The cost of Medicare depends on which parts you have and how often you use them. Most people who have Medicare pay monthly premiums for Part B and, if they choose to enroll in a Medicare Advantage Plan or a Prescription Drug Plan, they pay additional premiums for those plans.

In addition to monthly premiums, you may also have annual deductibles and copayments or coinsurance for the services you receive.

3. What Does Medicare Cost?

Original Medicare—Part A (hospital insurance) and Part B (medical insurance)—has no monthly premium for most people. Starting in 2020, the standard Part B premium is $144.60 per month. Some people who get Social Security benefits will pay less than this amount. The Part B deductible is $198 starting in 2020. After the deductible is met, you typically pay 20% of the Medicare-approved amount for most doctor services, outpatient therapy, and durable medical equipment.

You also pay your coinsurance for some clinical research studies and hospital stays as well as other out-of-pocket costs. However, If you have a Health Savings Account (HSA)-compatible high-deductible health plan (HDHP), you may be able to make tax-free contributions to your HSA to help pay your share of these costs.

Next Up… How Do I Get Medicare Coverage?