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Is Medicare Automatically Deducted From Social Security?

Yes, in most cases, you can have Medicare premiums automatically deducted from your Social Security benefit checks. However, each part of Medicare operates differently, and the cost and cadence of each bill vary.

While the Centers for Medicare and Medicaid Services (CMS) and Social Security are distinct agencies, Social Security handles the eligibility and application process for Original Medicare, or Parts A and B. As such, Medicare can take payment directly from your Social Security benefits. 

How Does Social Security Work?

As a federally funded program, Social Security helps retirees, people who cannot work, and spouses or dependents of workers who have died. Most beneficiaries — about 51 million people — are retirees and their families.

You qualify for retirement benefits by working and paying Social Security taxes for ten years, equivalent to 40 work credits. You may opt for reduced benefits starting at age 62 or delay retirement to draw full benefits. If you receive benefits when you turn 65, Social Security will automatically enroll you in Original Medicare.

Social Security also provides financial assistance to younger people with disabilities. These individuals need fewer work credits to qualify for aid. In this scenario, Social Security enrolls beneficiaries in Original Medicare after 24 months of receiving Social Security Disability Insurance (SSDI). 

People who do not receive retirement or disability benefits must apply for Medicare through the Social Security website. 

Social Security Deductions Among Medicare Parts

Automatic deductions might be convenient, but not every Medicare part offers this feature. 

Medicare Part A

Most people do not pay a premium for Part A, which covers inpatient care and services, including hospitals, skilled nursing facilities, nursing homes, and hospice care. To qualify for premium-free Part A, you must work and pay Medicare taxes for at least ten years. 

Since Social Security and Medicare utilize the same requirements, if you do not qualify for premium-free Part A, you likely do not qualify for retirement benefits. As such, you must pay your Part A premium out-of-pocket. 

If you purchase Part A independently, it may cost up to $506 per month, depending on how many years you or a spouse worked. 

Medicare Part B

Unlike Part A, everyone pays for Part B, which covers medically necessary services and preventative care. Billed every three months, the premium can be deducted from Social Security. However, the amount varies by income. 

Most individuals pay the standard premium ($164.90 for 2023), but some beneficiaries receive financial support through government-sponsored programs. High-earners, however, are saddled with an extra monthly payment called an income-related monthly adjustment amount (IRMAA). Medicare bases IRMAA payments on tax returns from two years prior. The tiered brackets begin at $97,000 for individuals and $194,000 for joint filers, and surcharges range from $65.90-$395.60 per month. 

What is the Hold Harmless Provision?

As Medicare premiums change each year, the “hold harmless provision” ensures you will not lose out on Social Security benefits if premiums increase more than the cost of living adjustment in a given year. Your Social Security benefit will increase to cover a higher premium. However, to qualify, your Part B premium must be deducted from Social Security benefits in December and January.

This protection does not apply in certain cases, such as:

  • You first enrolled in Part B in 2022
  • You pay an IRMAA
  • You are eligible for Medicaid, and a state Medicaid agency pays your premium

Medicare Part C

Also known as Medicare Advantage, these private insurance plans bundle Part A, Part B, and often Part D. They must meet minimum coverage requirements set forth by Original Medicare but may also expand benefits.

In general, you must pay your Medicare Advantage premium in addition to Part B. However, some plans offer $0 premiums premiums premiums premiums, and others help pay for Part B costs. If you do have to pay, you can usually deduct your plan premium from Social Security. Check with your insurance company to confirm and switch your billing preferences.

It’s important to note that high-earners must pay their IRMAA surcharge directly to Medicare, regardless of where they purchased their Medicare Advantage plan

Medicare Part D

Part D plans, sold by private insurers, provide optional prescription drug coverage. You can add this to your Original Medicare insurance or purchase a bundled Medicare Advantage plan that includes the medications you need. Part D costs vary by insurer, but the 2023 base premium is $32.74 per month.

Similar to Part C, you can set up automatic Social Security deductions with your insurance company. The change takes up to 3 months, so you may receive a few out-of-pocket bills. Be sure to pay these to avoid jeopardizing your coverage. 

What is Part D-IRMAA?

Like Part B, high-earners must pay an IRMAA surcharge for Part D. Monthly payments fall between $12.20 and $76.40, but this amount changes yearly. Medicare deducts the cost from your Social Security benefits. Medicare will send you a bill directly if you do not receive benefits, or that amount will not cover the IRMAA.


Medigap, also called Medicare Supplement insurance, helps pay for out-of-pocket costs associated with Original Medicare. You must purchase this plan from a private insurer and cannot deduct it from Social Security benefits. Unlike Medicare Advantage plans, all Medigap policies have a premium, which must be paid in addition to Part B. You cannot enroll in both types of coverage. 

