Categories: Fedweek

Medicare Costs Increasing—Sharply for Some

Part B premiums under the Medicare program—which generally cover physicians’ services and related services—will increase to $93.50 per month in 2007 from the current $88.50 for most Medicare enrollees but increases will be substantially higher for some, the program has announced. Under a 2003 Medicare reform law, starting in January the premiums will be based on taxable income. The $93.50 rate applies to those with taxable incomes of below $80,000 (single) or $160,000 (married filing jointly)—all but about 4 percent of enrollees. For higher-income beneficiaries, the monthly premium will go as high as $162.10 per month.

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