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2025 Medicare Parts A, B, & D premiums, deductibles, and coinsurance rates announced

Picture of Action Benefits Action Benefits Nov 11, 2024

Medicare

9:14

Each year, the Centers for Medicare and Medicaid Services (CMS) updates cost-sharing requirements for the various parts of Medicare. On November 8, 2024, CMS released the updated figures for 2025. Here’s what beneficiaries and agents/brokers need to know.

Medicare Part A cost-sharing increased

99% of Medicare beneficiaries pay no Part A premium, due to them having paid FICA taxes for over 40 quarters. For those who have not met that requirement, they will see modest increases in their monthly premium payments. See the table below.

Medicare Part A Premium (per month)
	2024	2025
Enrollees over age 65, contributed to FICA for 40+ quarters	$0	$0
Enrollees over age 65, contribute to FICA for 30-39 quarters	$278	$285
Enrollees over age 65, contributed to FICA for fewer than 30 quarters	$506	$518

Regardless of what they pay (or not!) in premium, all Part A beneficiaries are subject to cost-sharing for any inpatient care they receive – whether that care occurs in a hospital or a skilled nursing facility. Cost sharing for Part A is based on benefit periods. The table below details what beneficiaries can expect to pay for each type of service.

Medicare Part A Deductible and Coinsurance Amounts for Calendar Years 2024 and 2025 by type of cost-sharing
	2024	2025
Inpatient hospital deductible	$1,632	$1,676
Daily coinsurance for days 61-90	$408	$419
Daily coinsurance for lifetime reserve days	$816	$838
Skilled nursing facility coinsurance for days 21-100	$204	$209.50

Increase in Part B premium, Deductible; IRMAA Brackets Adjusted

The base premium for full Part B will increase from $174.70 per month to $185.00 per month. The change is a result of a projected increase in healthcare spending. The Part B deductible will also increase from $240 to $257.

Since 2007, a beneficiary’s monthly part B premium has depended on income and tax filing status. Income-related monthly adjustment amounts impact about 8% of enrollees. Total premiums for various income brackets and filing statuses are shown in the tables below. Note these brackets have shifted some due to inflationary pressures.

Full Part B Coverage
Beneficiaries who file individual tax returns with modified adjusted gross income:	Beneficiaries who file joint tax returns with modified adjusted gross income:	Income-Related Monthly Adjustment Amount	Total Monthly Premium Amount
Less than or equal to $106,000	Less than or equal to $212,000	$0.00	$185.00
Greater than $106,000 and less than or equal to $133,000	Greater than $212,000 and less than or equal to $266,000	$74.00	$259.00
Greater than $133,000 and less than or equal to $167,000	Greater than $266,000 and less than or equal to $334,000	$185.00	$370.00
Greater than $167,000 and less than or equal to $200,000	Greater than $334,000 and less than or equal to $400,000	$295.90	$480.90
Greater than $200,000 and less than $500,000	Greater than $400,000 and less than $750,000	$406.90	$591.90
Greater than or equal to $500,000	Greater than or equal to $750,000	$443.90	$628.90

Full Part B Coverage
Beneficiaries who are married and lived with their spouses at any time during the year, but who file separate tax returns from their spouses with modified adjusted gross income:	Income-Related Monthly Adjustment Amount	Total Monthly Premium Amount
Less than or equal to $106,000	$0.00	$185.00
Greater than $106,000 and less than $394,000	$406.90	$591.90
Greater than or equal to $394,000	$443.90	$628.90

Some Medicare beneficiaries who are 36 months post-kidney transplant and are no longer eligible for full Medicare coverage can choose to have Part B cover their immunosuppressive drugs. This coverage comes with a reduced premium, but that premium is still based on income and tax filing status. A variety of income brackets and tax filing statuses are shown below.

Part B Immunosuppressive Drug Coverage Only
Beneficiaries who file individual tax returns with modified adjusted gross income:	Beneficiaries who file joint tax returns with modified adjusted gross income:	Income-Related Monthly Adjustment Amount	Total Monthly Premium Amount
Less than or equal to $106,000	Less than or equal to $212,000	$0.00	$110.40
Greater than $106,000 and less than or equal to $133,000	Greater than $212,000 and less than or equal to $266,000	$73.60	$184.00
Greater than $133,000 and less than or equal to $167,000	Greater than $266,000 and less than or equal to $334,000	$184.10	$294.50
Greater than $167,000 and less than or equal to $200,000	Greater than $334,000 and less than or equal to $400,000	$294.50	$404.90
Greater than $200,000 and less than $500,000	Greater than $400,000 and less than $750,000	$404.90	$515.30
Greater than or equal to $500,000	Greater than or equal to $750,000	$441.70	$552.10

Part B Immunosuppressive Drug Coverage Only
Beneficiaries who are married and lived with their spouses at any time during the year, but who file separate tax returns from their spouses with modified adjusted gross income:	Income-Related Monthly Adjustment Amount	Total Monthly Premium Amount
Less than or equal to $106,000	$0.00	$110.40
Greater than $106,000 and less than $394,000	$404.90	$515.30
Greater than or equal to $394,000	$441.70	$552.10

Part D IRMAA brackets have also changed

While Part D plan premiums are determined by private insurers, high-income earners may also be subject to an income-related monthly adjustment amount. This adjustment is deducted from an enrollee’s Social Security benefit. Figures for a variety of income brackets and tax filing statuses are displayed below.

Medicare Part D Income-Related Monthly Adjustment Amounts
Beneficiaries who file individual tax returns with modified adjusted gross income:	Beneficiaries who file joint tax returns with modified adjusted gross income:	Income-related monthly adjustment amount
Less than or equal to $106,000	Less than or equal to $212,000	$0.00
Greater than $106,000 and less than or equal to $133,000	Greater than $212,000 and less than or equal to $266,000	$13.70
Greater than $133,000 and less than or equal to $167,000	Greater than $266,000 and less than or equal to $334,000	$35.30
Greater than $167,000 and less than or equal to $200,000	Greater than $334,000 and less than or equal to $400,000	$57.00
Greater than $200,000 and less than $500,000	Greater than $400,000 and less than $750,000	$78.60
Greater than or equal to $500,000	Greater than or equal to $750,000	$85.80

Medicare Part D Income-Related Monthly Adjustment Amounts
Beneficiaries who are married and lived with their spouses at any time during the year, but file separate tax returns from their spouses with modified adjusted gross income:	Income-related monthly adjustment amount
Less than or equal to $103,000	$0.00
Greater than $103,000 and less than $397,000	$78.60
Greater than or equal to $397,000	$85.80

What it means for agents, brokers, and beneficiaries

Everything's gotten more expensive this year, but that should come as no surprise given overall economic trends. Beneficiaries should explore their financial situation with the support of a licensed insurance professional and collaborate to develop a Medicare benefits package that best fits their needs.

4 min read

CMS releases Medicare Parts A & B premiums, deductibles and coinsurance amounts for 2024

Action Benefits : Oct 13, 2023

Each year, the Centers for Medicare and Medicaid Services (CMS) updates cost-sharing requirements for the various parts of Medicare. On October 12,...

Medicare