The 2025 Medicare Premium Amounts

Medicare Part B (doctor visits and outpatient care) costs $174.70 per month for most people in 2025. Part D (prescription drugs) varies by plan, but the national average is around $34 per month. Part A (hospital care) has no monthly premium for most people who paid Medicare taxes while working, though you pay a deductible when you use it.

These amounts change every year. The Part B premium went up $7.50 from 2024. Your actual costs depend on your income, which plan you choose, and when you first signed up for Medicare. Some people pay more; some pay less.

If you have Original Medicare (Parts A and B), you also pay a deductible and coinsurance when you use services. If you chose a Medicare Advantage plan instead, your premium structure is different — you may pay less in premiums but more when you see a doctor.

Key Takeaways

  • Part B costs $174.70 per month in 2025 for most people, but higher earners pay more through Income-Related Monthly Adjustment Amounts (IRMAA).
  • Part D prescription drug premiums vary by plan and range around $34 monthly on average, though some plans cost more or less.
  • Part A has no monthly premium for most retirees, but you pay a deductible ($1,676 in 2025) each time you enter a hospital.
  • Your income from two years ago determines whether you pay extra — Medicare looks at your 2023 tax return to set 2025 premiums.
  • You can change your Part D plan or Medicare Advantage plan during the annual enrollment period (October 15 to December 7 each year).

How Income Affects What You Pay

If your income is above a certain level, you pay a higher Part B premium. Medicare calls this an Income-Related Monthly Adjustment Amount (IRMAA). In 2025, if you filed taxes as an individual and your income was above $97,000, you enter the IRMAA brackets. For married couples filing jointly, the threshold is $194,000.

Medicare uses your income from two years prior — so your 2025 premiums are based on your 2023 tax return. If your income dropped in 2024 (you retired, had a major life change, or lost income), you can request that Medicare use your current year's income instead. You file a form called the Medicare Income-Related Monthly Adjustment Amount — Life-Changing Event to do this.

The IRMAA brackets have five tiers. The highest earners pay up to $560.50 per month for Part B in 2025, compared to $174.70 for those below the threshold. Part D premiums also increase with IRMAA, though the amounts vary by plan.

Part D Prescription Drug Premiums and Coverage

Part D plans are offered by private insurance companies, so the premium you pay depends on which plan you choose. The national average is around $34 per month, but plans range from roughly $6 to over $100 monthly. The plan with the lowest premium in your area may change year to year.

When you first turn 65 or become may be able to access for Medicare, you have a window to sign up for Part D without penalty. If you delay and go without coverage, Medicare charges you a permanent penalty — roughly 1% of the national average premium for each month you were not covered. That penalty stays with you for life, so signing up on time matters.

You can switch Part D plans once per year during the annual enrollment period. If your current plan's premium went up or you want different drug coverage, you can move to a different plan without penalty during this window.

Part A and Part B Deductibles and Costs Beyond Premiums

Part A covers hospital stays, skilled nursing, hospice, and some home health care. There is no monthly premium, but you pay a deductible of $1,676 per benefit period in 2025. A benefit period starts when you enter the hospital and ends 60 days after you leave. If you go back to the hospital after that 60-day window, you pay the deductible again.

Part B covers doctor visits, lab tests, imaging, and outpatient procedures. After you pay the $240 deductible in 2025, Medicare covers 80% of approved services and you pay 20%. Some doctors accept Medicare assignment (they agree to accept Medicare's payment as full payment), which protects you from surprise bills.

These deductibles and coinsurance amounts also increase each year. The Part A deductible went up $44 from 2024, and the Part B deductible went up $10.

Medicare Advantage Plans and Their Premiums

If you chose a Medicare Advantage plan (Part C) instead of Original Medicare, your premium structure is different. Many Medicare Advantage plans have a $0 monthly premium, meaning you pay nothing beyond your Part B premium. However, you typically pay more when you use services — higher copays for doctor visits or specialist referrals, for example.

Medicare Advantage plans include prescription drug coverage (Part D) built in, so you do not buy Part D separately. The trade-off is that you must use doctors and hospitals in the plan's network, except in emergencies. Plans vary widely in what they cover and what you pay out of pocket.

You can switch from Original Medicare to Medicare Advantage, or between Medicare Advantage plans, during the annual enrollment period each fall. If you switch back to Original Medicare after being in Medicare Advantage, you may lose the chance to sign up for a Medigap supplemental plan without paying higher premiums.

Medigap Supplemental Insurance Premiums

Medigap (supplemental insurance) helps pay the deductibles, coinsurance, and copays that Original Medicare does not cover. It is sold by private insurance companies, and premiums vary by plan type, your age, your location, and the insurance company. There is no national average — a Plan G might cost $120 per month in one state and $200 in another.

You have the best chance to buy Medigap at the lowest price during your Medigap open enrollment period, which is six months from when you turn 65 and sign up for Part B. During this window, insurance companies cannot deny you or charge you more based on your health. After this period ends, they can.

If you have a Medigap plan, you do not need Medicare Advantage. You use Original Medicare with your Medigap plan to cover the gaps. The combination of Part B premium, Medigap premium, and Part D premium is your total monthly cost.

When and How Premiums Are Deducted

If you receive Social Security, Medicare premiums are deducted directly from your Social Security check each month. Part B and IRMAA adjustments come out first, then any other premiums you have set up. If you do not receive Social Security, Medicare sends you a bill each month.

You can change how you pay — for example, switching from Social Security deduction to automatic bank withdrawal — by contacting Medicare at 1-800-MEDICARE or through your online Medicare account at Medicare.gov.

If you believe your premium is wrong or you have had a major life change (job loss, divorce, death of a spouse), you can request a review. Contact Social Security if your premium is deducted from your check, or Medicare directly if you receive a bill.

Frequently Asked Questions

Will my Medicare premium go up every year?

Yes, premiums typically increase annually. Part B and Part A deductibles are adjusted each January based on inflation and program costs. Part D premiums vary by plan and can go up or down. You can review your costs each fall during enrollment and switch plans if a lower-cost option is available.

What if I cannot afford my Medicare premiums?

If your income is low, you may be able to get help through your state's Medicare Savings Program, which pays some or all of your Part A and Part B premiums. Contact your state Medicaid office or call 1-800-MEDICARE to learn whether you may have access to and how the process works.

Do I have to pay Part B premium if I am still working?

Yes, you still pay Part B premiums even if you are working and have employer health insurance. However, if your employer has 20 or more employees, you may be able to delay Part B without penalty. You will need to show proof of employer coverage when you do sign up.

Can I get a refund if I overpaid my Medicare premiums?

If Medicare deducted too much from your Social Security check or you paid a bill in error, you can request a refund. Contact Medicare at 1-800-MEDICARE with your Medicare number and an explanation of the overpayment. Refunds typically take four to six weeks to process.

What happens if I do not pay my Medicare premium?

If you do not pay Part B or Part D premiums, Medicare can suspend your coverage. You will receive notices before this happens. If your coverage is suspended, you can restart it, but you may owe back premiums and face a late enrollment penalty when you rejoin.