The bad news is that like most years, there will be premium increases.
We have suggestions for how to soften the blow.
Make Easy Money to Help Cover Medicare Costs
Healthcare costs are rising in 2025.
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Nearly 1 in 5 Americans could be impacted by the Medicare increase.
Thats 19.8% of the U.S. population.
The Part A deductible will be higher, too.
Medicare Part A primarily covers hospital stays and skilled nursing facilities.
2025 Medicare Costs at a Glance
When Insurance Falls Short…
Unfortunately, insurance doesnt covereverything.These resourcescan help you manage those unexpected expenses.
Why Are Medicare Costs Going Up in 2025?
Medicare costs go up nearly every year to adjust for inflation and new coverage items.
Overthe last 25 years, premiums have only gone down twice: Once in 2012 and once in 2023.
There have been a few years where costs stayed static, but year-over-year increases are the norm.
The 2012 decrease can be attributed largely to the passage of the ACA (aka Obamacare) in 2010.
The law encouraged an overall lowering of health care costs across the industry.
They didnt reach pre-ACA levels again until 2017.
In 2022, the government was predicting outsized demand for a new Alzheimers drug.
The projections were so large that Part B premiums went up by a whopping $21.60.
The drug was a bit of a let down in terms of performance and demand.
This subsidized program used to require prorated premiums and deductibles based on your income level.
But as of 2024, if you qualify at all, the Extra Help program is completely free.
No more Part B premiums or deductibles required.
Not even prorated ones.
The annual cost-of-living adjustment (COLA)is increasing by just 2.5% in 2025.
Historically, thats not…the absolute worst.
And while inflation isnt as out of control as it was in 2022, its currently 2.7% year-over-year.
Thats more than the COLA even before you account for Part B premium hikes.
Need a Hand With Bills?
Listen, we know its tough out there.
But theres no shame in asking for help.
These companiesmake it easy to help yourself and your bank account.
You brew coffee at home, you dont walk into Target and you refuse to order avocado toast.
(Can you sense my millennial sarcasm there?)
Rachel Christian is a Certified Educator in Personal Finance and a former senior writer for The Penny Hoarder.
