Saturday, April 17, 2010

Medicare Part B Excess Premium

“Medicare Part B Premium”

QUESTION:  I am new to Medicare and recently received a bill from Medicare stating I owe an additional amount for my Medicare Part B premium. I don’t understand this bill.

ANSWER:  The standard Medicare Part B monthly premium for first time enrollees in 2010 is $110.50 per month. If your yearly income is more than $85,000, ($170,000 for a couple) then you will pay an increased premium based on your income. The Internal Revenue Service supplies your tax filing status and income information to the Social Security Administration each year. I imagine, based on the information you have given me, that your income information was updated and your income exceeded the standard premium guidelines for 2010, hence your bill for additional premium. Not a good surprise to find out you owe more money. The surprise factor might have been avoided by contacting the Social Security Administration early, up to three months prior to the month you turn 65. You may also appeal this increase, if you think it is in error, by contacting the Social Security Administration ( 1-800-772-1213 ).

SOURCE: ; select (#4) 2010 Part B Premium Amounts for Persons with Higher Income Levels. Also available in the Medicare and You Handbook.