## What are Medicare Premiums and How Can They Help You? Medicare is a government-run health insurance program in the U.S. for people aged 65 and older, people with disabilities, and those with end-stage renal disease. It is funded by general revenues and the Federal Insurance Contributions Act tax and administered by the federal government. ### Medicare Parts and Premiums - **Medicare Part A**: This covers hospital care, including semi-private rooms, meals, medicines, and nursing services. It also covers stays in mental hospitals, skilled nursing facilities, and other healthcare programs for a limited time. If you have a Medicare deductible, Part A will cover hospital costs. The deductible for Part A in 2021 is $1,484 per benefit period. - **Medicare Part B**: This covers outpatient care, physician services, home health services, medical supplies, and equipment. Part B premiums are based on your income from two years prior. For example, higher income in 2019 means higher premiums in 2021. This is known as the monthly adjustment amount. - **Medicare Part C and D**: Part C is a private insurance option that combines Parts A and B. Part D covers prescription drugs. ### Costs and Eligibility - **Part A Premiums**: If you buy Part A, you may pay up to $471 per month in 2021. If you paid Medicare taxes for 30-40 quarters, the cost is $259. - **Part B Premiums**: These are often deducted from your Social Security payments. If you have a higher income, you may pay more. - **Eligibility**: You must be 65 or older, or under 65 with Social Security disability benefits for two years, or have end-stage renal disease. ### Benefits - **Tax Deductions**: You can deduct some of your Medicare premiums when you pay your taxes, reducing your taxable income. - **Preventive Services**: Medicare Part B covers free preventive health services like yearly wellness visits, flu shots, and screenings for cardiovascular diseases and diabetes. ### Enrollment You can apply for Medicare online, by mail, or in person at a Social Security Administration office. The enrollment period is three months before, during, and three months after your 65th birthday. You can also sign up by phone. Before enrolling, it's a good idea to familiarize yourself with all the options and health care programs available.