Tag Archives: Part B premium increase

2022 Medicare Part B Premium and Deductible Amounts Announced

Medicare finally announced the 2022 Part B costs late Friday afternoon.  The key numbers are the monthly Premium and the annual Deductible.  The Part B premium that most people pay will go up 14.5% from $148.50 to $170.10.  (Higher income people must pay an income surcharge called, Irmaa.  These amounts as well as the thresholds increased also.)  The Part B deductible increased a similar percentage from $203 to $233. 

These increases were more than projected just a couple of months ago.  The primary drivers for these increases were medical inflation and potential coverage of a new, hi-cost Alzheimer drug.  While these increases seem large, people on Social Security will still see a net increase due to the Hold Harmless provision that insures people’s Cola increase will cover the Medicare Part B premium increase.

As usual, I will post all of the key Medicare cost share amounts next month.  If any questions about how these apply to you, contact me.

Feel free to contact me if you have any questions or need assistance with selecting a Medicare Plan.  I don’t charge any fees nor increase your cost.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

Medicare Part B Announcements and Open Enrollment (AEP) for 2021

Medicare has just announced the Part B costs for 2021.  While these costs tend to go up over time, they don’t necessarily go up every year.  Beginning January 1st, there will be a slight increase in the Part B Deductible from current $198 to $203.   The standard Part B premium costs will go from current $144.60 to $148.50 per month for most people.  I say most people because high income earners have to pay a surcharge depending on their tax return two years prior.

We are also in the Medicare Open Enrollment period (AEP) which will end December 7th.  This affects people with Part D drug Plans (PDP) and Medicare Advantage Plans (Part C) who may want to make a change.  Medicare Supplement Plans are not subject to the AEP.

Any questions regarding these changes or any other Medicare related question can be directed to me at the contact info below.

If you have questions about your Choices in Medicare, please contact me at David@ChoicesInMedicare.com or go to www.ChoicesInMedicare.com

IRMAA and Medicare

In many of my client meetings, the term IRMAA comes up.  It stands for Income Related Monthly Adjustment Amount.  A lot of times, it can be avoided but many times it “is what it is”.  What is it?  Most people pay a monthly premium for their Medicare Part B. which this calendar year is $144.60/month.   Higher income folks pay more.  The first threshold (of several) to be subject to Irmaa begins at $174,000 for joint filers and $87,000 for single filers on their 2018 tax return.

The good news is that there are several valid reasons one can appeal and be successful.  One of those is if one is retiring and will have a reduced income.  This is what most people are doing when they decide to go to Medicare.  The appeal form can be downloaded and filed at no cost.

I help people understand and navigate Irmaa most days.  Feel free to call if any questions regarding Irmaa or Medicare.  I came across a recent article that provides more detail on Irmaa and you can access via the following link.

https://www.richmond.com/business/kiplinger-s-personal-finance-how-retirees-can-avoid-a-medicare/article_6998b2f3-6ec0-539f-bbe8-9a2f06329aa4.html

If you have questions about your Choices in Medicare, please contact me at David@ChoicesInMedicare.com or go to www.ChoicesInMedicare.com

New 2020 Medicare Costs At A Glance

New 2020 Medicare Costs at a Glance

Happy New Year!  As I do every new year, I wanted to post the key, new Medicare numbers that will be in effect for 2020.   These are the key changes to Medicare’s premiums and coverages.  A highlight is the average costs for Part D drug plans have gone done and the infamous “Donut Hole” (aka Coverage Gap) name no longer applies as costs for people who do reach this stage now only pay 25% of the cost for Brand or Generic drugs.

  • Part A deductible – Will be $1408 up from $1364 (per 60 day Benefit Stay)
  • Part B Deductible – Will be $198 up from $185 (Annual deductible)
  • Part B Premium – Will be $144.60 up from $135.50 (Excluding Irmaa)
  • Part D Maximum Deductible – Will be $435 up from $415 (Some plans don’t have a deductible)
  • Part D Premium National Average – Will be $32.74 DOWN from $33.19 (Is used to determine Part D Penalty)

Feel free to contact me if you have any questions or need assistance with selecting a Medicare Plan.  I don’t charge any fees nor increase your cost.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

New 2019 Medicare Costs at a Glance

As I do every new year, I wanted to post the key, new Medicare numbers that will be in effect for 2019.   These are the key changes to Medicare’s premiums and coverages.  A couple of the highlights are that the Part B premium only went up $1.50 and the Part B deductible only went up $2.

