Medicare beneficiaries should take note of significant cost changes coming in 2024, as reported by Dena Bunis of AARP. Here’s a brief overview:

Part B Premium Increase: Medicare’s Part B standard monthly premium will rise to $174.70 in 2024, from $164.90 in 2023. Part B covers doctor visits and diagnostic tests.a $9.80 increase from the previous year.

Part B Deductible Increase: The annual Part B deductible will increase to $240 in 2024 from $226 in the current year. These changes are primarily attributed to rising healthcare costs.

Social Security COLA: The Social Security Administration (SSA) announced a 3.2 percent cost-of-living adjustment (COLA) for 2024. This results in an average monthly retirement benefit increase of $59, reaching approximately $1,907. Part B premiums are deducted directly from Social Security retirement benefit payments.

Premiums for High-Income Beneficiaries: Medicare enrollees with annual individual incomes exceeding $103,000 will pay higher premiums than the standard rate. The exact amount depends on income. Around 8 percent of Medicare beneficiaries fall into this category.

Medicare Advantage: Most Medicare enrollees, whether they have original Medicare or a private Medicare Advantage plan, are required to pay the Part B premium. Some Advantage plans may offer a “giveback” benefit, where the insurer covers part or all of the Part B monthly premium. Explore these options using the Medicare plan finder. Deductibles in Medicare Advantage plans vary.

Part A Deductible: For 2024, the Part A deductible for inpatient hospital stays will be $1,632 per stay, a $32 increase from the current year. The monthly premium for those who don’t qualify for premium-free Part A remains nearly unchanged at $505, with a $1 decrease.

These changes are important to consider for your 2024 healthcare planning. The annual open enrollment period, from October 15 to December 7, provides an opportunity to review and adjust your Medicare plans in response to these adjustments. This way, you can ensure you have the most suitable coverage for your healthcare needs in the upcoming year.

    For more information visit:

    https://www.aarp.org/health/medicare-insurance/info-2023/medicare-premiums-will-increase-next-year.html

     

    To learn about Medicare:

    https://westcompassinsurance.com/medicare-basics/