Why are Medicare Part B premiums different?
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News from the Area VI Agency on Aging
POLSON — There was no increase in Social Security monthly benefits for 2016, so those already having their Medicare Part B premium deducted from Social Security are “held harmless” by law from any increase in Medicare. Their premiums will stay the same at $104.90 per month.
Those not having Medicare deducted from Social Security before January 2016 will pay $121.80 per month. Federal law requires that 25 percent of Part B costs be collected from beneficiaries in premiums. The increase for this group would have been around $50 – higher for some. The last minute budget agreement reached by Congress included a provision to prevent such a large increase in Medicare premiums. The difference in premium amounts will be adjusted over time as Social Security benefits are increased, so that eventually everyone will pay the same premium amount again. The most recent such adjustment occurred in 2011-2012.
Those with high incomes will continue to pay additional amounts. The Income-Related Monthly Adjustment Amount can be found at www.medicare.gov and other online sites. You can also call our office at 1-800-266-4188 if you have questions about your Medicare part B premium amount.
