Due to inflation, prices are rising and that is holding true to Medicare Premiums as well. They are set to rise sharply in 2022, which is going to cut into the large Social Security cost-of-living increase. Currently, the basic monthly premium is $148.50, and it’s set to jump 15.5% to $170.10 a month.
Many individuals have their Medicare premium deducted right from their monthly Social Security check. So, while there will be a Social Security cost-of-living increase of 5.9% this coming year, many individuals will receive a smaller check because of the higher premium.
For some Medicare recipients, a “hold harmless” rule will protect them from the costly increase. Keep in mind, the “hold harmless” rule will not apply if you are enrolled in Medicare but not receiving Social Security; if you are a new Medicare beneficiary; if you’re earning more than $91,000 a year; and “dual eligibles” who get both Medicare and Medicaid benefits.
There will also be some increases for other Medicare plans. Part B deductible is set to rise $30 and Part A will go up $72. For individuals who receive skilled care in nursing homes, the coinsurance for day 21-100 will increase from $185.50 to $194.50.
To help you plan ahead, here is what you can expect to see in increases:
For higher-income beneficiaries, $91,000 and above, here is what your monthly premiums will be:
If you are enrolled in a Medicare Advantage plan, you may have a different cost-sharing arrangement. It is estimated that the Medicare Advantage average monthly premiums will be lower in 2022, from an average of $21 a month to $19 a month.
Curran Estate & Elder Law, PLLC does not sell insurance but we can direct you to independent professionals that can assist you.
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