Part A of Medicare is “Free” for most folks when they qualify.
But, Part B has a Monthly Premium. You may say, “But I’ve paid for it all my working life!” Well, Yes and No. What you were paying for was Part A. That’s why there is NO monthly premium for Part A. BUT – You were NOT paying for Part B. That’s why, when you become eligible, there is a monthly premium.
As of Jan 1, 2025, the base premium for Part B is $185 per month. This is effective for both New and Existing enrollees. In some instances, usually with existing enrollees, this premium may be lower. That’s based on income. But, for most people, the premium is $185 per month.
How do I pay it?
If you are receiving Social Security Benefits – The monthly premium is deducted straight from your check before you receive it. The Gov’t figures, What you don’t have you cannot spend! So they take that first then send you the money.
If you are not receiving Social Security Benefits, The default payment method is a Quarterly Bill. You would pay the bill every 3 months usually 5 days before it’s effective. ie… a March 1 effective date of Medicare payment would be due Feb 25…
You also have the option of paying the bill monthly with a direct bank withdrawal. This is easy to set up, but my suggestion is to pay the 1st bill quarterly like they ask, fill out the bank withdrawal authorization form and send it in with the payment. They will begin withdrawing from your bank account on the 4th month.
The Part B premium IS Means Tested. Meaning if your income is higher, you may pay a higher Part B premium. This is based on your Adjusted Gross Income from 2 years back. If you are a Single Person filing taxes separately, and you make $106,000 or more per year, you will pay a higher premium. If you are a married couple filing taxes jointly and you make over $212,000 per year, you will pay a higher premium.
Premiums for high-income beneficiaries who are married and lived with their spouse at any time during the taxable year, but file a separate return, are as follows:
| File individual tax returns | File joint tax returns | File married & separate tax return | You pay each month (in 2024) |
|---|---|---|---|
| $106,000 or less | $212,000 or less | $106,000 or less | $185.00 |
|
Above $106,000 and up to $133,000 |
Above $212,000 and up to $266,000 |
Not Applicable | $259.00 |
|
Above $133,000 and up to $167,000 |
Above $266,000 and up to $334,000 |
Not Applicable | $370.00 |
|
Above $167,000 and up to $200,000 |
Above $334,000 and up to $400,000 |
Not Applicable | $480.90 |
| Above $200,000 and less than $500,000 | Above $400,000 and less than $750,000 | Above $106,000 and less than $394,000 | $591.90 |
| $500,000 or above | $750,000 and above | $394,000 and above | $628.90 |
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