- $202.40 a month, if their income is above $87,000 and no more than $109,000.
- $289.20 a month, if their income is above $109,000 and no more than $136,000
- $376.00 a month, if their income is above $136,000 and no more than $163,000
- $462.70 a month, if their income is above $163,000 and no more than $500,000
- $491.60 a month, if their income is above $500,000
For couples with combined incomes under $326,000 filing a joint tax return, the premium amount is double the individual income. Couples with incomes between $326,000 and $750,000 each pay a $491.60 monthly premium. And, couples with incomes over $750,000 each pay a $491.60 monthly premium. Visit this CMS web site if you are filing separate returns
Part B annual deductible: $198, an increase of $13 from the annual deductible of $185 in 2019.
People with incomes up to 135 percent of the federal poverty level, ($1,426 in monthly income for an individual and $1,923 for a couple in 2019; these amounts may increase in 2020) are eligible for help paying their premiums through Medicaid or a Medicare Savings Program.
For more than four decades, the Medicare Part B premium (medical insurance) was the same for everyone regardless of income, geography or health status, a quarter of the cost of Part B services. (Medicare Part A, hospital insurance, is premium-free if you have contributed into Social Security for at least 40 quarters.) In 2007, wealthier people with Medicare began paying higher premiums.
Here are 2020 Part A costs:
- There is no Part A premium if you or your spouse have at least 40 quarters of coverage.
- The Part A premium if you or a spouse has at least 30 quarters of coverage is $252 a month; if you don’t have at least 30 quarters, the premium could be $458 a month.
- The Part A inpatient hospital deductible is $1,408, an increase of $44 from $1,364 in 2019, and daily coinsurance for hospitalizations after day 60 is $352 a day in a benefit period; coinsurance for lifetime reserve days is $704 a day.
- The Part A daily coinsurance for skilled nursing facility stays after day 20 is $176, an increase of $5.50 from $170.50 in 2019.
Here’s more from Just Care:
- How to get dental care if you have Medicare
- Six tips for keeping your drug costs down if you have Medicare
- Four things to think about when choosing between traditional Medicare and a Medicare Advantage plan
- Good news for anyone looking for help losing weight: Medicare covers weight loss counseling
- If you want easy health care access and good quality care, you probably want traditional Medicare
These appear to be quite a bit higher increases this year compared to prior years.
Medicare premiums have increased on an annual basis for the last 3 years. Is the increase a regular occurrence – should recipients expect an increase in premiums every year?
Who determines the amount of the premium?
How are the increases in premiums calculated?
The standard Medicare Part B premium is 25 percent of the total cost of Part B. General taxes pick up the remaining 75 percent. Traditional Medicare has done a pretty good job of reining costs in relatively to private insurance and Medicare Advantage plans. But, costs do increase. The biggest driver though of higher Part B premiums are the Medicare Advantage plans. Medicare Advantage plans have increased Medicare’s costs each year, by overcharging the program to what is estimated to be between $100 and $200 billion over the last decade, as I have reported.
Re Medical insurance premiums: They pay only 20% of the Medicare unpaid balance. So why on earth are Medigap monthly premuims almost double the Medicare Part B premuims? Pure greed! CEOs’ annual income of millions of $$$$ is the reason for our paying such high premiums. No human being can perform enough work to warrant that kind of income. America, the ugly.