What You Pay Out of Pocket for Hospital Care Under Medicare Part A

The Part A deductible is what you pay before Medicare starts covering your hospital stay

Medicare Part A covers inpatient hospital care, skilled nursing facility care, hospice, and some home health services. Before Medicare pays anything toward a hospital stay, you must pay a deductible — a flat dollar amount you cover yourself first. For 2024, that deductible is $1,676 per benefit period. The amount changes each year, usually rising in January.

The deductible applies per benefit period, not per calendar year. A benefit period starts the day you enter the hospital and ends 60 days after you leave without receiving any inpatient care. If you go back into the hospital after those 60 days have passed, a new benefit period begins and you owe a new deductible.

Once you pay the deductible, Medicare covers your hospital bills in full for the first 60 days of your stay. After 60 days, you begin paying coinsurance — a daily amount you share with Medicare — and those costs continue if your stay extends beyond 90 days.

Key Takeaways

You pay $1,676 per benefit period (2024 amount) before Medicare Part A covers any hospital costs.
The deductible resets when a new benefit period begins, which happens 60 days after you leave the hospital with no inpatient care.
After you pay the deductible, Medicare covers all hospital charges for days 1 through 60 of your stay.
If your hospital stay lasts longer than 60 days, you will owe coinsurance amounts in addition to the deductible you already paid.
The deductible amount increases each January and varies by year based on Medicare's cost projections.

How the deductible works across different lengths of hospital stay

The deductible is a one-time payment per benefit period, regardless of how long you stay in the hospital. Whether you are admitted for one night or 30 nights, you pay the same $1,676 deductible (2024 amount) before Medicare begins paying.

If your hospital stay is short — say, three days — you pay the deductible and then Medicare covers the rest of your bill for those three days. If your stay stretches to 60 days, you still pay only that single deductible, and Medicare covers all charges for the full 60 days.

The situation changes if you stay longer than 60 days. From day 61 through day 90, you owe a daily coinsurance amount (currently $419 per day in 2024) in addition to the deductible you already paid. If you remain hospitalized beyond 90 days, the coinsurance amount increases further.

When you owe a second deductible

You only owe one deductible per benefit period. A new benefit period — and therefore a new deductible — begins when you have been out of the hospital (or any inpatient facility) for 60 consecutive days without receiving inpatient care.

If you are discharged on a Monday and readmitted on the following Tuesday, you are still in the same benefit period and do not owe a second deductible. But if you are discharged and then readmitted more than 60 days later, the clock has reset and a new benefit period has started, which means you owe another full deductible.

This rule matters most for people with chronic conditions who may need multiple hospital stays in a year. Planning the timing of non-urgent procedures, when possible, can help you avoid triggering a second deductible.

Skilled nursing facility care and the Part A deductible

Part A also covers care in a skilled nursing facility (SNF) — a facility that provides medical care beyond what a regular nursing home offers. The same deductible applies to SNF stays as to hospital stays, and it is part of the same benefit period.

If you are hospitalized for three days and then move to a skilled nursing facility, you have already paid the deductible during your hospital stay. Your SNF care is covered under that same benefit period without owing another deductible, as long as you were admitted to the SNF within 30 days of leaving the hospital and your hospital stay was at least three days long.

However, if you go directly to a skilled nursing facility without a hospital stay first, you still owe the Part A deductible before SNF coverage begins.

How the deductible amount changes each year

Medicare announces the new Part A deductible in the fall, effective January 1 of the following year. The amount is based on the average cost of hospital care and is recalculated annually. In recent years, the deductible has increased most years, though the size of the increase varies.

You can find the current year's deductible on Medicare.gov or by calling Medicare at 1-800-MEDICARE. Your Medicare Summary Notice (the statement you receive if you have used Part A services) also shows the deductible amount for that year.

If you have Original Medicare (Part A and Part B), you are responsible for paying this deductible yourself unless you have supplemental coverage. If you have a Medicare Advantage plan (Part C), your plan may have a different deductible structure, so check your plan documents.

Supplemental insurance and the Part A deductible

Many people buy a Medigap policy (supplemental insurance) to cover costs that Original Medicare does not pay, including the Part A deductible. Some Medigap plans cover the deductible in full; others cover it partially or not at all, depending on which plan letter (A through N) you choose.

If you have Medicaid in addition to Medicare, Medicaid may cover the Part A deductible for you, depending on your state's rules and your income level.

If you have a Medicare Advantage plan instead of Original Medicare, your plan sets its own deductible rules. Some Medicare Advantage plans have no deductible for hospital care; others have a deductible that may be higher or lower than the Original Medicare amount. Review your plan's Summary of Benefits to understand what you will owe.

What happens if you cannot pay the deductible

If you are admitted to the hospital and cannot pay the deductible upfront, the hospital will not refuse to treat you. Hospitals are required to provide emergency care regardless of your ability to pay at the moment of admission.

However, you remain responsible for the deductible amount. The hospital may bill you after your discharge, set up a payment plan, or refer you to financial information programs. Some hospitals have charity care programs or financial hardship waivers that may reduce or eliminate what you owe, depending on your income.

Before or shortly after admission, ask the hospital's financial counselor about payment plans or financial information. Having this conversation early gives you more options than waiting until after discharge.

Frequently Asked Questions

Does the Part A deductible reset on January 1st each year?

No. The deductible resets based on benefit periods, not calendar years. A new benefit period starts 60 days after you leave the hospital without inpatient care. If your benefit period spans from November into January, you do not owe a second deductible just because the calendar year changed.

If I have a hospital stay that costs $800, do I still owe the full $1,676 deductible?

Yes. The deductible is a flat amount you must pay before Medicare covers anything, regardless of whether your actual hospital bill is higher or lower than the deductible. If your bill is $800 and the deductible is $1,676, you owe the full deductible, and Medicare covers the remaining $800 (assuming your stay is within the first 60 days).

What is the difference between the deductible and coinsurance?

The deductible is a one-time flat amount per benefit period that you pay before Medicare starts paying. Coinsurance is a daily amount you pay for each day you stay in the hospital after day 60. You pay the deductible first, then coinsurance only if your stay is long enough.

Does my Medicare Advantage plan have the same Part A deductible as Original Medicare?

Not necessarily. Medicare Advantage plans set their own deductibles, which may be higher, lower, or zero. Check your plan's Summary of Benefits or call your plan's customer service to find out what you will owe for a hospital stay.

Can I use my Health Savings Account (HSA) to pay the Part A deductible?

Yes, if you have an HSA and are still contributing to it. You can withdraw money from your HSA to pay the deductible without penalty. However, once you enroll in Medicare, you can no longer contribute new money to an HSA, so this option works only if you have existing HSA funds available.

This guide is for general information only and is not medical, financial, legal, or other professional advice. For decisions specific to your situation, consult a qualified professional. See our Editorial Policy.