As expected, the standard monthly premium for Medicare Part B enrollees will increase $10.30 from 2024 to $185 in 2025. The annual deductible—the amount paid before insurance begins to pay for health services—will increase to $257, up $17 from 2024.1 Medicare monthly premium is based on income, so many of you pay more for coverage. For example, for individuals, if your income is greater than $200,000 and less than $500,000, your monthly premium would increase to $591.90. The rules are different for married couples.1,2 Remember, Social Security’s cost of living adjustment (COLA) for 2025 was 2.5 percent, which means the average monthly benefit for retired workers will increase by $49 to $1,976. Put another way, if you are having your Medicare Part B premium deducted from your social security benefit, about 21 percent of your COLA is going to pay for the Medicare Part B premium. If you think this change might impact future income needs, lets set some time aside to take a closer look at your overall picture and figure out what adjustments we can make. Sincerely, Ed |
1. CentersforMedicare&MedicaidServices.gov, November 8, 2024 |