Nov 15, 2024

2025 Annual Updates for Medicare Part A and Part B programs, and the Part D income-related monthly adjustment amounts

2025 Annual Updates for Medicare Part A and Part B programs, and the Part D income-related monthly adjustment amounts

2025 Annual Updates for Medicare Part A and Part B programs, and the Part D income-related monthly adjustment amounts

Medicare Part B Premium and Deductible

In 2025, Medicare Part B will increase to $185.00 from 2024’s $174.70 monthly premium—a $10.30 increase from last year. The annual deductible for Medicare Part B will also increase to $257 from $240 in 2024.1 

Medicare Part B 2025 vs 2024 Premiums and Deductibles

Medicare Part B and Part D Income-Related Monthly Adjustment Amounts (IRMAA)

Don’t forget that Medicare Part B and Part D have a surcharge on premiums for higher income earners. Income-Related Monthly Adjustment Amounts(IRMAA) are applied to Part B and Part D premiums based on your modified adjusted gross income (MAGI) of two years ago. This means that your 2023 tax return will determine your IRMAA surcharge for 2025. Roughly 8% of Medicare Part B enrollees are affected by IRMAA.2

The income brackets for IRMAA increased between brackets. In 2024, the first tier of single income earners making between $103,001 and $129,000 paid an IRMAA charge of $69.90 on their Part B premium for a total of $244.60 per month. In 2025, this same income range shifted to $106,001-$133,000—an increase from 2024—with an IRMAA charge of $74.00, making the monthly total $259.00. That’s an increase of $14.40 in IRMAA changes for the first tier for single earning taxpayers grossing above the base Part B premium. The subsequent changes in surcharges between income brackets range from $20.60 to $34.90 more per month than in 2024, as outlined in the chart below.3

Part B and Part D Monthly IRMAA Surcharges

For couples that are married but filing separately, their total monthly Part B premium will be:4

  • $591.90 if income is $106,001 to $393,999 (+ $406.90 surcharge) and a $78.60 surcharge on their Part D plan premium
  • $628.90 if income is $394,000 or greater (+ $443.90 surcharge) and a $85.80 surcharge on their Part D plan premium

Medicare Part A Premium

About 99 percent of Medicare enrollees do not have to pay a premium for Part A since they have contributed at least 40 quarters in Medicare taxes or receive premium-free eligibility from their spouse. However, if you don’t qualify for premium-free Medicare Part A, here’s the increase you’ll pay:5

Medicare Part A Monthly Premium

Medicare Part A Deductibles and Coinsurance

Medicare Part A deductibles and coinsurance will both increase in 2025 for any inpatient hospital admissions and time spent in a skilled nursing facility.6 

Medicare Part A Deductibles and Coinsurance 2024 vs 2025

Increases were seen in Medicare Parts A & B, as well as Part D IRMAA across all premiums, deductibles, and coinsurance. If you’re in the middle of picking your plan, be sure to calculate your total costs including all plan premiums, supplements, and out-of-pocket costs to see how much you’ll need to budget for healthcare.

Need help deciding what’s best for you? 

It can be very helpful to work directly with an agent in Michigan who is licensed and educated in the Medicare market and can help you choose the plan that is right for you.

Your partners at Silvur Insurance are here to help and can meet with you one-on-one in your local MSUFCU Branch, over the phone, or even virtually - all, at no cost to you! To schedule a meeting with one of our agents, click HERE or call (888) 372-3999.

SOURCES:

1. “2025 Medicare Parts A & B Premiums and Deductibles.” CMS.gov, 8 November 2024, https://www.cms.gov/newsroom/fact-sheets/2025-medicare-parts-b-premiums-and-deductibles. Accessed 12 November 2024. 

2. “Medicare Premiums 2025: IRMAA for Parts B and D.” Kiplinger, 9 November 2024, https://www.kiplinger.com/retirement/medicare/medicare-premiums-2025-irmaa-for-parts-b-and-d. Accessed 12 November 2024.

3. “2025 Medicare Parts A & B Premiums and Deductibles.” CMS.gov, 8 November 2024, https://www.cms.gov/newsroom/fact-sheets/2025-medicare-parts-b-premiums-and-deductibles. Accessed 12 November 2024. 

4. Ibid.

5. Ibid.

6. Ibid.