Medicare & Social Security Deductions
If you receive monthly Social Security benefits, your Medicare premiums can be automatically deducted from your Social Security check. The amount of the deduction depends on which Medicare plans you have and your income.
- Written by Terry Turner
Senior Financial Writer and Financial Wellness Facilitator
Terry Turner has more than 35 years of journalism experience, including covering benefits, spending and congressional action on federal programs such as Social Security and Medicare. He is a Certified Financial Wellness Facilitator through the National Wellness Institute and the Foundation for Financial Wellness and a member of the Association for Financial Counseling & Planning Education (AFCPE®).Read More
- Edited ByLamia Chowdhury
Lamia Chowdhury is a financial content editor for RetireGuide and has over three years of marketing experience in the finance industry. She has written copy for both digital and print pieces ranging from blogs, radio scripts and search ads to billboards, brochures, mailers and more.Read More
- Reviewed ByChristian Worstell
Christian Worstell is a licensed health insurance agent and an established writer in the sector, with articles featured in Forbes, MarketWatch, WebMD and more. His work has positively impacted beneficiaries nationwide and empowers them to make strong health care decisions.Read More
- Published: January 13, 2023
- Updated: October 20, 2023
- 6 min read time
- This page features 5 Cited Research Articles
- Edited By
- If you are receiving Social Security benefits, your Medicare Part B premiums will be automatically deducted from your monthly Social Security check.
- If you have a Medicare Advantage or Medicare Part D drug plan, you can ask your plan administrator if your premiums can be deducted from your Social Security check.
- If you are enrolled in Medicare but not drawing Social Security benefits, you can contact Medicare to have your monthly premiums automatically paid from your checking or savings account.
Medicare Deduction From Social Security 2023
When it comes to Social Security, both employers and employees each contribute 6.2%, adding up to a total of 12.4%. Similarly, for Medicare, the tax rate is 1.45% for both parties, making it a total of 2.9%. In 2023, most individuals enrolled in Medicare and receiving Social Security benefits will have $174.70 deducted from their Social Security check each month.
This amount covers the monthly premium specifically assigned to Medicare Part B. However, it’s important to note that some individuals may have higher deductions from their Social Security benefits to cover other Medicare premiums.
You won’t receive a monthly bill for Medicare premiums from Social Security, but you will receive a monthly statement telling you how much will be deducted from your Social Security check.
You may also be able to have Medicare Advantage (Medicare Part C) and Medicare Part D prescription drug plan premiums deducted from your Social Security benefits.
Can Medicare Premiums Be Deducted Automatically From Social Security Checks?
While Medicare premiums can be deducted automatically, the amount withheld from your Social Security check each month depends on what Medicare plans you are enrolled in, whether you have to pay Medicare Part A premiums and your annual income.
Understanding the billing portion of your Medicare is almost as important as the coverage itself. Knowing if your Medicare premiums will be deducted from your Social Security check can help your benefits better fit into your budget.
Medicare Part A
Most people don’t have to pay Medicare Part A premiums. However, you have to pay Part A premiums if you have not paid Medicare taxes through your job for at least 10 years.
If you have to pay monthly Medicare Part A premiums, you can’t qualify for Social Security benefits. But you can still buy Medicare Part A if you don’t qualify for Social Security.
|Time Worked Paying Medicare Taxes||Monthly Premium Amount|
|Less than 30 quarters (7.5 years)||$505|
|30 to 39 quarters (7.5–10 years)||$278|
Medicare Part B
If you have Medicare Part B medical insurance, your premiums are automatically deducted from your Social Security check and your monthly premiums are based on your income. Most Part B enrollees will have $174.70 deducted from their Social Security each month in 2024.
The amount increases if you have a high income. The amount of the premium, and the income level at which it increases, change each year.
Medicare Advantage Plans (Part C)
Medicare Advantage plans are sold through private insurers and replace Medicare Part A and Part B. In some cases, their premiums can also be deducted from your monthly Social Security benefits.
This won’t be automatic. If you have a Medicare Advantage plan you will have to contact your plan’s administrator to set it up. Some plans may not let you have the premiums deducted from your Social Security benefits.
The amount of the deduction varies from plan to plan — and there were roughly 4,000 plans available in the United States for 2023, according to the Kaiser Family Foundation.
Medicare Part D Prescription Drug Plans
Medicare Part D prescription drug plans are sold through private insurers and premiums vary from plan to plan. Most Medicare Advantage plans include a Part D plan as well.
If you have a standalone Medicare Part D plan, you can contact the plan administrator to set up automatic deductions from your monthly Social Security check. Not all plans will allow you to set up automatic deductions.
Medigap (Medicare Supplement Insurance)
You typically cannot have your Medigap premiums deducted from your Social Security check.
Medigap — also called Medicare Supplement insurance — helps cover out-of-pocket Medicare costs such as copays, coinsurance and Medicare deductibles. These policies are sold through private insurers who bill you directly.
Does Everyone on Social Security Pay for Medicare?
Medicare helps with your health care costs — but does not cover all medical expenses and does not cover long-term care. Most people still have to pay for Medicare if they are on Social Security.
One notable exception is that if you qualify for Social Security benefits you do not have to pay premiums for Medicare Part A when you turn 65. But you will still be responsible for deductibles and coinsurance or copays.
You will have to pay premiums and other out-of-pocket expenses for other parts of Medicare. Everyone who has Medicare Part B or a Medicare Advantage plan is responsible for their Medicare Part B premiums.
Medigap plans C and F cover the Part B annual deductibles, but only to those who became eligible before Jan. 1, 2020. However, these plans only cover the deductible, not the Part B premium.
Some Medicare Advantage plans may offer “give back benefits” to beneficiaries that “give back” some or all of the cost of the monthly Part B premium. These plans are not available in all areas.
Medicare Deductions from Social Security FAQs
Connect With a Financial Advisor Instantly
5 Cited Research Articles
- Freed, M. et al. (2022, November 10). Medicare Advantage 2023 Spotlight: First Look. Retrieved from https://www.kff.org/medicare/issue-brief/medicare-advantage-2023-spotlight-first-look/
- Social Security National Press Office. (2022). Fact Sheet; 2023 Social Security Changes. Retrieved from https://www.ssa.gov/news/press/factsheets/colafacts2023.pdf
- Social Security Administration. (n.d.). Premiums: Rules for Higher-Income Beneficiaries. Retrieved from https://www.ssa.gov/benefits/medicare/medicare-premiums.html
- U.S. Centers for Medicare & Medicaid Services. (n.d.). How To Pay Part A & Part B Premiums. Retrieved from https://www.medicare.gov/basics/costs/pay-premiums
- U.S. Centers for Medicare & Medicaid Services. (n.d.). Medicare Easy Pay. Retrieved from https://www.medicare.gov/basics/costs/pay-premiums/medicare-easy-pay
Calling this number connects you to one of our trusted partners.
If you're interested in help navigating your options, a representative will provide you with a free, no-obligation consultation.
Our partners are committed to excellent customer service. They can match you with a qualified professional for your unique objectives.
We/Our Partners do not offer every plan available in your area. Any information provided is limited to those plans offered in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options.888-694-0290