Medicare Part B Premiums and Deductibles to Increase in 2025
Seniors enrolled in Medicare Part B will see an increase in their monthly premiums and annual deductibles in 2025. The Centers for Medicare & Medicaid Services (CMS) announced that the standard monthly premium will rise by $10.30, or about 6%, to $185.00. The annual deductible will also increase to $257.
This increase is attributed to projected price changes and assumed utilization increases that are consistent with historical experience. In 2023, the Part B premium saw a rare decline, falling just over $5 from the previous year. However, premiums have generally outpaced inflation and Social Security's annual cost-of-living adjustments (COLA).
For beneficiaries whose Part B premiums are based on their income, there will also be an increase in the Income-Related Monthly Adjustment Amount (IRMAA). This impacts about 8% of those with Medicare Part B.
Married individuals who file separate tax returns with modified adjusted gross income of $106,000 or less will pay the standard premium of $185.00 a month.
Beneficiaries with incomes above $106,000 but below $394,000 will pay IRMAA of $406.90 plus the standard $185.00, for a total of $591.90 a month.
Seniors with incomes exceeding $394,000 will pay $443.90 in IRMAA and the standard $185.00, for a total of $628.90 a month.
Medicare enrollees who receive Social Security benefits will have the new Part B premium automatically deducted from their checks in January. Those not yet receiving Social Security benefits will need to ensure they are paying the increased amount starting in January.