Sorry, Seniors: Medicare Part B Premiums Are Rising in 2021

Rising healthcare costs are a major problem for seniors on a fixed income, and so any time Medicare premiums go up, it's stressful for retirees. Unfortunately, the Centers for Medicare and Medicaid Services just announced that Medicare Part B premiums will be rising in 2021. The standard monthly Part B premium is currently $144.60, but come 2021, it will increase to $148.50. That $3.90 bump represents a 2.7% increase, which is more than double the most recent Social Security cost-of-living adjustment (COLA ).

Of course, it's not just Part B premiums that are rising. The annual deductible for Part B is also going up from $198 in 2020 to $203 in 2021. And the Part A deductible per hospital benefit period is increasing, too, from $1,408 to $1,484 -- a $76 jump.

Now on the one hand, a $3.90 increase in monthly Part B premiums may not seem so bad. In fact, last year, Part B premiums rose by $9.10 a month, so this bump is clearly not as substantial. But let's not forget that seniors were just hit with news of a stingy Social Security COLA going into 2021, and that many have already struggled financially because of the coronavirus pandemic. At this point, any Part B increase at all could result in a world of financial pain.

Source Fool.com