2016 Medicare Parts A and B Premiums and Deductibles

stock-footage-senior-couple-surfing-on-internet-with-touchpadWith the new year here there are new Medicare Parts A and B premiums and deductibles. The standard Medicare Part B premium will hold steady at $104.90 a month, but for almost a third of beneficiaries, the premium will rise to $121.80 a month. The Part D deductible will rise to $166 for all beneficiaries. If you are enrolled in Medicare but are not receiving Social Security, are a new Medicare beneficiary, are a senior earning more than $85,000 a year, receive both Medicare and Medicaid, then you are not protected from the rising premium. For those who enroll in Medicare Advantage plans, cost-sharing arrangements may be different and the premium is expected to decrease from $32.91 to $32.60.

Important Figures:

Basic Part B Premium $104.90/month (unchanged)
Part B Premium for those not “held harmless” $121.80
Part B Deductible $166 (was $147)
Part A Deductible $1,288 (was $1,260)
Co-Payment for hospital stay days 61-90 $322/day (was $315)
Co-Payment for hospital stay days 91 and beyond $644/day (was $630)
Skilled nursing facility co-payment, days 21-100 $161/day (was $157.50)

Individuals with annual incomes between $85,000 and $107,000 and married couples with annual incomes between $170,000 and $214,000/$170.50 monthly premium
Individuals with annual incomes between $107,000 and $160,000 and married couples with annual incomes between $214,000 and $320,000/$243.60 monthly premium
Individuals with annual incomes between $160,000 and $214,000 and married couples with annual incomes between $320,000 and $428,000/$316.70 monthly premium
Individuals with annual incomes $214,000 or more and married couples with annual incomes $428,000 or more/$389.80 monthly premium

Individuals who are married, but filing separately with incomes between $85,000 and $129,000/$316.70 monthly premium
Individuals who are married, but filing separately with incomes $129,000 or more/$389.90 monthly premium

The number used to calculate the 2016 Part B beneficiary’s premiums is the income reported two years ago when filing taxes. To calculate income, tax-exempt interest, U.S. savings bond interest used to pay tuition and certain income from foreign sources are included in the modified adjusted gross income.

Sorry, comments are closed for this post.

Hugg and Associates LinkedIn