Medicare Part B costs change each year. The standard monthly premium for 2025 is $185, and the yearly deductible is $257. Costs may be higher for those with a higher income.
Medicare Part B is the part of Medicare that covers medical appointments, such as doctor’s visits, and some medical equipment. Unlike Medicare Part A, Part B has a monthly premium regardless of a person’s work history.
This article will cover Medicare Part B-related costs, including how Medicare adjusts the monthly premium based on a person’s income.
Glossary of Medicare terms
We may use a few terms in this article that can be helpful to understand when selecting the best insurance plan:
- Out-of-pocket costs: An out-of-pocket cost is the amount a person must pay for medical care when Medicare does not pay the total cost or offer coverage. These costs can include deductibles, coinsurance, copayments, and premiums.
- Deductible: This is an annual amount a person must spend out of pocket within a certain period before an insurer starts to fund their treatments.
- Coinsurance: This is the percentage of treatment costs that a person must self-fund. For Medicare Part B, this is 20%.
- Copayment: This is a fixed dollar amount a person with insurance pays when receiving certain treatments. For Medicare, this usually applies to prescription drugs.
Medicare Part B monthly premiums may vary from year to year. The standard premium in 2025 is $185 per month, but a person may have to pay more based on their regular income.
Each year, Medicare will notify people of how their Medicare Part B premium may change for the following year.
If a person receives a benefit check, the Social Security Administration (SSA) or Railroad Retirement Board (RRB) will deduct this amount automatically, so it is not necessary to remember to pay Medicare each month.
Paying a monthly Part B premium does not mean that medical services are free of charge. A person will also need to pay a deductible and coinsurance for certain services.
In 2025, the Medicare Part B yearly deductible will be $257. After meeting this deductible, a person usually pays 20% of the Medicare-approved amount for most physician services, therapies, and durable medical equipment.
Some people may choose to get their insurance coverage from Medicare Advantage, which is also known as Medicare Part C.
Private insurance companies offer Medicare Advantage plans, which are an alternative to traditional Medicare plans.
When someone chooses Medicare Advantage, they will still pay a monthly Part B premium, but their out-of-pocket costs may differ depending on their chosen plan. In addition to the Part B premium, a Medicare Advantage premium may apply.
About 8% of people with Medicare Part B may pay higher monthly premiums according to their income.
Medicare determines a person’s income-related monthly adjustment based on the income the person has reported to the Internal Revenue Service.
In 2025, the basic Part B monthly premium is $185, but a person or a married couple may need to pay more depending on their income. Those with a higher income will have to pay a higher premium, which may range up to $628.90.
The table below shows the range of incomes and associated premiums. The calculations are based on a person’s previous 2 years of income, so the premium cost for 2025 is based on the 2023 tax return.
| Income in 2023 | Income in 2023 | Income in 2023 | Monthly Part B premium in 2025 |
|---|---|---|---|
| Individual tax return | Married, jointly filed tax return | Married, separately filed tax return | |
| $106,000 or less | $212,000 or less | $106,000 or less | $185.00 |
| more than $106,000, up to $133,000 | more than $212,000, up to $266,000 | — | $259.00 |
| more than $133,000, up to $167,000 | more than $266,000, up to $334,000 | — | $370.00 |
| more than $167,000, up to $200,000 | more than $334,000, up to $400,000 | — | $480.90 |
| more than $200,000 but less than $500,000 | more than $400,000 but less than $750,000 | more than $106,000 but less than $394,000 | $591.90 |
| $500,000 or more | $750,000 or more | $394,000 or more | $628.90 |
Sometimes, a person may receive additional help paying their Medicare premiums. For example, if a person is eligible for Medicaid, that program may help them pay their Part B premiums.
A person receives Medicaid based on their income level, and Medicaid qualifications may vary by state.
More information about Medicaid and its state-by-state income requirements is available on the Medicaid website.
A person can enroll in Medicare Part B when they qualify for Medicare, which usually happens when they reach 65 years of age.
Medicare enrollment is automatic if a person receives retirement benefits from the SSA or the RRB. Before a person’s 65th birthday, Medicare will send them a membership card and details of their plan.
If a person is not currently receiving retirement benefits, they can enroll in Medicare through the SSA as early as 3 months before they turn 65. Applying as early as possible can ensure that the benefits start on time.
If a person waits and applies 3 months after turning 65, they may have to pay a penalty in addition to their Medicare Part B premium.
Some people may qualify for Medicare at an earlier age if they meet any of the following criteria:
- their doctor declares that they have a disability, and they receive Social Security disability benefits
- they have end stage renal disease (ESRD)
- they have amyotrophic lateral sclerosis (ALS)
Under these circumstances, a person may enroll in Medicare Part B earlier. If they qualify based on a disability or ESRD, they may have to wait a certain amount of time before they can enroll in Part B.
Medicare resources
For more resources to help guide you through the complex world of medical insurance, visit our Medicare hub.
Medicare Part B costs include a standard monthly premium, a deductible, and coinsurance. The deductible and coinsurance may vary if a person has a Medicare Advantage plan.
If a person’s income exceeds a certain amount, they may pay a higher premium based on income adjustments.
People may receive help to pay their Part B premiums if they qualify for Medicaid benefits under their state’s rules.
