Medicare currently consists of four parts, and what you will pay each month will be based on which part you choose. Let’s go over the premium and deductible costs you will see with each part of Medicare in 2022.
Cost of Medicare Part A in 2022
For many, Medicare Part A is premium-free. You can have premium-free Part A if you paid 40 quarters worth (ten years) of Medicare taxes while working. If you paid between 30 and 39 quarters, you will have a monthly premium of $274. If you paid less than 30 quarters, your monthly premium will be $499.
Part A also has a deductible that is $1,556 per benefit period. A benefit period starts once you are admitted into a hospital or a skilled nursing facility. The benefit period will end once you have been out for 60 days in a row. If you have to be admitted again after these 60 days, a new benefit period will begin, and you must pay another Part A deductible to receive coverage.
Cost of Medicare Part B in 2022
While many Medicare beneficiaries will receive premium-free Part A, Medicare Part B’s monthly premium must be paid. As of 2022, the average premium for Part B is $170.10. However, this can be more for those who have a higher income.
Part B also has an annual deductible of $233. This deductible will only be paid once a year, unlike Part A, where its deductible must be paid each benefit period.
Cost of Medicare Parts C and D in 2022
Medicare Advantage (Part C) combines coverage from Part A and B, and sometimes Part D (prescription drug coverage). To have a Medicare Advantage plan, you must already have Part A and B, as well as still pay their premiums and deductibles.
Many Medicare Advantage plans will also have little to no premiums, but the overall cost of your Part C plan depends on specific factors such as your insurance provider, location, type of plan, and whether you receive in-network or out-of-network care.
The costs for Part D will also be dependent on the type of Part D plan, your income, and your insurance provider. As of 2022, the average Part D monthly premium sits at $33. Some Part D plans may also have no deductible, while other plans can have a deductible of no more than $480.
At Peritia Advisors, we will help you find the best Medicare plan for your needs. Contact us today for more information about the costs of Medicare.