Number: RL33364
Title: The Impact of Medicare Premiums on Social Security Beneficiaries
Authors: Kathleen Romig, Domestic Social Policy Division 
Abstract: This report shows how the deduction of Medicare Part B and Part D premiums affects Social Security beneficiaries. It describes how increases in Social Security benefits and Medicare premiums are calculated under current law and explains the circumstances under which Social Security beneficiaries are held harmless for increases in the Part B premium, as well as the premium assistance available to low-income beneficiaries. It shows the growth in Social Security benefits and Part B premiums in recent years; describes how rising Part B premiums have affected Social Security beneficiaries, comparing the effects of premium deductions on people with different levels of earnings; and provides estimates of Social Security benefits and Medicare Parts B and D premiums to 2080, using the Social Security and Medicare trustees' intermediate projections. It also describes how beneficiaries would be affected by projected Medicare premium increases. Finally, it outlines current legislation that would affect the relationship between Social Security benefits and Medicare premiums.
Pages: 19
Date: January 7, 2008