The Centers for Medicare & Medicaid Services (CMS) announced the 2020 premiums and deductibles for the Medicare Part A and Part B programs (also see Medicare’s 2019 and 2020 Costs at a Glance). Following are highlights of the changes.
Medicare Part A - Premium and Deductible
- Generally, there is no monthly Part A premium for those with 40+ quarters of Medicare-covered employment. Individuals who have at least 30 quarters of coverage can buy Part A for $252 in 2020 (up from $240 in 2019); those with less than 30 quarters can buy Part A for $458 per month in 2020 (up from $447 in 2019).
- Part A deductibles in 2020 will increase to $1,408 for first 60 days of inpatient care; an additional $352 coinsurance per day for 61st through 90th day, and an additional $704 per day coinsurance beyond the 90th day.
Medicare Part B - Premium and Deductible
- The annual deductible in 2020 will increase to $198, up from $185 in 2019. The monthly premium will increase to $144.60 for 2020, up from $135.50 in 2019. However, the amount of monthly premium is adjusted based on revised income levels, as reflected in the chart below:
| Beneficiaries who file
individual tax returns with income: | Beneficiaries who file
joint tax returns with income: | Income-related monthly adjustment amount | Total monthly premium amount |
| ≤ $87,000 | ≤ $174,000 | $0.00 | $144.60 |
| > $87,000 and ≤ $109,000 | > $174,000 and ≤ $218,000 | $57.80 | $202.40 |
| > $109,000 and ≤ $136,000 | >$218,000 and ≤ $272,000 | $144.60 | $289.20 |
| > $136,000 and ≤ $163,000 | >$272,000 and ≤ $326,000 | $231.40 | $376.00 |
| >$163,000 and <500,000 | >$326,000 and <$750,000 | $318.10 | $462.70 |
| ≥ $500,000 | ≥ $750,000 | $347.00 | $491.60 |
For high-income beneficiaries who are married and lived with their spouse at any time during the taxable year, but file a separate return, the Medicare Part B premiums in 2020 are:
| Amount of Income | Income-related monthly adjustment amount | Total monthly premium amount |
| ≤ $87,000 | $0.00 | $144.60 |
| > $87,000 and <$413,000 | $318.10 | $462.70 |
| ≥ $413,000 | $347.00 | $491.60 |
The monthly premium for Medicare Advantage (Part C) and Part D coverage vary by the selected plan. For 2020, the estimated Medicare Advantage average monthly premium will decline to $23.00 ($26.87 in 2019). The basic Part D premium is also expected to fall from $32.50 in 2019 to $30.00 in 2020. Additional information about these limits was released earlier this year.
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