The basic Medicare premium will rise next year to $93.50 a month, an increase of $5 a month, the Bush administration announced Tuesday, but for the first time, higher-income beneficiaries will be required to pay a surcharge.
The standard premium is lower than expected. In May and again in July, Medicare officials estimated that it would be about $98 a month in 2007.
The premium in question is for Part B of Medicare, a voluntary program that covers doctors’ services, diagnostic tests and outpatient hospital care for 40 million people who are 65 and older or disabled. It shot up 50 percent from 2003 to 2006, when it reached $88.50 a month.
Tuesday, September 12, 2006
Medicare to adjust premium to income
Medicare will soon base its monthly premium on your income level.