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What Will You Pay for Medicare in 2021?

What Will You Pay for Medicare in 2021?

November 20, 2020
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Medicare premiums, deductibles, and coinsurance amounts change annually. Here's a look at some of the costs that will apply in 2021 if you're enrolled in Original Medicare Part A and Part B. 

Medicare Part B premiums

According to the Centers for Medicare & Medicaid Services (CMS), most people with Medicare who receive Social Security benefits will pay the standard monthly Part B premium of $148.50 in 2021. 

People with higher incomes may pay more than the standard premium. If your modified adjusted gross income (MAGI) as reported on your federal income tax return from two years ago (2019) is above a certain amount, you'll pay the standard premium amount and an Income Related Monthly Adjustment Amount (IRMAA), which is an extra charge added to your premium, as shown in the following table.

Other Medicare costs

The following out-of-pocket costs for Original Medicare Part A and Part B apply in 2021:

  • Part A deductible for inpatient hospitalization: $1,484 per benefit period
  • Part A premium for those who need to buy coverage: up to $471 per month (most people don't pay a premium for Medicare Part A)
  • Part A coinsurance: $371 per day for days 61 through 90, and $742 per "lifetime reserve day" after day 90 (up to a 60-day lifetime maximum)
  • Part A skilled nursing facility coinsurance: $185.50 for days 21 through 100 (for each benefit period)
  • Part B annual deductible: $203

Disclosures: 

Securities and investment advisory services offered through FSC Securities Corporation (FSC), member FINRA / SIPC . FSC is separately owned and other entities and/or marketing names, products or services referenced here are independent of FSC.
This message may contain confidential information and is intended for use only by the addressee(s) named on this transmission. 
Broadridge Investor Communication Solutions, Inc. does not provide investment, tax, or legal advice. The information presented here is not specific to any individual's personal circumstances.
Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2020
To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances. These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable; we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.