Why Trust Recovery Guide The price of treatment is one of the main reasons people delay or don’t receive help for substance abuse. Inpatient rehab can cost anywhere from $6,000 to $20,000 for a 30-day program, while outpatient treatment can run $5,000 to $10,000 for a 90-day program. For people without adequate insurance or financial resources, these prices can be overwhelming at best, and a reason not to receive treatment at worst.
The good news is that financial assistance exists. Scholarships, grants, state-funded programs, and sliding-scale payment options can reduce or eliminate the cost of treatment for people who qualify.
This guide covers the main types of financial assistance available, how to apply, and what to do if you still can’t cover the cost.
What Is The Difference Between A Scholarship And A Grant?
The terms “scholarship” and “grant” are sometimes used interchangeably in the context of addiction treatment, but they refer to different funding methods.
A rehab scholarship is financial assistance awarded directly to an individual by a treatment facility or nonprofit organization. They can cover part or all of the cost of treatment and are typically awarded on a needs-based basis. They don’t need to be repaid by the recipient.
A grant, on the other hand, is provided by a government agency or organization. It’s also typically distributed to treatment programs rather than directly to individuals.
These funds allow facilities to offer low-cost or free care to qualifying clients. The most well-known federal grant program is the Substance Abuse Prevention and Treatment Block Grant (SABG) administered by SAMHSA, which distributes funding to all 50 states to support access to addiction treatment.
In practice, when someone receives “grant-funded” treatment, they benefit from funds that their treatment program received. The individual doesn’t apply directly to the government for these funds.
Types Of Financial Assistance For Treatment
Facility-Based Scholarships
The most common source of treatment scholarships is through the treatment facilities themselves. Even for-profit clinics may offer needs-tested scholarship awards to some patients.
These scholarships aren’t always well-advertised, so the best way to find one is to call facilities directly and ask if they offer scholarships or financial assistance programs.
When calling, be prepared to:
- explain your financial situation honestly
- provide documentation of income and insurance status
- describe your commitment to treatment and recovery
- ask about partial as well as full scholarship options
Rehab facilities set aside a certain amount of money each year for scholarships. Apply early and to multiple facilities to increase your chances of receiving one.
Nonprofit Organization Scholarships
Several nonprofit organizations offer scholarships specifically for individuals seeking substance use disorder treatment.
10,000 Beds provides full treatment scholarships to individuals in need. The foundation has provided over $1 million in financial support for addiction treatment. You can submit an application through their website.
The Salvation Army operates residential treatment programs across the country through its Adult Rehabilitation Centers (ARC) program. ARC provides free room, board, and addiction treatment that’s funded through the company’s thrift stores. No insurance or payment is required.
Catholic Charities and other faith-based organizations offer sliding-scale or free substance use disorder services. These programs are typically open to people of any (or no) faith.
Local community foundations and United Way chapters sometimes fund addiction treatment scholarships as well.
Government-Funded Programs
SAMHSA Block Grant-Funded Treatment
The SABG distributes federal funds to states that then allocate those funds to community-based treatment programs. These programs provide low-cost or free care to people who meet financial eligibility criteria. To find a SABG-funded program near you, use SAMHSA’s treatment locator or call 1-800-662-4357.
State-Funded Treatment Programs
Every state has a state authority that oversees substance use disorder treatment and funds programs for residents who cannot afford private care. Wait times for state-funded programs vary significantly by location and level of care. You can find your state’s substance use authority at SAMHSA’s state directory.
Medicaid
Medicaid covers substance use disorder treatment in all 50 states, including inpatient detox, residential treatment, outpatient programs, and medication-assisted treatment (MAT). Eligibility is based on income and household size. If you don’t currently have Medicaid and believe you may qualify, you can apply through your state’s Medicaid office or online.
Medicare
Medicare Part A covers inpatient treatment, and Part B covers outpatient treatment and some medications. You may be eligible if you are 65 or older or have a qualifying disability. Visit medicare.gov for more info on how to enroll.
