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Cuts to Medicaid will increase Medicare costs – here’s how

6 0
17.05.2025

Fiscal responsibility means making smart investments that prevent higher costs down the line. That’s why taxpayers should be sounding the alarm about proposals to slash Medicaid. Because cutting Medicaid doesn’t just hurt the most vulnerable — it also increases government spending in the Medicare program.

Here’s the bottom line: if you cut Medicaid, Medicare picks up the tab. And because Medicare does not share costs with states as Medicaid does, the full cost will be picked up by the federal government. And that tab is enormous.

Roughly one in five Medicare beneficiaries — 12.2 million Americans — rely on Medicaid to afford their Medicare coverage and access essential services. These are not duplicate programs; they are complementary. Medicaid pays for what Medicare does not: Medicare premiums, co-pays and other out-of-pocket costs, and vital services like nursing home care. That support makes Medicare more affordable. Crucially, it prevents unnecessary, costly care down the road.

Take Medicare Part B premiums, for example. They cost $185 per month in 2025.........

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