The 2024 Part B Premium and How It's Set

The standard Part B premium for 2024 is $164.90 per month if you enroll when you first become may be able to access. This is the amount most people pay when they sign up at 65 or during their initial enrollment period.

Medicare sets Part B premiums each year based on expected program costs for the coming year. The premium you pay depends on when you enrolled and your income level. If you delayed enrolling in Part B after turning 65 without may have access to for an exception, you will pay a higher premium — a permanent surcharge called a late enrollment penalty.

Part B also has an annual deductible of $240 in 2024. This means you pay this amount out of your own pocket before Part B starts to pay its share of your doctor visits, lab tests, and outpatient care.

Key Takeaways

  • The standard Part B monthly premium for 2024 is $164.90, but your actual premium may be higher if your income exceeds certain thresholds or if you enrolled late.
  • Part B has a $240 annual deductible in 2024, which you must pay before Part B coverage begins.
  • After you meet the deductible, Part B typically covers 80 percent of approved services, and you pay the remaining 20 percent as coinsurance.
  • Your premium is usually deducted automatically from your Social Security check, but you can arrange to pay Medicare directly instead.
  • If your income is above certain levels, you will pay an additional amount called an Income-Related Monthly Adjustment Amount (IRMAA) on top of the standard premium.

Income-Based Premiums: When You Pay More

If your modified adjusted gross income (MAGI) exceeds a certain threshold, you will pay more than the standard $164.90 monthly premium. These higher amounts are called Income-Related Monthly Adjustment Amounts (IRMAA).

For 2024, the income thresholds are based on your tax return from two years earlier — so your 2024 premium is based on your 2022 income. If you are single and your MAGI is above $97,000, or married filing jointly and above $194,000, you will pay a higher premium. The more your income exceeds these thresholds, the higher your surcharge.

Medicare uses specific income brackets to calculate IRMAA. Someone single with a MAGI between $97,001 and $121,000 pays about $230.90 per month, while someone above $194,500 pays approximately $560.50 per month. These amounts change each year.

If your income drops significantly — because of retirement, divorce, or death of a spouse — you can request that Medicare recalculate your premium using your current year income instead of the two-year-old tax return. You will need to file a form and provide documentation of the life event.

What Part B Actually Covers and What You Pay

Part B covers doctor visits, outpatient hospital services, diagnostic tests, physical therapy, and certain preventive care. Once you meet the $240 deductible, Part B pays 80 percent of the approved amount for most services, and you pay the remaining 20 percent as coinsurance.

This 20 percent coinsurance can add up quickly if you need frequent care or expensive procedures. A single office visit might cost you $20 to $40 after the deductible, but a course of physical therapy or imaging tests can run into hundreds of dollars out of your pocket.

Part B does not cover everything. It excludes routine dental care, vision exams for glasses, hearing aids, and most prescription drugs (those are covered under Part D). If you want broader coverage, many people add a Medigap policy or enroll in a Medicare Advantage plan, both of which change your out-of-pocket costs.

How Your Premium Gets Paid

If you receive Social Security, your Part B premium is automatically deducted from your monthly benefit check. You will see the premium amount listed on your Social Security statement each month.

If you do not receive Social Security, or if you want to pay Medicare directly instead, you can arrange a monthly bill. Medicare will mail you an invoice, or you can set up automatic payments from your bank account through the Medicare website or by calling 1-800-MEDICARE.

Your premium payment is due by the 25th of each month. If you miss a payment, Medicare will send you a notice and may suspend your coverage if the bill remains unpaid.

Late Enrollment Penalties and When They explore

If you do not enroll in Part B when you first become may be able to access at 65, and you do not have may have access to coverage through an employer or union, you will owe a late enrollment penalty for as long as you have Part B.

The penalty is 10 percent of the standard premium for each full 12-month period you were may be able to access but did not enroll. If you delayed enrollment for three years, your penalty would be 30 percent added to your premium permanently. This surcharge does not go away even if you later move to a different state or change your coverage type.

Some people are exempt from the penalty. If you were still working and covered by your employer's health plan at 65, or if you were covered by a spouse's employer plan, you generally do not owe a penalty. You must have had creditable coverage — coverage that is at least as good as Medicare Part B — to may have access to for this exception.

Changes to Your Premium During the Year

Your Part B premium can change if your life circumstances change significantly. If you experience a major drop in income — such as retirement, loss of a job, or death of a spouse — you can request that Medicare recalculate your IRMAA using your current year income instead of the two-year-old tax return.

To request a recalculation, you will need to contact Social Security (if your premium is deducted from your benefit) or Medicare directly. You will need to provide documentation of the life event, such as a termination letter from your employer or a death certificate. The process typically takes a few weeks.

If your income increases during the year, your premium will not change until the following year, when it is recalculated based on your most recent tax return.

Comparing Part B Costs to Other Coverage Options

Part B alone leaves you responsible for 20 percent coinsurance after the deductible. For many people, this means adding another layer of coverage to manage costs.

A Medigap policy (also called supplemental insurance) works alongside Part B and helps pay the 20 percent coinsurance and deductible. Medigap premiums vary widely by plan type and location — typically ranging from $100 to $300 per month — but they give you predictable costs and wider choice of doctors.

A Medicare Advantage plan (Part C) replaces Part B and Part A with a single plan, usually run by a private insurance company. Advantage plans often have lower or zero premiums, but they typically include copays for each visit and restrict you to a network of doctors. They may also include prescription drug coverage built in.

The right choice depends on your health needs, how often you see doctors, and whether you prefer predictable costs or lower monthly premiums.

Frequently Asked Questions

Do I have to pay Part B if I'm still working at 65?

No, you can delay Part B enrollment if you or your spouse are still working and covered by an employer health plan. You will not owe a late enrollment penalty as long as you enroll within eight months of leaving that job or losing the coverage. This exception is called the special enrollment period.

Can I appeal my Part B premium if I think it's wrong?

Yes. If you believe your income has been reported incorrectly or your IRMAA surcharge is calculated wrong, you can request a review. Contact Social Security if your premium is deducted from your benefit, or call Medicare at 1-800-MEDICARE. You will need to provide documentation supporting your claim.

What happens if I can't afford my Part B premium?

If your income is very low, you may be able to get help paying your Part B premium through your state's Medicaid program or through a program called may have access to Medicare Beneficiary (QMB). Contact your state Medicaid office or call 1-800-MEDICARE to learn whether you may be may be able to access for information.

Does Part B premium increase every year?

Yes, the standard Part B premium typically increases each year based on expected program costs. The amount of the increase varies — some years it is small, other years it is larger. Medicare announces the new premium in the fall for the following year.

If I have Medicare Advantage, do I still pay Part B premium?

Yes. Even if you enroll in a Medicare Advantage plan, you must still pay the Part B premium (unless you may have access to for premium information). The Advantage plan premium is separate and is charged by the insurance company offering the plan.