A Guide to Financial Assistance Resources for Seniors During Times of Inflation
Covered in this guide:
- Energy Assistance Programs for Seniors
- Tax Credits and Deductions for Senior Citizens
- Health Insurance, Medical Expense and Drug Cost Assistance Programs
- Nutrition Assistance Programs
- Job Assistance Programs
- State-by-State Financial Assistance for Seniors
- Expert Reviewer
Updated: June 17, 2023 | Reviewed by: Deidre Sommerer, LPN, MS, CMC, CDP
As of December 31, 2020, 90% of Americans aged 65 and older were receiving Social Security payments that amounted to around 30% of income among elderly Americans. While some seniors have other sources of income, as many as 12% of men and 15% of women aged 65 and up rely on Social Security to provide more than 90% of their income. This doesn't leave much room for saving or extra spending.
With an annual inflation rate nearing record highs, necessities such as food, housing and utilities are becoming more and more difficult for seniors to afford — especially when they're already considered low income.
Fortunately, there are numerous financial assistance programs available to low-income seniors. To help you learn about the options, we created this guide of information about nationally available assistance programs for seniors, what the programs entail, who is eligible, and how seniors can apply.
Energy Assistance Programs for Seniors
Energy assistance programs help seniors reduce their overall housing costs by providing help with heating and cooling bills, as well as upgrades to make their homes more efficient.
Program Name | Website | How It Helps |
Low-Income Home Energy Assistance Program (LIHEAP) | LIHEAP helps low-income seniors cover their energy costs, including heating and cooling bills. | |
Weatherization Assistance Program for Low-Income Persons | This program helps low-income households make home improvements to improve energy efficiency. |
Low-Income Home Energy Assistance Program (LIHEAP)
LIHEAP provides bill payment assistance and energy crisis assistance to low-income households throughout the United States. The program may also cover costs associated with making improvements to the home that can reduce energy expenses, such as weatherization or repairs that improve energy efficiency.
Who Is Eligible?
To qualify for this program, seniors must prove that they're unable to afford home energy costs. Income limitations are in place for the program. As of 2022, a one-person household must have an income below $20,385 per year to qualify, while a two-person household must have an income below $27,465.
Seniors who are already participating in programs such as the Supplemental Nutrition Assistance Program (SNAP), Supplemental Security Income (SSI) or Temporary Assistance for Needy Families (TANF) are typically eligible for LIHEAP automatically.
How To Apply
Seniors can contact (866) 674-6327 to learn more about applying for LIHEAP, or they can contact their local office to initiate the application process.
Weatherization Assistance Program for Low-Income Persons
Energy efficiency is vital when it comes to affordable energy bills. Unfortunately, many older homes in the United States aren't equipped to keep energy usage low. With the Weatherization Assistance Program, low-income seniors can access funding for efficiency upgrades such as furnace replacements, insulation upgrades and window or weather strip replacements.
Who Is Eligible?
To qualify for this program, seniors must be full-time residents in the state where they're applying. As of 2022, the income limit for this program is $27,180 for a one-person household and $36,620 for a two-person household.
Seniors who receive SSI payments are automatically eligible for weatherization assistance.
How To Apply
Applications for the Weatherization Assistance Program must be filed with seniors' local state offices.
Tax Credits and Deductions for Senior Citizens
Senior citizens can save during tax season with a variety of credits and deductions designed to keep more money in their pockets.
Credit/Deduction | Website | Purpose |
Earned Income Tax Credit (EITC) | The EITC helps reduce taxes owed by low- and moderate-income workers. | |
Credit for the Elderly or Disabled | This tax credit is available to seniors aged 65 or older, as well as older adults who are retired or disabled. | |
Standard Deductions for Seniors | Higher standard tax deductions enable seniors aged 65 and older to deduct more on their tax returns each year. | |
Medical and Dental Expenses | Medical and dental expense deductions allow seniors to deduct out-of-pocket health-related expenses on their tax returns. |
Earned Income Tax Credit (EITC)
The EITC provides a tax credit for working adults aged 64 and older without dependent children. The amount of the credit varies depending on the year. In 2021, those who claimed it earned a credit of as much as $6,728.
Who Is Eligible?
To qualify for the EITC, seniors must meet the following criteria:
- Working income below $57,414
- Investment income below $10,000
- Possession of a valid Social Security number
- Status as a legal U.S. citizen or resident alien for the entire tax year
- No foreign earned income
How To Apply
Qualifying seniors can claim this credit by including it on their federal tax returns. Those who need assistance should contact an accountant or tax expert for help.
