Medicare Premiums to Expect in 2020
Medicare premium costs in 2020 have been released by the Centers for Medicare & Medicaid Services (CMS). CMS is a federal government agency that’s tasked with the administration, distribution and oversight of the Medicare and Medicaid program.
In preparation for these new changes in 2020, CMS has broken down the Medicare premium rates and shared deductible information, making it clear who will pay for what based on what circumstances apply to each individual.
Medicare Part A Premium – Hospital Benefit
More than likely, you won’t have to pay a monthly Medicare premium for Part A because while you’ve been working, Medicare taxes have been taken out of your paychecks (if you’re a tax-paying United States citizen). If that’s not the case for you, then you could be paying up to $458 per month for your Medicare Part A premium.
Perform research on your own individual Medicare Advantage plan, then compare rates of other plans that you discover in your research.
For stays in the hospital, the following would apply in 2020:
- For each benefit period, a $1,408 deductible applies.
- During the initial 60 days of each benefit period, there’s no additional cost.
Skilled Nursing Facility Stays
For stays in skilled nursing facilities, the following would apply in 2020:
- During the initial 20 days of each benefit period, there’s no additional cost.
- During days 21–100 for each benefit period, a rate of $176 per day applies.
Medicare Part B Premium – Medical Benefit
There are multiple ways to determine the cost of your monthly Medicare Part B premium.
- The standard Medicare Part B premium for 2020 is $144.60 or higher based on your income.
You’ll pay the standard monthly Medicare Part B premium amount or higher, based on your income from 2018, if the following applies to you.
- You’re enrolling in 2020 for the first time for Medicare Part B
- Your Adjusted Gross Income on your tax return from 2018 is at a specified amount
- You don’t receive benefits from the Social Security Administration