You may choose between ten standard Medigap policies, but prices vary significantly based on location and insurance company. Some plans consider your age, while others base the premiums on factors like inflation.

How to Change How You Pay for Medicare

It’s relatively easy to opt into automatic Social Security deductions, but the process depends on whether you purchased a private insurance plan. If you have Medicare Advantage or a separate Part D plan, follow these steps:

  1. Compare your premium and benefit payments. Make sure your Social Security benefits cover your monthly bill. 
  2. Contact your insurance company. Determine whether they offer automatic deductions. If so, a representative can help you set up the payments. 
  3. Wait for the change to take effect. To avoid a lapse in coverage, make sure to pay any premium bills you receive before the deductions begin.

If you receive Social Security benefits, your Part B premium and/or IRMAA payments will be deducted automatically. Change your billing preferences by contacting Medicare. You can pay your Medicare bill in four ways:

  • Your Medicare account online
  • Automatic deductions from your bank account with Medicare Easy Pay
  • Bill payment service provided by your bank
  • By mail

For billing questions, contact Medicare at 1-800-633-4227; TTY: 1-877-486-2048.

Should You Use Social Security to Pay for Medicare?

As long as your benefit payments exceed your premium, deducting Medicare from Social Security is usually easiest. However, if your payments are too low, you’ll have to pay out-of-pocket. 


  • Convenience and Simplicity: Automatic deduction of Medicare payments from your Social Security ensures a hassle-free and streamlined process, eliminating the need for separate payments and reducing the risk of missed deadlines.
  • Timely and Reliable Payments: With automatic deductions, you can count on your Medicare premiums being paid on time every month, providing financial predictability and ensuring continuous access to healthcare services without interruptions.
  • Reduction of Administrative Burden: Automated payments minimize paperwork and administrative tasks associated with managing separate Medicare payments, allowing you to focus on other aspects of your financial planning and well-being.
  • Budgeting and Financial Planning: By integrating Medicare payments into your Social Security deductions, it becomes easier to budget and plan for healthcare costs, providing a clearer picture of your overall financial health and allowing for better financial management.
  • Enhanced Security and Accuracy: Automatic deductions reduce the likelihood of errors in payment processing, providing a more secure and accurate method of handling your Medicare premiums, ultimately contributing to a smoother and more efficient financial experience.


  • Limited Control Over Timing: Automatic deduction of Medicare payments from Social Security may result in reduced control over the timing of payments, potentially causing financial strain if the deduction coincides with other major expenses.
  • Difficulty in Adjusting Payments: Automatic deductions can make it challenging to adjust Medicare payments in response to changes in income or coverage needs, potentially leading to overpayments or underpayments that may require correction.
  • Potential for Overlooking Errors: Relying on automated processes may increase the risk of overlooking errors in payment amounts or discrepancies, as the payment system operates independently without manual verification.
  • Less Flexibility in Payment Methods: Automatic deductions limit the flexibility to choose alternative payment methods, potentially restricting individuals who prefer or need to use specific financial instruments for managing their healthcare expenses.
  • Dependency on Social Security: Linking Medicare payments to Social Security creates a dependency that may pose challenges if there are issues with Social Security benefits, such as delays or changes in eligibility, impacting the timely payment of Medicare premiums.

Putting It All Together

While Medicare and Social Security operate separately, they work together in a few crucial ways. Social Security can help ease your transition into Medicare by notifying you of eligibility or automatically enrolling you in coverage. The agency makes paying your monthly or quarterly premiums simple by enabling automatic deductions. 

Overall, sticking with the default automatic payments can simplify your Medicare experience. You still need to keep track of any out-of-pocket costs related to your medical care, but you will not have to worry about paying your premiums on time. 

Frequently Asked Questions

You still need to enroll in Medicare when you turn 65 to avoid a penalty. Social Security processes the application, but you will pay the premiums out-of-pocket. You can opt into automatic deductions once you start receiving Social Security benefits. 

If you itemize your deductions on your tax return, you can deduct Medicare premiums and other medical expenses as long as they total more than 7.5% of your adjusted gross income. This includes Part A, Part B, Medicare Advantage, Part D, and Medigap premiums. However, you cannot deduct late enrollment penalties. 

Yes, Medicare can deduct premiums from SSDI payments. Social Security automatically enrolls beneficiaries in Medicare after they have drawn SSDI benefits for 24 months. By default, those Medicare premiums are deducted from their Social Security benefits. 

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