Generic Savings Calculator
Brand-name drugs cost Medicare Part D $185.4 billion annually, while generics cost just $39.4 billion — despite generics accounting for 86.6% of all prescriptions filled. This calculator shows the massive savings potential if more brand prescriptions were switched to generic equivalents.
$185.40B
Brand Drug Spending
$39.40B
Generic Drug Spending
13.4%
Brand Rx Rate
$135.34B
Potential Savings
🔍 State-Level Savings Explorer
How This Calculator Works
We use a conservative estimate that generic drugs cost approximately 73% less than their brand-name equivalents on average. This figure comes from FDA and academic research comparing brand vs. generic pricing across therapeutic categories. The actual savings would vary by drug, since some generics are nearly as expensive as brands while others cost 95%+ less.
Not all brand prescriptions can be switched — some drugs have no generic equivalent (particularly newer biologics and specialty drugs). However, research consistently shows that a significant portion of brand prescribing occurs even when identical generics are available, driven by provider habit, patient preference, and pharmaceutical marketing.
Why Generic Prescribing Matters
The FDA requires that generic drugs have the same active ingredient, strength, dosage form, and route of administration as the brand-name product. They must also demonstrate bioequivalence — meaning they deliver the same amount of active ingredient to the body at the same rate. Despite this, brand prescribing persists at significant rates.
For Medicare beneficiaries, the difference is not just systemic — it's personal. Brand-name drugs typically have higher copays, and the coverage gap ("donut hole") hits faster with expensive brands. A provider who habitually prescribes brands over generics may be costing their patients hundreds or thousands of dollars annually in unnecessary out-of-pocket spending.
OpenPrescriber tracks brand vs. generic prescribing rates for every Medicare Part D provider, enabling patients, researchers, and policymakers to identify patterns and outliers. States, specialties, and individual providers all show significant variation in generic prescribing — variation that translates directly into billions of dollars in potential savings.
Data source: CMS Medicare Part D Prescribers dataset, 2023. Savings estimates are illustrative and assume average generic substitution rates. Actual savings depend on generic availability and clinical appropriateness. This tool is for educational purposes only.