Credit for the Elderly or Disabled
The Credit for the Elderly or Disabled provides seniors with $3,750 to $7,500 in tax credits.
Who Is Eligible?
This credit is available to those who are aged 65 or older or retired and receiving permanent or total disability benefits with taxable disability income. Additionally, qualifying seniors must have an adjusted gross income that falls within specified income limits for the corresponding tax year.
How To Apply
Seniors who qualify for this credit can include it on their federal tax returns.
Standard Deductions for Seniors
Seniors have the opportunity to make higher standard deductions on their income tax returns.
Who Is Eligible?
Any senior aged 65 or older, as well as those who live with a spouse who is aged 65 or older and file joint returns, can qualify for higher standard deductions.
How To Apply
No application is necessary; seniors can simply use the pertinent tax year's standard deduction amount.
Medical and Dental Expenses
The IRS allows Americans to deduct medical expenses on tax returns when the costs are paid out of pocket. The list of eligible deductions is long, but some of the most common expenses deducted by seniors include:
- Doctor and dental fees
- Mental health care
- Inpatient hospital care
- Nursing care
- Prescription medications
- Medical transportation
- Medical insurance policy premiums
Who Is Eligible?
All Americans are eligible to deduct medical and dental expenses, provided the expenses exceed 7.5% of adjusted gross income.
How To Apply
No application is necessary; deductions can be included on annual income tax returns.
Health Insurance, Medical Expense and Drug Cost Assistance Programs
Health insurance and other programs that help with medical costs are crucial for many senior citizens. While most are at least jointly provided by the federal government, some are administered at the state level.
Program Name | Website | How It Helps |
Medicare Savings Program | Medicare Savings Programs help seniors afford Medicare Part A and Medicare Part B premiums. | |
BenefitsCheckUp | BenefitsCheckUp helps seniors determine which benefits they're eligible for. | |
Extra Help Program | Extra Help gives seniors who are Medicare beneficiaries additional financial assistance to cover medications. | |
Medicaid | Medicaid provides free health insurance coverage for seniors with extremely low incomes. |
Medicare Savings Program
Medicare Savings Programs are operated at the state level. They provide financial help for seniors who aren't able to afford premiums for Medicare Part A or Medicare Part B. Programs vary by state, but in most states, seniors can access the following programs:
- Qualified Medicare Beneficiary Program: Covers Part A and Part B premiums, deductibles, coinsurance and copayments.
- Specified Low-Income Medicare Beneficiary Program: Covers Part B premiums and provides extra help with prescription drugs.
- Qualifying Individual Program: Covers Part B premiums and provides extra help with prescription drugs.
- Qualified Disabled Working Individual Program: Covers Part A premiums only.
Who Is Eligible?
While income and asset limits are in place for these programs, states use different methods for determining what types of income and assets qualify. Furthermore, each savings program has different limits as well. These limits are subject to changes annually.
In addition to income limits, each program has the following qualification requirements:
- Qualified Medicare Beneficiary Program: Must have extremely low income.
- Specified Low-Income Medicare Beneficiary Program: Must have both Part A and Part B Medicare to qualify.
- Qualifying Individual Program: Must apply annually. This program is available on a first-come-first-served basis.
- Qualified Disabled Working Individual Program: Must have a disability, earn working income and have no Social Security disability benefits.
How To Apply
Seniors can contact their state's Medicaid office to apply for Medicare Savings Programs.
BenefitsCheckUp
BenefitsCheckUp is an online resource that helps seniors determine which benefits they may be eligible for. Seniors can input their zip code to find programs in their area and provide answers to a few simple questions to check their eligibility. BenefitsCheckUp hosts a comprehensive database of eligibility requirements for federal and state government benefits programs, including Medicaid, Medicare Savings Programs and various food assistance programs.
Extra Help Program
The Extra Help Program provides Medicare Beneficiaries with an estimated $5,100 in additional assistance that helps cover the cost of prescription medications, as well as monthly premiums and annual deductibles.
Who Is Eligible?
Seniors who participate in Medicaid and have resources totaling less than $15,510 for a single person or $30,950 for a married couple may be eligible for Extra Help. Additionally, those wishing to participate must have an annual income of $20,385 per year when single or $27,465 when married or living with a partner.
How To Apply
Anyone wishing to apply for Extra Help can file an application online or call Social Security at (800) 772-1213.
Medicaid
Medicaid is a free insurance program for seniors, disabled persons, families and others who have high health care needs but little income to cover medical expenses. The program is jointly funded by federal and state governments and administered at the state level. It covers a broad range of services, from primary and inpatient hospital care to medical transportation and physiotherapy. In some states, waiver programs amend basic coverage to include extra help with costs that are common among seniors, including assisted living and speech therapy.
