Medicare Premiums Likely to Increase Under Biden’s $3.5 Trillion Budget Reconciliation Bill

Source: Foundation for Economic Education
by Hannah Cox

“President Joe Biden’s $3.5 trillion budget reconciliation bill is likely to come up for a vote any day now, and according to healthcare experts, seniors have reason to be concerned. … The plan would increase Medicare coverage for things like hearing aids and dentures at a cost of $370 billion. Over 40 percent of those currently on Medicare already receive such services through what is known as Medicare Advantage though, which offers plans through private companies who are reimbursed through the program. And herein lies the reason that seniors should be concerned. … the premium seniors pay is calculated based on an internal governmental formula that takes into account things like inflation, the individual’s income bracket, and Medicare program spending. Thus, it is anticipated that — should these provisions stay in the bill and it be signed into law — those on Medicare could expect to see an increase in their monthly premiums in the near future.” (09/30/21)