What are the parts to Medicare?

Medicare has 4 parts, designated by the letters A,B, C and D. A and B are referred to as ORIGINAL MEDICARE. They cover  Hospitalization-part A or Doctors and other non hospital medical expenses-Part B. Medicare pays 80% of the covered expenses and you are responsible for the remaining 20%.
  Then there is Part D- Prescription drug coverage. It is a required coverage and failure to obtain proper coverage in the proper time frame will result in a penalty being assessed.
  Part C is a plan administered by an insurance carrier and often has a Part D plan attached as well as providing benefits not available under original medicare. 

What is Medicare Part A?

Medicare Part A covers hospitalization. If you have qualified for full Medicare (40 quarters of employment paying FICA taxes) there is no monthly cost. Persons who have not completed the required number of months may pay for Part A- your agent will explain this to you.
  There is a deductible for hospital care in 2024 is $1,632.00 dollars for days 1 through 60, during that period there is no per day co payment. The deductible is not an annual deductible, it applies to a benefit period. A benefit period is counted as a period that begins upon admission to a facility and ends when a beneficiary is out of a hospital or skilled nursing facility for 60 consecutive days. Conceivably It could be paid more than once in a year. Your agent will explain the details to you.
   If confined to a hospital for longer than 90 days, there is a per day co-payment of $408.00 for days 61 through 90. For days 91 though 159, that goes to $816.00 per day.
  Part A also covers Skilled Nursing Facilities- There is a zero dollar co payment for days 1 through 20. That rises to $204.00 for day 21 through 100. Only approved admission to a skilled nursing facility is covered. The beneficiary must be in a hospital facility for 3 days prior to admission to a skilled nursing facility.  

How much does Part B cost? 

Did you know that your Medicare part B is based on your income? The has risen almost annually, and for 2024, the base rate is $174.70. The part B premium MUST BE PAID even if you enroll in a MEDICARE ADVANTAGE or SUPPLEMENT PLAN, as well as a PRESCRIPTION DRUG PLAN.
   Higher income earners pay a higher part B premium, called IRMAA (Income Related Monthly Adjustment Amount)as shown here. The amount is based on the income you reported BEFORE filing for Medicare. This is not a life time adjustment and will be adjusted down if your income decreases.
    The income limits are adjusted annually and are available on the CMS website.
The Social Security Administration sets these levels and will let you know if you have to pay the higher premiums. It is based on the adjusted gross income from the year the IRMAA can be grieved and either lowered or eliminated to the base premium if there is a difference in income that would qualify to eliminate IRMAA payments.
There is a deductible for Part B services  of $240.00, that must be paid before Medicare covers expenses.