Medicare Premiums, Deductibles, and Copays Change for 2022

Here are the new numbers for Medicare premiums, deductibles, and copays for 2022.

Part A Costs

Most people don't pay a monthly premium for Medicare Part A (hospital insurance). But if you have to pay for Part A because you or your spouse don't have a long enough work history, you'll pay between $274 (if you have 30-39 work credits) and $499 (if you have fewer than 30 work credits).

In 2022, you'll also pay a $1,556 deductible for each benefit period in which you use hospital or skilled nursing inpatient care, in addition to the following copays.

• Hospital days 61-90: $389 coinsurance per day of each benefit period
• Hospital days 91 and beyond: $778 coinsurance per each lifetime reserve day for each benefit period
• Skilled nursing days 21-100: $194.50 coinsurance per day of each benefit period.

Part B Costs

The standard Medicare Part B premium is $170.10 per month in 2022. But some people who were enrolled in Medicare in 2021 or earlier will pay slightly less (about $155 per month) because of a hold harmless provision that doesn't allow Social Security payments to be reduced from year to year for Medicare premiums.

If you first enroll in Medicare Part B during 2022 or you are not collecting Social Security benefits, your premium will be $170.50 per month. Also, if your adjusted gross income is over $91,000 (or $182,000 for a couple), the monthly premium is higher. The monthly surcharges have increased for 2022, as follows:

The Part B deductible for 2022 increased to $233 per year.

The cap on outpatient physical therapy, speech-language pathology, or occupational therapy has been removed, but there are still thresholds, as follows:

• outpatient physical therapy and speech-language pathology combined: $2,150
• occupational therapy: $2,150.

If your therapist tells Medicare that more care is medically necessary and Medicare approves, you can go over the thresholds.

Part C Costs

Beneficiaries of Part C, also called Medicare Advantage, have to pay the Part B premium as well as a monthly premium, although a good number of Advantage plans don't charge a monthly premium, and they generally have lower costs than traditional Medicare plans.

The average monthly premium for Medicare Advantage plans in 2022 has decreased to $19.

Part D Costs

Part D premiums vary depending on the plan you choose, with an average of $33. The maximum Part D deductible for 2022 is $480 per year (though some plans waive the deductible completely).

Also, if your adjusted gross income is over $91,000 (or $182,000 for a couple), you will pay a monthly adjustment amount to Medicare in addition to your monthly Part D premium. Here are the Part D additional amounts for individuals making over $91,000 and married couples making over $182,000:

You no longer have to pay the full amount of your drug costs while in the "donut hole" (also called the "coverage gap"). Once your total yearly drug expense reaches $4,430 (and until your total out-of-pocket costs reach $7,050), you must pay 25% of your drug costs for both brand name and generic drugs. When you are on the other side of the donut hole (once you've reached $7,050 in spending), you pay only 5%, or $3.95 for generics and preferred drugs and $9.85 for brand name drugs, whichever is greater.

There are subsidies available to pay for Part D for those with low income (called Extra Help). See Nolo's article on Extra Help for Part D for more information.

Effective date: Jan 01, 2022