President Donald Trump is announcing additional financial support for voters right before the November 3 midterm elections, targeting over 20 million seniors with a one-time payment of $90 to aid with Medicare premiums.
This announcement, shared by Trump on social media late Friday, follows his previous statement about providing about 1 million individuals with rebate checks of $500 for Affordable Care Act premiums. He has also pledged to send every American adult $5,000 if the Republicans maintain control of the House and Senate after the elections.
However, this commitment would need congressional approval and could potentially add over $1 trillion to the deficit, which might worsen inflation.
During a rally in Vandalia, Ohio, Trump emphasized the $5,000 promise and informed supporters that 70,000 families in the state could expect the ACA rebates “within the next couple of days.” He also reflected on the earlier $1,776 payments for military personnel, which were announced in December, but noted that perhaps the timing could have been better.
“Maybe I should have waited a year,” he mused. “To be honest, I said that. Should I wait for before the election?”
Recent polls indicate that many Americans are increasingly attributing rising gas and grocery prices to Trump, with only 17% approving of his handling of inflation. Despite this, Trump has attempted to dismiss worries about the cost of living, claiming the economy is thriving.
The White House stated that the $90 payments for seniors will be funded through the Medicare Improvement Fund, created by Congress in 2008 to allow flexible funding for enhancing program operations and payments to healthcare providers.
Seniors enrolled in Medicare Part B can expect their one-time payment in October, delivered via direct deposit or check. Monthly costs for the program, which supports expenses like doctor visits, lab tests, and ambulance services, are around $200 but can vary based on income.
To qualify, seniors must live in the U.S. and cannot already be receiving premium assistance from Medicaid or be subject to adjusted monthly premiums based on their income, as stated by the Centers for Medicare and Medicaid Services. Those enrolled in Medicare Advantage, a private alternative to traditional Medicare, will not receive the payment. Notably, over half of eligible Medicare beneficiaries currently have Medicare Advantage, according to the healthcare research organization KFF.
Historically, previous administrations have not used the Medicare Improvement Fund in this manner, although Congress has occasionally allocated funds from it for other initiatives, as noted by Larry Levitt, KFF’s executive vice president for health policy. For instance, $20.74 billion from the fund was utilized for the establishment of the Affordable Care Act in 2010.
Levitt pointed out that “the Medicare Improvement Fund language is quite broad and gives substantial discretion to the administration.”
