How Much Does Medicare Cost in 2025?

The Centers for Medicare & Medicaid Services (CMS) releases the cost of Medicare every fall for the following year. This includes monthly premiums, deductibles, coinsurance amounts and income-related monthly adjustment amounts (IRMAA).

Medicare is government health insurance for people age 65 or older and younger people living with certain illnesses or disabilities. It has four parts — Part A, Part B, Part C and Part D. There’s also Medigap, or Medicare Supplement Insurance, which is an optional add-on to Original Medicare.

Below are Medicare’s premiums and deductibles for 2025.

The monthly cost of a Medicare plan is known as the premium. In general, you’ll pay a monthly premium for each part of Medicare, depending on which parts you’re enrolled in:

Income-related monthly adjustment amount (IRMAA)

If your income is above a certain level, you may have to pay a higher premium for Medicare Parts B and D. This is known as the income-related monthly adjustment amount (IRMAA). The thresholds for IRMAA in 2025 are based on your modified adjusted gross income in 2023:

• Single filers: $106,000

• Joint filers: $212,000

Out-of-pocket Medicare costs

In addition to paying a monthly premium, you’ll likely face out-of-pocket costs when you seek care. Below are the definitions for typical out-of-pocket costs on Medicare.

• Deductible: The amount you must spend before your plan’s benefits kick in. If your deductible is $500, you must spend $500 in a benefit period before your insurance starts to cover most services.

• Coinsurance: The portion of a covered service you’re responsible for paying, expressed as a percentage. If your coinsurance is 20% and you’re billed $1,000 for a covered service, you have to pay $200 out of pocket. Your insurance will cover the rest.

• Copay: A dollar amount you’re responsible for paying when you seek care. If your copay for a doctor’s visit is $50, you pay $50 out of pocket and your insurance covers the rest.

Medicare Part A covers inpatient care in hospitals and skilled nursing facilities, hospice care and some home health care. Here’s what you’ll pay for Medicare Part A:

• Premium: Free for most^[0]

  Centers for Medicare & Medicaid Services. Costs. Accessed Aug 11, 2025.

  View all sources

  . (It’s free if you or your spouse worked and paid Medicare taxes for 10 years.)

• Premium if it’s not free: Up to $518 per month. 

• Deductible: $1,676 for each benefit period.

• Coinsurance for inpatient stay: $0 for days 1 to 60 after you pay your deductible, then $419 or more per day after that.

• Coinsurance for a skilled nursing facility stay: $0 for days 1 to 20 after you pay your deductible, then $209.50 or more per day after that. 

• Maximum out-of-pocket costs: There is no limit unless you have a Medigap policy covering some of your costs. 

Note: If you have a Medigap policy, it may cover many of these costs listed above.

Medicare Part B covers outpatient care, such as routine screenings and doctor’s office visits. It also covers durable medical equipment. Here’s what you’ll pay for Medicare Part B:

• Premium: $185 per month, although you could pay more depending on your income.

• Higher-income beneficiaries: An additional $74 to $443.90 per month if your income is above IRMAA thresholds.

• Deductible: $257.

• Coinsurance: Usually 20% of the cost of Medicare-approved services.

• Maximum out-of-pocket costs: No limit unless you have a Medigap policy.

Note: If you have a Medigap policy, it may cover your coinsurance.

Medicare Advantage is a bundled alternative to Original Medicare. It includes the benefits of Part A, Part B and usually Part D. Most plans come with some dental or vision care coverage^[0]

• Average monthly premium: $17. (But many plans have a $0 premium.)

• Part B premium: You still must pay this, but some Medicare Advantage plans pay all or part of this for you.

• Deductibles, coinsurance and copays: Costs vary by plan. Check the fine print to understand what you’ll pay for medical services.

• Maximum out-of-pocket costs: Plans can set this limit as high as $9,350.

Medicare Part D is optional prescription drug coverage. It’s sold by private health insurance companies, so premiums vary by policy. Here’s what you’ll pay for Medicare Part D:

• Average monthly premium: $38. (But some plans have a $0 premium.)

• Higher-income beneficiaries: You’ll pay an additional $13.70 to $85.80 per month if your income is above IRMAA thresholds. 

• Drug plan price range: $0 to $190.80 per month.

• Deductible: Not all plans have one, and it can’t be higher than $590.

• Copays and coinsurance: Check your prescription drugs to see what you’ll pay for them in the plan.

• Maximum out-of-pocket costs: $2,000.

Note: Most Medicare Advantage plan include Part D benefits. If you have one of these plans, you don’t have to pay a separate Part D premium.

If you opt for Original Medicare instead of Medicare Advantage, you can get Medigap, or Medicare Supplement Insurance. These plans offer extra coverage for your out-of-pocket costs on Medicare. They may also come with some health coverage if you travel internationally. Here’s what you’ll pay for Medigap:

• Premium: Varies by plan and location.

• Best time to buy: During the six-month window that starts the first month you have Medicare Part B (and you’re 65 or older). This is your Medigap open enrollment period. During this time, Medigap companies can’t charge you more because of your health status^[0]

  Centers for Medicare & Medicaid Services. Get ready to buy: Your Medigap Open Enrollment Period. Accessed Aug 11, 2025.

  View all sources

  . After that, companies may raise the price or not offer you a plan, depending on your health situation.

Note: You can’t buy Medigap if you have Medicare Advantage.

Although premiums vary, here’s an example of Medigap costs for a 65-year-old nonsmoker in Chicago:

Make sure you compare Medicare Supplement plan types to find the coverage that’s right for you.