Medicare Part B costs you a monthly premium, an annual deductible, and a percentage of most doctor and outpatient services
Medicare Part B is the part of Original Medicare that covers doctor visits, outpatient care, and some preventive services. You pay for Part B through four separate costs: a monthly premium, an annual deductible, coinsurance (a percentage you pay after the deductible), and copayments for specific services. The exact amounts change each year and depend partly on your income.
Most people pay the standard monthly premium, but if you earned a higher income in the past two years, you may pay more through an income-related adjustment. The deductible resets every January. Once you meet it, you typically pay 20 percent of the Medicare-approved cost for most services, while Medicare pays 80 percent.
Key Takeaways
- Part B has a monthly premium (the amount varies by income), an annual deductible, and coinsurance of 20 percent for most services after you meet the deductible.
- If your income was above a certain threshold two years ago, you pay a higher premium through an income-related monthly adjustment.
- Part B premiums and deductibles change every January, so check your Social Security statement or Medicare.gov each fall to see your new costs.
- You can see the exact dollar amounts for the current year on Medicare.gov or by calling Social Security at 1-800-772-1213.
The Monthly Premium
The standard Part B premium is deducted automatically from your Social Security check each month (or billed directly if you do not receive Social Security). The amount increases most years to keep pace with healthcare costs. Social Security mails you a notice in the fall showing your premium for the next year.
If you have higher income, you pay an additional amount called the Income-Related Monthly Adjustment Amount (IRMAA). This is based on your modified adjusted gross income from two years prior. For example, in 2024, the income threshold that triggers IRMAA is around $97,000 for a single person and $194,000 for a married couple filing jointly, but these thresholds change yearly. If you cross the threshold, you may pay anywhere from 35 percent to 85 percent more than the standard premium, depending on how much your income exceeds the limit.
If your income drops significantly — because you retired, got divorced, or had a death in the family — you can request that Social Security recalculate your IRMAA using your current year's income instead of the two-year-old figure. This is called a Life-Changing Event appeal, and you have until December 31 of the year after the event to file it.
The Annual Deductible
Before Medicare Part B starts paying its share, you must pay an annual deductible out of your own pocket. This deductible applies to most doctor visits and outpatient services, though some preventive services (like screenings and vaccines) do not require you to meet it first. The deductible resets on January 1 each year.
Once you have paid the deductible, you move into the coinsurance phase, where Medicare covers 80 percent of the Medicare-approved cost and you pay 20 percent. If you see an out-of-network provider who does not accept Medicare assignment, your costs can be higher.
Coinsurance and Copayments After the Deductible
After you meet your annual deductible, you typically pay 20 percent coinsurance for most Part B services — doctor office visits, lab work, imaging, and outpatient procedures. Medicare pays the other 80 percent of the Medicare-approved amount. Some services, like mental health visits, may have different coinsurance rates.
A few services have a flat copayment instead of coinsurance. For example, you might pay a set amount for an office visit rather than 20 percent. Your Medicare Summary Notice (the statement you receive quarterly) shows which services you used and how much you paid.
If you see a provider who does not accept Medicare assignment, you may owe more. Non-participating providers can charge up to 15 percent above the Medicare-approved amount, and you are responsible for the difference. Always ask a provider's office whether they accept Medicare assignment before your visit.
How Income Affects Your Part B Cost
Your Part B premium is directly tied to your income from two years ago. Social Security uses your Modified Adjusted Gross Income (MAGI) — roughly your adjusted gross income plus tax-exempt interest — to determine whether you owe IRMAA. The income brackets and adjustment amounts change every year.
If you are newly retired or had a major life change, your current income may be much lower than what Social Security is using to calculate your premium. You can request a recalculation by filing a Medicare Income-Related Monthly Adjustment Amount Life-Changing Event Notice with Social Security. may have access to events include retirement, loss of income, divorce, death of a spouse, or loss of income-producing property. You must file within 60 days of the event.
Where to Find Your Current Part B Costs
The easiest way to see your exact Part B premium and deductible for the current year is to log into your Medicare.gov account. You can also call Social Security at 1-800-772-1213 (TTY 1-800-325-0778) to ask about your premium. If you receive Social Security benefits, your monthly statement shows your Part B deduction.
Every October, Social Security sends a notice showing your Part B premium for the following year. If the amount surprises you or seems wrong, contact Social Security right away. If you believe a major life event should lower your premium, you have until December 31 to file an appeal.
What Part B Does Not Cover
Part B does not cover routine dental, vision, or hearing care. It also does not cover long-term care, most prescription drugs (that is Part D), or routine foot care. If you need these services, you may want to look into a Medigap policy (supplemental insurance) or a Medicare Advantage plan, which may offer additional coverage in exchange for different costs and provider networks.
Many people choose Medigap to help pay the coinsurance and deductible that Part B requires. Medigap premiums vary widely by plan and location, so comparing options is worth your time if you use a lot of healthcare services.
Frequently Asked Questions
Can I delay signing up for Part B without a penalty?
If you are still working and covered by your employer's health plan, you may be able to delay Part B without penalty. You must enroll within eight months of losing that coverage. If you miss the important date, you pay a permanent penalty of 10 percent for each year you were late. Contact Social Security to confirm your situation before the important date passes.
What happens if I cannot afford my Part B premium?
If your income is very low, you may may have access to for Medicaid or the Medicare Savings Program, which can help pay your Part B premium and other out-of-pocket costs. Contact your state Medicaid office or call 1-800-MEDICARE to learn whether you meet the income limits in your state.
Does Part B cover preventive care without the deductible?
Yes. Preventive services like annual wellness visits, cancer screenings, vaccinations, and blood pressure checks are covered at no cost to you — you do not have to meet the deductible first. However, if the visit becomes a problem visit (your doctor treats a condition you mentioned), you may owe coinsurance on that portion.
Why did my Part B premium go up so much this year?
Part B premiums rise most years to cover increasing healthcare costs. If your income increased, you may also owe IRMAA, which adds to your base premium. Check your Social Security notice to see whether the increase is due to the standard premium rise or an income adjustment. If your income dropped, you can request a recalculation.
Do I pay Part B costs if I am in a Medicare Advantage plan?
Yes. You still pay the Part B premium even if you choose a Medicare Advantage plan instead of Original Medicare. However, your out-of-pocket costs for doctor visits and services may be different — Medicare Advantage plans often have copayments instead of coinsurance, and they may have different deductibles.