2025 Medicare Costs: What You Need to Know

If you're on Medicare, here’s a quick breakdown of what’s changing for 2025, including premiums, deductibles, and other key updates.

Medicare Part B: Doctor Visits and Outpatient Care

• Monthly Premium: The standard Part B premium will be $185.00 in 2025, an increase of $10.30 from 2024.
• Annual Deductible: The deductible is going up to $257, an increase of $17.

If you have a higher income, you may pay more for your Part B premium. These amounts are based on your tax return from two years ago (2023).

Medicare Part A: Hospital Stays

• Hospital Deductible: For inpatient hospital stays, the deductible will be $1,676 per benefit period, an increase of $44.
• Daily Coinsurance:
  • Days 61–90: $419/day (up $11).
  • Lifetime Reserve Days: $838/day (up $22).

For skilled nursing care, coinsurance for days 21–100 will be $209.50/day, a small increase from last year.

If you don’t qualify for free Part A (you or your spouse worked fewer than 10 years), the premium will be:

• $518/month if you have fewer than 30 work credits.
• $285/month if you have 30–39 work credits.

Medicare Part D: Prescription Drugs

If you have higher income, you may also pay an extra fee for your Part D prescription drug plan. Here’s what’s new for 2025:

These fees will be added to your plan’s regular monthly premium.

Special Coverage for Immunosuppressive Drugs

If you’ve had a kidney transplant and no longer qualify for full Medicare, you can still get Part B coverage for immunosuppressive drugs. The standard premium for this special coverage will be $110.40 per month in 2025, with adjustments for higher-income individuals.

Why Are Costs Going Up?

The increases in premiums and deductibles reflect rising healthcare costs and adjustments to account for how people are using their Medicare benefits. While costs are going up slightly, Medicare is working to keep coverage comprehensive and affordable.