  • Part A deductible – Will be $1364 up from $1340 (per 60 day Benefit Stay)
  • Part B Deductible – Will be $185 up from $183 (Annual deductible)
  • Part B Premium – Will be $135.50 up from $134.00
  • Part D Maximum Deductible – Will be $415 up from $405 (Some plans don’t have a deductible)
  • Part D Premium National Average – Will be $33.19 DOWN from $35.02 (Is used to determine Part D Penalty)

Feel free to contact me if you have any questions or need assistance with selecting a Medicare Plan.  I don’t charge any fees nor increase your cost.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

New 2018 Medicare Costs at a Glance

With the New Year just starting, I wanted to post the key, new Medicare numbers that will be in effect for 2018.   These are the key changes to Medicare’s premiums and coverages.  As I noted in July, CMS did not increase the Part B premium or Part B deductible for 2018 as expected.  Below are the key, new numbers:

  • Part A deductible – Will be $1340 up from $1316 (per 60 day Benefit Stay)
  • Part B Deductible – Will remain at $183.  Yippee! (Annual deductible)
  • Part B Premium – Will also remain at $134.00 for new beneficiaries. (Will not apply to many existing beneficiaries who had already taken out of Social Security) And does not apply to high income earners.
  • Part D Maximum Deductible – Will be $405 up from $400 (Some plans don’t have a deductible)
  • Part D Premium National Average – Will be $35.02 DOWN from $35.63.  (Is used to determine Part D Penalty)

Feel free to contact me if you have any questions or need assistance with selecting a Medicare Plan.  I don’t charge any fees nor increase your cost.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

2018 Medicare Part B Premium and Social Security Cola Projections

The trustees who oversee Social Security and Medicare have announced their projections for the 2018 Social Security Cost of Living Adjustment (Cola) and Medicare Part B Premium.  At this point they are projecting a 2.2% increase in the Social Security Cola.  They are also projecting no increase to the current $134/month Part B Premium.  (High income earners pay more and some people who already had Part B pay less.)

This is good news for seniors especially compared to the last few years with little to no Social Security Cola increases.  I will update this topic when the final amounts are announced. this fall.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

New 2017 Medicare Costs at a Glance

With the hectic Medicare Open Enrollment period ended, I wanted to post the key, new Medicare numbers that will be in effect for 2017.   These are the key changes to Medicare’s premiums and coverages.  As I predicted, CMS did not increase the Part B premium as initially indicated and came in just under a 10% increase.

  • Part A deductible – Will be $1316 up from $1288 (per 60 day Benefit Stay)
  • Part B Deductible – Will be $183 up from $166 (Annual deductible)
  • Part B Premium – Will be $134.00 up from $121.80 (Will not apply to existing 2016 beneficiaries who have it taken out of Social Security)
  • Part D Maximum Deductible – Will be $400 up from $360 (Some plans don’t have a deductible)
  • Part D Premium National Average – Will be $35.63 up from $34.10 (Is used to determine Part D Penalty)

Feel free to contact me if you have any questions or need assistance with selecting a Medicare Plan.  I don’t charge any fees nor increase your cost.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

Medicare Part B Premium Increase for 2017

The latest news on Medicare Part B 2017 premium increase is “stay tuned”.   Congress is still working on this and the final determination won’t come until October 1st at the earliest.  Like last year, there is a strong possibility that the “Hold Harmless” provision will protect  existing Medicare beneficiaries who have their Part B premiums deducted from their Social Security check.  That will leave the others to take a larger load of the increase.

While a 22% increase is being discussed, my guess is it will be negotiated down like last year.  I will keep readers apprised.  If you want to read more on this, I have linked an article here:  http://www.miamiherald.com/news/business/article100185427.html

If you have questions about Medicare, call me, with no cost or obligation.  This is what I do and enjoy it.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com

When Should You Enroll in Medicare? You Might be Surprised.

One of the most common questions (concerns) when I first speak with my clients is regarding if and when they must enroll in Medicare Part B.  This arises as they either read about it, heard it from a friend or received correspondence stating they “had” to enroll but gave no clarifications.   I also find many should have enrolled and did not know they needed to enroll.  There are several key clarifications.

In short, people who become eligible for Medicare while they are working and on their employer’s health plan (or spouse’s) do not “need” to enroll in Medicare if they work for a company with 20 or more employees.   If they work for a company with less than 20 employees, they do need to enroll in Medicare because it will be considered primary coverage to their small company’s health plan.  Confused yet?

Regardless of whether or not they need to enroll in Medicare Parts A and B, the first thing I help prospective clients with, is to determine if they should stay on their company’s health plan or move to Medicare.  This involves comparing the incremental cost to move from the employer plan to Medicare coverages.  In most cases, Medicare coverages (including supplemental) is richer coverage than most employer plans.

A recent article just noted that over 750,000 Medicare beneficiaries have made the mistake of not enrolling when they should have and will be paying penalties averaging 30% for the rest of their lives.  As a result of complaints, Congress is considering legislation to help address this problem.  What is also interesting, is this figure does not talk about the number of beneficiaries who do enroll in Medicare needlessly and are spending potentially thousands of unnecessary dollars.  If you want to read more about this, you can follow the link to the article: http://www.philly.com/philly/health/20160803_How_to_save_big_on_Medicare__Know_when_to_sign_up.html

If you have questions about Medicare, call me, with no cost or obligation.  This is what I do and enjoy it.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com