Medicare is important and even necessary for many, as it provides much-needed insurance to those who need it most. As the new year approaches, many are probably wondering what kind of changes will take place. Medicare’s premiums for the upcoming year (2018) have been publicized, and here’s what you need to know.
Part B is the medical insurance part of Medicare, and it covers outpatient services, medical equipment, and doctor expenses. Part B’s deductible will stay the same, as will the premiums, remaining at $183 and $134 a month respectively (or higher depending on monthly income; see Breakdown of Costs below).
You will pay that standard premium if you: are just enrolling in Part B; don’t get social security benefits; are directly billed for your premiums, or if Medicaid pays your premiums.
Breakdown of Costs
Singles who make $85,000 or less yearly and married couples who make $170,000 or less will pay the standard $134.
Singles who make $85,001 – $107,000 and married couples who make $170,001 – $214,000 will pay $187.50.
Singles who make $107,001 – $133,500 and married couples who make $214,001 – $267,000 will pay $267.90.
Singles who make $133,501 – $160,000 and married couples who make $267,001 – $320,000 will pay $348.30.
Singles who make more than $160,00 and married couples who make more than $320,000 will pay $428.60.
Part A covers hospital and nursing home expenses. Unlike Part B, the rates for Part A will see an increase, albeit nothing too drastic. The inpatient deductible for everyone in Part A will rise to $1,340, a $24 increase.
Those who worked at least 40 quarters in a job that paid Social Security taxes will qualify for premium-free Part A. Those who have not worked at least 40 quarters will see a slight increase in premiums, ranging from $5 to $9 more a month. Some pay up to $422 per month.
Only a Brief Overview
This, of course, has only been a brief overview of Medicare costs in 2018. Being informed is the best way to optimize your healthcare and get the most out of it, so I urge you to read this blog to keep informed about any Medicare changes that might affect you..
Wiley Long is founder and president of Medigap Advisors, and is passionate about helping people navigate the confusing waters of Medicare. He is the author of The Medicare Playbook: Designing Your Successful Health Coverage Strategy, a clear and simple explanation so you can make the most of your Medicare coverage. For more information visit www.MediGapAdvisors.com.