Every year, the Centers for Medicare & Medicaid Services (CMS) announces changes to the Medicare system, including deductibles, copayments, and coinsurance. Navigating the Medicare process can feel overwhelming, especially with costs that change each year.
Fortunately, it is relatively easy to estimate the costs for Medicare so that you can easily prepare.
2021 Medicare Part A Costs
The cost for Medicare Part A for most Medicare beneficiaries is usually zero. If you have worked 40 quarters or ten years in the United States, you have already paid for Part A through the Medicare payroll taxes. However, if you must purchase Medicare Part A, the cost will be about $471/month in 2021.
Medicare beneficiaries who have worked more than 30 quarters but less than 40 quarters can get a pro-rated premium of $259/month.
The Part deductible that you will pay when you have a hospital stay is $1,484 in 2021. This is an increase of $76 from $1,408 in 2020.
2021 Medicare Part B Costs
The Medicare Part B premium and annual deductible for 2021 are higher than the 2020 rates. Part B’s standard monthly premium is about $148.50 in 2021, which is an increase of $3.90 from $144.60 in 2020. Part B annual deductible is $203 in 2021, which is an increase of $5 from $198 in 2020.
It is important to note that Part B premiums are typically based on income. If your income is in a higher bracket, you may pay more than someone whose income is lower.
2021 Medicare Part C and D Costs
Part C premiums vary among each plan. However, it is possible to find a plan with a premium as low as $0, but keep in mind that you will still be expected to pay the Part B premium.
The Part D premiums for 2021 depend on the plan. Each state has several different plans to choose from. You can find a Medicare Part D plan that starts around $10 to $15/month in most states.
You’ll pay the standard Medicare Part D premium, except if you have a higher income. Those with higher incomes pay more for Medicare Part D. It is important to consider this if you compare the likely costs for Part D against other health insurance.
Let the Medicare experts from Senior Savings USA help you figure out how much Medicare will cost you in 2021. Our experts can help you determine which plan could be right for you based on your needs and budget.
