2024 Prescription Drug Premiums

Most drug plans charge a monthly fee that varies by plan. If you are in a Medicare Advantage Plan (Part C) or Medicare Cost Plan with drug coverage, the monthly premium may include an amount for drug coverage. Most people only pay their Part D premium. If you do not sign up for Part D when you are first eligible, you may have to pay a Part D late enrollment penalty.

If you have a higher income, you might pay more for your Medicare drug coverage. If your income is above a certain limit, you will pay an extra amount in addition to your plan premium (sometimes called “Part D-IRMAA”). You will also have to pay this extra amount if you are in a Medicare Advantage Plan that includes drug coverage. This does not affect everyone, so most people will not have to pay an extra amount. The chart below lists the extra amount costs by income.

Social Security will contact you if you have to pay Part D IRMAA, based on your income. The amount you pay can change each year. If you have to pay a higher amount for your Part D premium and you disagree (for example, if your income goes down), then you can apply for a Medicare Income-Related Monthly Adjustment Amount Life-Changing Event. If Social Security notifies you about paying a higher amount for your Part D coverage, you are required by law to pay the Part D-Income Related Monthly Adjustment Amount (Part D IRMAA).  If you do not pay the Part D IRMAA, you will lose your Part D coverage.

The extra amount you have to pay is not part of your plan premium. You do not pay the extra amount to your plan. Most people have the extra amount taken from their Social Security check. If the amount is not taken from your check, you will get a bill from Medicare or the Railroad Retirement Board. You must pay this amount to keep your Part D coverage. You will also have to pay this extra amount if you are in a Medicare Advantage Plan that includes drug coverage.

Part D Premiums by Income

If your yearly income in 2022 (for what you pay in 2024) was			You pay each month (in 2024)
File individual tax return	File joint tax return	File married & separate tax return
$103,000 or less	$206,000 or less	$103,000 or less	your plan premium
above $103,000 up to $129,000	above $206,000 up to $258,000	Not applicable	$12.90 + your plan premium
above $129,000 up to $161,000	above $258,000 up to $322,000	Not applicable	$33.30 + your plan premium
above $161,000 up to $193,000	above $322,000 up to $386,000	Not applicable	$53.80 + your plan premium
above $193,000 and less than $500,000	above $386,000 and less than $750,000	above $103,000 and less than $397,000	$74.20 + your plan premium
$500,000 or above	$750,000 and above	$397,000 and above	$81.00 + your plan premium

 

Get your premium automatically deducted

Contact your plan (not Social Security or the Railroad Retirement Board (RRB)) if you want your premium deducted from your monthly Social Security or RRB payment. If you want to stop premium deductions and get billed directly, contact your plan.