paying the Part A payment. $505 if Medicare taxes were paid for fewer than 30 quarters. $278 if you spent 30–39 quarters’ worth of Medicare taxes.
  • Hospital inpatient deductible and coinsurance for Part A: A $1,632 deductible for each benefit period covers the first sixty days of your stay. Days 61 through 90 of your visit: $408 per day coinsurance. Days 61 through 90: $816 per day coinsurance for “lifetime reserve days” (maximum of 60 days in total)
  • $144.70-Part B premium
  • Part B deductible and coinsurance: $240 plus 20% of the total amount due.
  • Plans vary with the Part C premium.
  • Plans differ in Part D premium.


Medicaid is a combined federal-state program that assists low-income Americans of all ages in covering long-term care expenses and medical bills. The Children’s Health Insurance Program (CHIP), which has its own set of regulations and standards, provides coverage for children who require low-cost medical treatment but whose families make too much money to be eligible for Medicaid.

Medicaid Eligibility:

Because of the collaboration between the federal and state governments, every state has a unique Medicaid program. President Obama aimed to provide more Americans access to health care by enacting the Affordable Care Act (ACA) in 2010.

Therefore, in states that participate in Medicaid, all citizens and legal residents of the United States who earn at least 138% below the federal poverty level are eligible for coverage.

The Supreme Court decided that states are not obligated to participate in the expansion to receive their present level of Medicaid spending, even though the ACA has worked to expand Medicaid eligibility and federal money. As a result, many states have decided against raising funding levels and qualifying standards.

Medicaid recipients do not have to pay for approved services. Medicaid features stringent eligibility restrictions that differ by state, in contrast to Medicare, which is accessible to almost every American who is 65 years of age or older. Go to for a summary of eligibility requirements by state.

After turning 65 and being eligible for Medicare, Medicaid recipients are still eligible for Medicaid. Medicaid coverage can then alter depending on the recipient’s income. Medicaid may only cover the Medicare Part B premiums for those with higher incomes. People with lower incomes could still be eligible for all benefits.

Medicaid Benefits:

Medicaid benefits differ from state to state, although federal law requires coverage for a range of services, such as:

  • Hospital inpatient care
  • Hospital services provided by outpatients
  • EPSDT: Screening, Diagnostic, and Treatment Services Provided Early and Often
  • Services for Nursing Homes
  • Services for home health
  • medical services
  • Services provided by rural health clinics
  • Services provided by federally authorized health centers
  • X-ray and laboratory services
  • Services for family planning
  • Midwifery services provided by nurses
  • Family nurse practitioner and pediatric certification services
  • Freestanding Birth Center services (where authorized by the state through a license or other means)
  • Getting to the doctor
  • counseling on quitting smoking for expectant mothers

Prescription medicine coverage, optometrist services, sunglasses, medical journeys, physical therapy, prosthetic devices, dental treatments, and more are among the extra benefits any state might offer.

Medicaid is also utilized to pay for long-term care, which is not included in most commercial health insurance plans or Medicare. In actuality, Medicaid is the central national payer for long-term care and frequently pays for nursing homes when a patient runs out of money on medical expenses and has no other way to pay for nursing care.

Difference Between Medicaid and Medicare?

Factor Medicare  Medicaid 
Meaning  Provided to ones age 65 and above having a disability Given to individuals of any age 
Eligibility  Age 65 years and above People with disabilityPeople getting SSDI benefits Age and income vary among the citizens 
Coverage  Hospital services Medical services and equipment Medicare services to private companies Prescription drug coverage  Hospital care services routine screening testsTransport to medical care dental care
Costs  It covers out-of-pocket costs but will vary depending on the monthly premiums and coinsurance.  The out-of-pocket cost shall not be more than 5% of the family benefits
Benefit Date  The benefit starts from the first month after enrollment  The benefits start from the application date or the first day of the month. 

Income Limit For Medicare And Medicaid 2024:

Medicare’s 2024 income threshold is $103,000 for single people and $206,000 for couples. The cost of Part B and Part D will increase if the income exceeds the specified restrictions. The chart below allows you to check the Medicaid income restrictions.

1 $20030
2 $27186
3 $34341
4 $41496
5 $48652
6 $55807
7 $62963
8 $70118

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