Sliding-Scale And Payment Assistance Programs
Many treatment programs offer sliding-scale fees that adjust the cost of care based on income and family size. Some also offer payment plans that allow clients to spread out the cost over time.
When contacting recovery centers, ask the following:
- Do you offer a sliding-scale fee structure?
- Do you offer payment plans?
- Do you have a financial assistance coordinator on staff?
- Are any scholarship funds currently available?
College Scholarships For Students In Recovery
For college students in recovery or affected by substance use disorder, a growing number of scholarship opportunities exist specifically to support both their education and recovery.
Bold.org maintains a scholarship database that includes multiple awards for students in recovery or affected by addiction. The “Lost Dreams Awaken” scholarship has distributed more than $13,000 to students with personal connections to addiction and recovery.
The Association of Recovery in Higher Education (ARHE) supports Collegiate Recovery Programs (CRPs) at universities nationwide, many of which offer scholarships specifically for students in recovery.
Individual universities with CRPs, including Texas Tech and the University of Michigan, offer scholarship funds to students in recovery. You can reach out to a school’s financial aid office or recovery support services office for current opportunities.
How To Apply For A Rehab Scholarship
Rehab scholarships are generally needs-based, and there’s a lot of competition. You may have to submit numerous applications before receiving a positive response.
Here’s a step-by-step approach that may improve your chances:
Step 1: Research your options
Start with SAMHSA’s treatment locator to find programs in your area. Call each facility on your list and ask directly about scholarships and financial assistance.
Step 2: Gather documentation
Most scholarships require proof of financial need. Collect recent pay stubs or tax returns, bank statements, documentation of insurance coverage (or lack thereof), and any relevant medical records.
Step 3: Prepare your personal statement
Many scholarship applications ask you to describe your situation and your commitment to recovery. Be honest and specific. They want to see genuine motivation and acknowledgment of the need for help.
Step 4: Apply broadly
Don’t limit yourself to one facility or scholarship program. Apply to multiple programs at once to improve your chances and reduce delays in receiving care.
Step 5: Follow up
Some organizations require active participation or re-application every month. Stay in contact with facilities you apply to, respond promptly to requests for additional information, and check in regularly on your application’s status.
What If You Still Can’t Cover The Cost?
If you need more help to pay for treatment, several additional options are available.
- SAMHSA’s National Helpline (1-800-662-4357) can connect you with free and low-cost treatment programs in your area, regardless of insurance status.
- 211 is a free service available by phone, text, or online that connects people with local social services, including financial assistance for treatment, emergency housing, and food programs.
- Healthcare.gov can help determine whether you qualify for Medicaid or marketplace insurance that covers addiction treatment.
- Federally Qualified Health Centers (FQHCs) provide substance use disorder services on a sliding-scale basis regardless of ability to pay.
- Visit our directory of free and low-cost recovery facilities to find local options.
FAQs About Scholarships And Grants For Addiction Treatment
Find our answers to the most commonly asked questions about the options available to people seeking financial assistance for treatment.
Are Scholarships The Same Thing As Free Rehab?
Not always. Some scholarships cover the full cost of treatment, so they function as free rehab for the recipient.
Others cover a partial amount, reducing but not eliminating out-of-pocket costs.
State-funded and SAMHSA block grant-funded programs are the most reliable sources of fully subsidized care for eligible clients.
How Competitive Are Rehab Scholarships?
Competitive enough that applying to a single program and waiting is not a reliable strategy.
Facility-based scholarships are limited by the amount a program sets aside each year and are awarded on a first-come, first-served or case-by-case basis.
Applying to multiple facilities and programs simultaneously is strongly recommended.
Can A Family Member Apply For A Scholarship On Behalf Of A Loved One?
In most cases, the person seeking treatment needs to be the applicant because scholarships require personal commitment to treatment.
However, family members can research options, gather documentation, and support a loved one during the application process.
Find Treatment That Fits Your Budget
Cost should never stand between someone and the help they need. Browse our directory to find substance use disorder treatment programs near you or contact SAMHSA for free, confidential guidance.