2021 Medicare Part B Premiums Announced

November 9, 2020

In 2021, the total cost of the monthly Medicare Part B standard premium is increasing from $144.60 to $148.50. This is a 2.7 percent increase from 2020 to 2021, while most Social Security recipients and federal retirees are only receiving a 1.3 percent increase in income based on the 2021 cost-of-living adjustment (COLA). In addition, the 2021 deductible for Medicare Part B is increasing 2.5 percent from $198 to $203.

A small percentage of enrollees with higher income will also see an increase to their monthly Medicare Part B premium. Here is the chart that reflects the 2021 monthly rates for Medicare Part B, based on your modified adjusted gross income (MAGI) reported to the IRS on your 2019 tax return.

 

For what you pay in 2021, if your MAGI in 2019 was...  Your 2021 monthly premium is..
File individual tax return File joint tax return File married & separate tax return
$88,000 or less $176,000 or less $88,000 or less $148.50
above $88,000 up to $111,000 above $176,000 up to $222,000 Not applicable $207.90
above $111,000 up to $138,000 above $222,000 up to $276,000 Not applicable $297.00
above $138,000 up to $165,000 above $276,000 up to $330,000 Not applicable $386.10
above $165,000?and less than?$500,000 above $330,000?and less than $750,000 above $88,000?and less than?$412,000 $475.20
$500,000 or above $750,000 and above $412,000 and above $504.90

 

NOTE: All premiums listed in this article are per person/per month.

Generally, your MAGI is the total of your household's adjusted gross income plus any tax-exempt interest income you may have.

The items that contribute to your MAGI include any money earned through wages, pensions, dividends, capital gains, Social Security benefits, and distributions from tax-deferred retirement plans, such as Traditional IRAs and the Thrift Savings Plan (TSP). Distributions from Roth IRAs and Roth 401(k)s, life insurance, reverse mortgages and health savings accounts do not count in the MAGI calculation.

For more details: https://www.medicare.gov/your-medicare-costs/part-b-costs

National Active and Retired

FEDERAL EMPLOYEES Association

NARFE (National Active and Retired Federal Employees Association) 606 N. Washington St., Alexandria, VA 22314, Phone: (703) 838-7760, Fax: (703) 838-7785.

 

This is the only website that reflects the official opinions and positions of the National Active and Retired Federal Employees Association (NARFE). Opinions and/or positions that appear on any other site bearing NARFE's name or seal are not necessarily those of NARFE. Click here for Privacy Statement.   NARFE has been certified by Dun & Bradstreet.

2021 Medicare Part B Premiums Announced

November 9, 2020

In 2021, the total cost of the monthly Medicare Part B standard premium is increasing from $144.60 to $148.50. This is a 2.7 percent increase from 2020 to 2021, while most Social Security recipients and federal retirees are only receiving a 1.3 percent increase in income based on the 2021 cost-of-living adjustment (COLA). In addition, the 2021 deductible for Medicare Part B is increasing 2.5 percent from $198 to $203.

A small percentage of enrollees with higher income will also see an increase to their monthly Medicare Part B premium. Here is the chart that reflects the 2021 monthly rates for Medicare Part B, based on your modified adjusted gross income (MAGI) reported to the IRS on your 2019 tax return.

 

For what you pay in 2021, if your MAGI in 2019 was...  Your 2021 monthly premium is..
File individual tax return File joint tax return File married & separate tax return
$88,000 or less $176,000 or less $88,000 or less $148.50
above $88,000 up to $111,000 above $176,000 up to $222,000 Not applicable $207.90
above $111,000 up to $138,000 above $222,000 up to $276,000 Not applicable $297.00
above $138,000 up to $165,000 above $276,000 up to $330,000 Not applicable $386.10
above $165,000?and less than?$500,000 above $330,000?and less than $750,000 above $88,000?and less than?$412,000 $475.20
$500,000 or above $750,000 and above $412,000 and above $504.90

 

NOTE: All premiums listed in this article are per person/per month.

Generally, your MAGI is the total of your household's adjusted gross income plus any tax-exempt interest income you may have.

The items that contribute to your MAGI include any money earned through wages, pensions, dividends, capital gains, Social Security benefits, and distributions from tax-deferred retirement plans, such as Traditional IRAs and the Thrift Savings Plan (TSP). Distributions from Roth IRAs and Roth 401(k)s, life insurance, reverse mortgages and health savings accounts do not count in the MAGI calculation.

For more details: https://www.medicare.gov/your-medicare-costs/part-b-costs



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NARFE (National Active and Retired Federal Employees Association) 606 N. Washington St., Alexandria, VA 22314, Phone: (703) 838-7760, Fax: (703) 838-7785.

 

This is the only website that reflects the official opinions and positions of the National Active and Retired Federal Employees Association (NARFE). Opinions and/or positions that appear on any other site bearing NARFE's name or seal are not necessarily those of NARFE. Click here for Privacy Statement.   NARFE has been certified by Dun & Bradstreet.