Medicare health insurance premiums can add up to significant dollars—especially if you’re upper-income, you’re married, and both you and your spouse are paying for Medicare.

This article

lists the 2021 and 2022 Medicare health insurance premium amounts,

explains why decisions made on your yet-to-be-filed 2021 Form 1040 will determine your premiums for 2023, and

identifies some tax breaks that can ease the pain of high premium costs.

Here, in Q&A format, is what you need to know.

What Is Medicare Part B Coverage?

Medicare Part B coverage is commonly called Medicare medical insurance or Original Medicare. Part B mainly covers doctors and outpatient services.

Medicare-eligible individuals must pay monthly premiums for this benefit.

How Are Part B Premiums Determined and Paid?

The monthly premium for the current year depends on your modified adjusted gross income (MAGI), as reported on your Form 1040 two years earlier. For Medicare, MAGI means the adjusted gross income (AGI) number shown on your Form 1040 plus any tax-exempt interest income.

Your 2022 Part B premiums will depend on your 2020 MAGI, as reported on your 2020 Form 1040.

Your 2023 premiums will depend on your 2021 MAGI, as reported on your yet-to-be-filed 2021 Form 1040. That means that ... Log in to view full article.