DEFINITION of 'Medicare Part B Premiums'

A monthly fee that Medicare participants pay for medical insurance to cover services not covered in Medicare Part A. By contrast, Medicare Part A, or hospital insurance, does not require most people to pay a premium.

BREAKING DOWN 'Medicare Part B Premiums'

Medicare Part B premiums are based on the beneficiary's income. For example, in 2010, the premium was the same for all beneficiaries, up to single taxpayers who had income greater than $85,000 and married taxpayers who had income greater than $170,000. At this income level, the premium payments increased from $110.50 to $154.70 per month. There are three additional income tiers at which premiums increase further. The highest-income tier in 2010 paid a Medicare Part B premium of $353.60 per month for individuals earning above $214,000.

RELATED TERMS
  1. Medicare Advantage

    Hospital and medical insurance provided by private companies ...
  2. Medicare Hold Harmless Provision

    A legal statement prohibiting an increase to Medicare B premiums ...
  3. State Health Insurance Assistance ...

    State Health Insurance Assistance Programs (SHIP) offer free ...
  4. Medigap

    Also called Medicare Supplement Insurance, Medigap is health ...
  5. Medicare Part D

    A prescription drug benefit program that was created through ...
  6. Medicare Catastrophic Coverage ...

    A government bill designed to improve acute care benefits for ...
Related Articles
  1. Insurance

    Medicare Changes for 2016

    Get ready to pay more: Seniors will be shelling out additional cash for drugs, and some will have to ante up 15% more for Part B.
  2. Retirement

    Medicare 101: Do You Need All 4 Parts?

    At age 65, most people have to sign up for Medicare. Learn which of its four programs are mandatory – and which you can skip.
  3. Retirement

    Medicare Open Enrollment Ends Dec. 7

    Avoid these 4 mistakes during the Medicare Open Enrollment period (Oct. 15 to Dec. 7).
  4. Managing Wealth

    The High Net Worth Guide to Medicare

    In the years ahead, wealthy seniors will pick up an even bigger part of the Medicare tab. However, there are ways to minimize the bill.
  5. Financial Advisor

    How to Help Clients Navigate Medicare Enrollment

    Here's how financial advisors can be an essential guide in helping clients navigate the murky Medicare sign up waters.
  6. Insurance

    Should Retirees Worry About Medicare Under Trump?

    With the Affordable Care Act on the chopping block, there are rumbles that Medicare could be next.
  7. Insurance

    7 Common Medicare Mistakes and How to Avoid Them

    Medicare is confusing to many people, so if you're eligible, make sure you understand the pitfalls that come with making decisions during open enrollment.
  8. Financial Advisor

    Managing Healthcare Costs In Retirement

    Effective ways to estimate and manage healthcare cost during retirement
  9. Managing Wealth

    What Does Medicare Cover?

    Don't assume you're insured. Find out what you can expect from this healthcare program.
RELATED FAQS
  1. How does the role of Medicare/Medicaid affect the drugs sector in the U.S.? (UNH, ...

    Read about the impact of Medicare and Medicaid on the drugs sector in the United States and how some doctors get rich by ... Read Answer >>
Hot Definitions
  1. Risk Tolerance

    The degree of variability in investment returns that an individual is willing to withstand. Risk tolerance is an important ...
  2. Donchian Channels

    A moving average indicator developed by Richard Donchian. It plots the highest high and lowest low over the last period time ...
  3. Consumer Price Index - CPI

    A measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, ...
  4. Moving Average - MA

    A moving average (MA) is a widely used indicator in technical analysis that helps smooth out price action by filtering out ...
  5. Stop Order

    A stop order is an order to buy or sell a security when its price increases past a particular point in order to limit losses ...
  6. Inflation

    The rate at which the general level of prices for goods and services is rising and, consequently, the purchasing power of ...
Trading Center