How much does Medicare Part B coverage cost?
The standard Part B premium amount in 2024 is $174.70. Most people pay the standard Part B premium amount. If your modified adjusted gross income (AGI) as reported on your IRS tax return from 2 years ago is above a certain amount, you’ll pay the standard premium amount and an Income Related Monthly Adjustment Amount, also known as IRMAA. IRMAA is an extra charge added to your premium. Go to www.medicare.gov/your-medicare-costs/part-b-costs or call 1-800-MEDICARE (1-800-633-4227, TTY users call 1-877-486-2048) 24 hours a day/7 days a week, for more information.
What’s the Part B late enrollment penalty?
If you don’t sign up for Part B when you’re first eligible, you may have to pay a late enrollment penalty for as long as you have Part B. Your monthly premium for Part B may go up 10% for each full 12 months in the period that you could’ve had Part B, but didn’t sign up for it. If you’re allowed to sign up for Part B during a Special Enrollment Period, you usually don’t pay a late enrollment penalty. For example, if you wait to sign up for Part B for 24 months after the Initial Enrollment Period (IEP), the premium penalty will be an additional 20% on your monthly Part B premium as long as you continue to have Part B.
What’s the Part B Deductible and coinsurance?
Part B carries an annual $240 deductible in 2024. This deductible only counts towards Medicare approved amounts. After your deductible is met, you typically pay 20% (coinsurance) of the Medicare-approved amount, while Medicare pays 80% for most doctor services (including most doctor services while you’re a hospital inpatient), outpatient therapy, and durable medical equipment (DME).
For more information, go to this webpage: www.medicare.gov/your-medicare-costs/medicare-costs-at-a-glance.