Medicare Part B Eligibility:
- Medicare Part B is a government program overseen by the Centers for Medicare and Medicaid Services, covering doctor services, outpatient care, medical supplies, and preventive services.
- Eligibility for Medicare Part B includes:
- U.S. citizens or permanent, legal U.S. residents.
- Individuals who are 65 years old or turning 65.
- Certain exceptions apply for individuals under 65 with specific disabilities or health conditions who can also receive Part B.
Enrollment in Medicare Part B:
- Most individuals are automatically enrolled in Medicare Part B during their Initial Enrollment Period (IEP). They receive their Medicare card approximately three months before turning 65.
- If someone chooses to delay Part B enrollment due to special circumstances (like remaining on an employer plan), they can enroll during a Special Enrollment Period (SEP) by contacting Social Security and completing the required forms.
- For those who didn’t sign up for Part B or Part A when first eligible and don’t have a SEP, they can enroll during the General Enrollment Period (GEP), which occurs annually from January 1st to March 31st.
Medicare Part B Costs:
- Medicare Part B recipients are required to pay a monthly premium.
- In 2024, the standard Part B premium is $174.70 per month.
- The Part B premium amount is determined by your annual income, as reported on your individual or joint tax return
- Those with a modified adjusted gross income above a certain threshold from a 2 year prior IRS tax return will also pay an additional charge referred to as an IRMAA (Income Related Monthly Adjustment Amount).
2024 Part B Cost Breakdown
| Type of Cost | 2023 | 2024 | % Growth |
| Standard Part B Premium | $164.90 | $174.70 | 5.94% |
| Part B Deductible | $226 | $240 | 6.19% |
| Immunosuppressive Drug Premium | $97.10 | $103 | 6.08% |
Medicare Part B Costs and Deductible:
- Individuals are required to pay a deductible before Medicare begins covering their share of services under Medicare Part B.
- After meeting the deductible, recipients typically pay 20% of what Medicare considers a “reasonable charge,” while Medicare covers the remaining 80%.
- In 2024, the deductible amount is $240.
Medicare Part B IRMAA Charge:
Naturally, the costs associated with Medicare Part B can vary among recipients. This is due to the Income-Related Monthly Adjustment Amount (IRMAA), which has the potential to alter your monthly Part B premium. Fortunately, the majority of Medicare beneficiaries won’t be affected by this adjustment. It typically begins for individuals earning over $103,000 annually, a figure that surpasses double the median income for Americans aged 65 and older in 2023.
2024 Part B IRMAA Breakdown
| File Individual Tax Return | File Joint Tax Return | Monthly Adjustment | 2024 Part B Monthly Premium |
| $103,000 or Less | $206,000 or Less | $0.00 | $174.40 |
| $103,001 to $129,000 | $206,001 to $258,000 | $69.90 | $244.60 |
| $129,001 to $161,000 | $258,001 to $322,000 | $174.70 | $349.40 |
| $161,001 to $193,000 | $322,001 to $386,000 | $279.50 | $454.20 |
| $193,001 to $499,999 | $386,001 to $749,999 | $384.30 | $559.00 |
| $500,000 or More | $750,000 or More | $419.30 | $594.00 |
Supplemental Plans and Medicare Advantage Plans are available to help cover the costs associated with Medicare Part B, including deductibles and the 20% co-insurance. If you have questions about Medicare Part B or are interested in learning more about your plan options, please reach out to our team of Medicare advisors at withAvid.com.
