Almost everyone with Part B pays a premium
Everyone with Medicare Part B has to pay a monthly premium unless their income and assets are so limited that they receive financial assistance. Three of the four types of Medicare Savings Programs are designed to help with Part B costs.
Part B covers doctors’ services, diagnostic screenings, lab tests, outpatient care and preventive services, plus some medical equipment and transportation. The 2026 standard premium is $202.90, but what you are charged may be higher depending on your income.
About a quarter of Part B’s total expected costs are financed through Medicare enrollees’ premiums, which means the rates usually rise every year as health care spending and the number of Medicare participants grow. Where does the remainder come from? The federal budget’s general fund.
You don’t have to enroll in Part B and Part A at the same time, but eligibility starts at 65. After your initial enrollment period at age 65, you could face a permanent late penalty if you do not qualify for a special enrollment period.
If you get your health insurance from an employer with fewer than 20 workers, you should sign up for both Part B and Part A at 65 because your private plan will not pay first. That could leave you without any coverage when you need it.
Parts A and B are called Original Medicare or traditional Medicare, and together they form the foundation for additional Medicare coverage.
