Message Font: Serif | Sans-Serif
No. of Recommendations: 1
I believe there is a mistake somewhere regarding your twin siblings' premium for Medicare.

Not necessarily. It's kind of complicated. The basic premium for Part B was $96.40 in 2009, $110.50 in 2010, and is $115.40 in 2011.

And there's a twist. There have been no SS COLAs for two years, and there's a provision that Medicare premiums for SS recipients can't increase by more than the SS COLA - so if your Medicare premium is paid from your SS benefit, it's frozen at the current rate. If you don't pay via SS, you get the hike. So while my wife and I were born just a month apart, and started on Part B at pretty much the same time, I'm paying $110.50 (the 2010 rate) and she's now at the 2011 rate of $115.40. That's because my premium is paid through my SS (and thus is frozen at last year's level), while my wife gets the new, higher rate (she doesn't have SS, and pays her premium through withholding from an annuity).

So my guess is that the twins signed up for Part B in late 2009, getting the 2009 rate of $96.40. And their premiums are paid through their SS benefit, and so remain frozen at $96.40. On the other hand, if you signed up in early 2010, you'd be at $110.50. (There's yet another twist relating to high-income individuals, but that doesn't seem to apply here.)

Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.