Who Is Eligible?
Eligibility guidelines vary by state, but in most cases, seniors aged 65 who meet their state's income and asset limitations can apply.
How To Apply
Seniors who wish to apply for Medicaid can contact their state's Medicaid agency or complete an application on the federal Health Insurance Marketplace.
Nutrition Assistance Programs
Food insecurity is a severe problem for seniors and low-income households throughout the United States. These programs provide food to those who need it most.
Program Name | Website | How it Helps |
Supplemental Nutrition Assistance Program (SNAP) | SNAP helps low-income Americans purchase healthy food. | |
The Emergency Food Assistance Program (TEFAP) | TEFAP helps low-income Americans access food at no cost. | |
Seniors Farmers Market Nutrition Program | The Senior Farmers Market Nutrition Program gives local produce to low-income seniors. | |
Meals on Wheels | Meals on Wheels delivers daily meals to seniors in need. |
Supplemental Nutrition Assistance Program (SNAP)
SNAP, formerly known as food stamps, offers financial assistance for households that can't afford to purchase their own food. The benefit can be used to purchase necessary groceries, including:
- Fruits and vegetables
- Meat and meat alternatives
- Dairy
- Breads and cereals
- Snack foods and nonalcoholic beverages
- Seeds and plants to grow food
Who Is Eligible?
SNAP is available to low-income families and households throughout the United States that meet their state's eligibility requirements.
How To Apply
Seniors can apply for SNAP benefits by contacting their local state agency.
The Emergency Food Assistance Program (TEFAP)
TEFAP purchases and supplies nutritious, quality foods to distribute to low-income households throughout the United States on an emergency basis. Food is provided to those in need through state and local agencies, as well as through community organizations that distribute food to those who need it most.
Who Is Eligible?
TEFAP foods are distributed locally, and as such, eligibility requirements may vary. That said, most households that have an income at or below 130% of the current poverty level or those who receive benefits such as SNAP, SSI or Medicaid are usually eligible.
How To Apply
Seniors in need of food can contact their nearest distributing agency.
Seniors Farmers' Market Nutrition Program
The Seniors Farmers' Market Nutrition Program exists to help low-income seniors access locally grown, nutritious foods, including fruits, vegetables, honey and herbs. Through this program, the United States Food and Nutrition Service aims to increase domestic consumption of local foods and help support agricultural communities.
Who Is Eligible?
To access food through this program, seniors must have an income at or below 185% of the current federal poverty guidelines.
How To Apply
To apply for help, seniors can contact their local state agency.
Meals on Wheels
Meals on Wheels is a not-for-profit organization that helps seniors in urban, suburban and rural areas across the United States maintain a healthy diet. Volunteers visit program participants daily to deliver meals and conduct welfare checks, ensuring that those who live at home and are unable to shop or cook for themselves are fed and safe.
Who Is Eligible?
Every provider has different qualification requirements; however, most provide food to homebound seniors aged 60 and older.
How To Apply
Seniors can contact their nearest Meals on Wheels provider to learn more about participation.
Job Assistance Programs
Many seniors remain healthy and active with a desire to work but may have a difficult time finding stable employment. Those who wish to work may find the following programs helpful in their job search.
Program Name | Website | How it Helps |
Senior Community Service Employment Program (SCSEP) | The SCSEP provides seniors with on-the-job work training. |
Senior Community Service Employment Program (SCSEP)
The SCSEP offers on-the-job training and community service opportunities for seniors and older adults. It's focused on helping those with low incomes become self-sufficient.
Who Is Eligible?
This program is open to adults aged 55 and older who are unemployed and have a family income at or below 125% of the current federal poverty level.
How To Apply
Seniors interested in participating in this program can find an agency in their area or call (877) 872-5627.
State-by-State Financial Assistance for Seniors
States offer a variety of programs and resources to help seniors access necessities, which include food, housing, medications and medical equipment. While the existence of such programs is widespread, most seniors don't know how or where to find them. Below, find the type of assistance needed and discover options available in your state.
Expert Reviewer
Deidre Sommerer, LPN, MS, CMC, CDP
Deidre has worked in the healthcare field for over 35 years and specializes in Geriatrics. Deidre is a nurse who holds a certification from the National Academy of Certified Care Managers and is a Certified Dementia Practitioner. She has worked across all healthcare settings, with a concentration on the community and helping older and disabled adults age in place. She has worked on NIH grant-funded program evaluation projects and considers herself a life-long learner. Deidre is a valued team member at The Hartford HealthCare Center for Healthy Aging in Hartford, CT.
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