Social Security and Medicare News in Focus

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2023 Social Security and Medicare Figures compared to the 2022 Figures

On October 13, 2022, the Social Security Administration "SSA" announced all of the 2023 figures. The Centers for Medicare and Medicaid Services (CMS), an agency under the Department of Health and Human Services announced the 2023 Medicare premiums and deductibles on September 27, 2022. The table below is a summary of the new 2023 Social Security and Medicare figures compared to 2022. The last four 2023 Medicare Part D figures at the end of the table were released on February 2, 2022.

The cost-of-living adjustment (COLA) for 2023 is 8.7%. In 2023, the full retirement age (FRA) is 66 and 6 months (was 66 and 4 months in 2022). Some of the following Social Security program figures relate to when a person attains FRA.

  • Social Security
  • Medicare
  • Original Medicare Plan

Social Security

Social Security
2022
2023
Cost-of-living Adjustment (COLA) for December (payable in January)
5.9% (12/21)
8.7% (12/22)
FICA tax rate
 
Social Security for employees and employers
6.20%
6.20%
 
Medicare (Hospital Insurance) An additional FICA tax of 0.9% applies to high-income beneficiaries with annual incomes above $200,000 ($250,000 for married couples filing jointly). The employer does not pay this additional percentage.
1.45%
1.45%
Maximum Social Security earnings for tax contributions and benefits
$147,000
$160,200
Medicare taxable earnings
no limit
no limit
Earnings required to earn one credit (maximum of four credits per year)
$1,510
$1,640
Retirement Earnings Test exempt amounts
 
Under full retirement age (FRA) throughout 2023
$19,560
$21,240
 
FRA in 2023 (period before the month FRA is attained)
$51,960
$56,520
 
FRA and over
no limit
no limit
Primary Insurance Amount (PIA) formula – is the basic benefit formula used to calculate a person’s benefit and is applied to their average indexed monthly earnings (AIME). For people attaining age 62 or younger in each year, the formula as follows:
 
90% of the first $ of AIME, plus
$1,024
$1,115
 
32% of the next $ of AIME, plus
$5,148
$5,606
 
15% of the remaining AIME in excess of
$6,172
$6,721
National Average Wage Index
$55,628.60
$60,575.07

Social Security and Medicare Publications

Social Security and Medicare are the main source of retirement income and health care coverage. Use the easy-to-understand booklets to answer the many questions on these programs. Both are full of examples and updated information to help people get the most out of their benefits.

View the Catalog

For a limited time, get your prepublication 10% discount and FREE gift when you order online at www.imercer.com/guide and www.imercer.com/medicare.

Medicare

Medicare
2022
2023
Part A (Hospital Insurance) voluntary monthly premium if not eligible for premium-free Part A (an estimated 600,000 people pay this rate)
$499
$506
Part A reduced monthly premium for persons with 30-39 credits
$274
$278
Part B (Medical Insurance) standard monthly premium for most current, new, and high-income Medicare beneficiaries, and people whose Medicare premium is paid by Medicaid.
$170.10
$164.90
High-income Part B (Medical Insurance) standard monthly premium*
File an Individual Tax Return
File a Joint Tax Return
0 to $97,000 annual income
0 to $194,000 annual income
$170.10
$164.90
$97,001 to $123,000
$194,001 to $246,000
$238.10
$230.80
$123,001 to $153,000
$246,001 to $306,000
$340.20
$329.70
$153,001 to $183,000
$306,001 to $366,000
$442.30
$428.60
$183,001 to $499,999
$366,001 to $749,999
$544.30
$527.50
$500,000 or more
$750,000 or more
$578.30
$560.50

*Income brackets for beneficiaries based on their 2021 federal income tax return filing status and adjusted gross income in 2023 (2020 returns for 2022).

Social Security and Medicare Publications

Social Security and Medicare are the main source of retirement income and health care coverage. Use the easy-to-understand booklets to answer the many questions on these programs. Both are full of examples and updated information to help people get the most out of their benefits.

View the Catalog

Original Medicare Plan

Original Medicare Plan
2022
2023
Part A inpatient deductible per benefit period
$1,556
$1,600
Part A daily coinsurance 61st through 90th days
$389
$400
Part A daily coinsurance for up to 60 "lifetime reserve" days
$778
$800
Part A daily coinsurance 21st through 100th days in a skilled nursing facility
$194.50
$200
Part B annual deductible
$233
$226
Part D (Prescription Drug Coverage) monthly premium paid to Part D plan Income-related adjustment will be paid to Medicare as follows*:
About $33
About $31.50
File an Individual Tax Return
File a Joint Tax Return
0 to $97,000 annual income
0 to $194,000 annual income
Add $0
Add $0
$97,001 to $123,000
$194,001 to $246,000
Add $12.40
Add $12.20
$123,001 to $153,000
$246,001 to $306,000
Add $32.10
Add $31.50
$153,001 to $183,000
$306,001 to $366,000
Add $51.70
Add $50.70
$183,001 to $499,999
$366,001 to $749,999
Add $71.30
Add $70.00
$500,000 or more
$750,000 or more
Add $77.90
Add $76.40

*Income brackets for beneficiaries based on their 2021 federal income tax return filing status and adjusted gross income in 2023 (2020 returns for 2022).

Part D deductible
$480
$505
Part D initial benefit limit
$4,430
$4,660
Part D catastrophic threshold
$7,050
$7,400
Part D minimum cost-sharing for catastrophic coverage
 
Generic/Preferred:
$3.95
$4.15
 
Other:
$9.85
$10.35

Social Security and Medicare Publications

Social Security and Medicare are the main source of retirement income and health care coverage. Use the easy-to-understand booklets to answer the many questions on these programs. Both are full of examples and updated information to help people get the most out of their benefits.

View the Catalog

For a limited time, get your 10% discount and FREE gift when you order online at www.imercer.com/guide and www.imercer.com/medicare.

  • Sub TitleKeeping you informed today...helping you plan for tomorrow.
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  • Short Description2020 Social Security and Medicare Figures compared to the 2019 Figures
  • RegionUS