Part A Premium: Medicare Part A covers inpatient hospital services, skilled nursing facility services, home health care, and hospice. The Part A premium may be different depending on your work history.
Most people do not pay a premium for Part A. If you or your spouse has worked more than 10 years, you will generally not have to pay a Part A premium.
The cost for Part A premium is dependent on how many quarters you have worked. If you did not work over 40 quarters, you might be eligible under your spouse.
Part A Costs:
|Medicare Part A costs in 2021|
|Premium if you have worked over 40 quarters||$0|
|Premium if you have between 30 and 39 working quarters||$259/month|
|Premium if you have fewer than 30 working quarters||$471/month|
|Inpatient hospital daily coinsurance for days 61 to 90||$371/day|
|Inpatient hospital daily coinsurance for 60 lifetime reserve days||$742/day|
|Skilled nursing facility (SNF) daily coinsurance for days 21 to 100||$185.50/day|
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.
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.
Part D Changes:
Medicare Part D – Prescription Drug Plan Stages:
|Stage 1||Stage 2||Stage 3||Stage 4|
|Annual Deductible$445 in 2021||Initial Coverage$4,130 in 2021||Coverage Gap – Donut Hole$6,550 in 2021||Catastrophic Coverage$3.70 / $9.20 or 5%|
|You pay 100% for the costs of your prescriptions until you reach your deductible. Most plans have a $445 deductible in 2021. Some plans are lower or have a $0 deductible. Deductible only applies to Tier 3-5 on most plans.||You pay a copay (percentage of the drug cost) when you fill a prescription. This stage will last until you reach $4,130 in 2021 in out-of-pocket expenses.||Known as the Donut Hole. You are responsible for paying 25% to 37% of the costs for both brand name and generic prescriptions. You will stay in the donut hole until your costs reach $6,550 in 2021.~ 12% of Medicare Beneficiaries reach the Coverage Gap.||Once you reach catastrophic coverage, copays are typically lower than during the Initial Coverage stage. This stage will last for the rest of the year. ~4% of Medicare Beneficiaries reach Catastrophic Coverage|
|Total Maximum Out-of-Pocket Spending: $6,550 in 2021.||No Limit|
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