Yes, the costs associated with Part B are different this year. Remember that Medicare Part B covers outpatient medical services.
Part B premium: The Part B base premium in 2021 is $148.50. Keep in mind, $148.50 is the standard premium for people with a yearly income equal to or below $88,000 for an individual ($176,000 for a married couple). If your income is higher than that, you may have to pay an income-related monthly adjustment amount, also known as IRMAA. Most people with Medicare pay the standard premium. A small number of people may pay a premium that is lower than the standard premium because their Social Security benefits did not increase enough to cover the increase in their Part B premium from 2020 to 2021.
Part B deductible and coinsurance: If you have Original Medicare, you will pay a Part B deductible of $203 in 2021. You will continue to pay a 20% coinsurance for services covered by Part B. The amount you pay for Medicare Advantage Plan deductibles, copayments, and/or coinsurances varies by plan.
|Original Medicare Part A Costs: 2020 vs. 2021|
|Part B premium*||$144.60/month||$148.50/month|
|Part B deductible||$198/year||$203/year|
|Part B coinsurance||20% for most services||20% for most services|
|* If your annual income is higher than $88,000 for an individual ($176,000 for a couple), you will
pay a higher Part B premium. Visit www.medicare.gov for Part B costs by annual income.
If you have a Medicare Advantage Plan, your plan administers your Part B coverage. Remember that most people with Medicare, whether they have Original Medicare or a Medicare Advantage Plan, pay the Part B monthly premium. Some people with a Medicare Advantage Plan may also pay an additional monthly premium for being enrolled in that plan.
If you have the same Medicare Advantage Plan in 2021 as you did in 2020, your plan should have sent you an Annual Notice of Change (ANOC) or Evidence of Coverage (EOC) notice explaining any changes for the coming year. Review this notice to understand your plan’s costs, covered services, and rules. Contact your plan if you did not receive these documents in the fall or want another copy. If you chose a new Medicare Advantage Plan, you should get an EOC for the new plan. Review that document to understand the costs associated with the plan for 2021.
Read Next: Will Costs for Medicare Part D Prescription Drug Plans Change in 2021?
Learn About: How Can I Get a Medicare & You Handbook?
Return to: Medicare 2021
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