If you waited 2 full years (24 months) to sign up for Part B and didn’t qualify for a Special Enrollment Period, you’ll have to pay a 20% late enrollment penalty (10% for each full 12-month period that you could have signed up), plus the standard Part B monthly premium ($164.90 in 2023).
$164.90 (2023 Part B standard premium)
+ $32.98 (20% [of $164.90] late enrollment penalty)
$197.90 will be your Part B monthly premium for 2023. This amount ($197.88) is rounded to the nearest $.10 and includes the late enrollment penalty.
If you waited 14 months after you were eligible for Medicare to join a Medicare drug plan, and you didn’t have creditable drug coverage, you’ll have to pay a 14% late enrollment penalty in addition to your monthly plan premium.
- The penalty amount comes from the “national base beneficiary premium" ($32.74 in 2023).
- The national base beneficiary premium changes each year, so your penalty amount may also change each year. This monthly penalty is added for as long as you have Medicare drug coverage, even if you switch plans.
$32.74 (2023 national base beneficiary premium)
X 0.14 (14% penalty)
$4.58 (rounded to the nearest $0.10 = $4.60)
$4.60 will be your penalty for 2023. This amount is added to your plan’s monthly premium for 2023.