2022 Medicare Adjustments You Should Know

The CMS recently released the Medicare costs for 2022. Here's a quick summary.

img

On November 12, 2021, the Centers for Medicare & Medicaid Services released the 2022 premiums, deductibles, and coinsurance amounts for the Medicare Part A and Part B programs, and the 2022 Medicare Part D income related monthly adjustment amounts. Below is a summary of those numbers:

  2021 2022
Monthly Part B Premium $148.50 $170.10

Please note the Part B premiums increase for individuals with earnings of more than $91,000 or joint tax filers with earnings of more than $182,000. The monthly Part B premium can be as much as $578.30 for high income earning individuals and families.

  2021 2022
Annual Part B Deductible $203 $233

This is the amount of the out-of-pocket expense that must be paid for outpatient services (e.g., office visits) before the 80% coinsurance benefit under Part B begins. The deductible and/or coinsurance percentage may not be applicable to certain Medicare beneficiaries who are enrolled in a Medicare Supplement or Medicare Advantage plan.

  2021 2022
Part A Inpatient Hospital Deductible $1,484 $1,556
Daily Coinsurance for 61st to 90th Day Hospitalized $371 $389
Daily Coinsurance for 60 Lifetime Reserve Hospitals Days $742 $778
Daily Coinsurance for Skilled Nursing Facility Days 21-100 $185.50 $194.50

Most individuals qualify for Part A without having to pay a monthly premium. Part A is premium free to individuals who paid Medicare taxes for 40 quarters (i.e., 10 years) or for individuals who were married to someone who paid Medicare taxes for 40 quarters.

Income Amount Income-Related Monthly Premium Adjustment
$91K or less ($182K or less for joint filers) $0
$91K - $114K ($182K - $228K for joint filers) $12.40
$114K - $142K ($228K - $284K for joint filers) $32.10
$142K - $170K ($284K - $340K for joint filers) $51.70
$170K - $500K ($340 - $750K for joint filers) $71.30
More than $500K (more than $750K for joint filers) $77.90

Approximately 8% of Medicare beneficiaries pay a higher premium for Part D because of their income. These individuals will pay the base plan premium plus the additional amount in the table above. Part D covers prescription drugs.

For additional information about the 2022 Medicare adjustments, please refer to this CMS Fact Sheet.