Many seniors who depend on Medicare for their medical costs may want to prepare for a 25 percent increase to their premiums, according to NewJerseyNewsRoom.com.
A new report released by the American Institute for Economic Research has revealed that this costly spike, which affects Medicare Plan B premiums, will bring the new monthly expense to $120.10, up from a minimum of $110.50 in 2010.
Families who earn more than $170,000, and individuals with salaries greater than $80,000, may be charged even more, as the report also found that higher-income households will pay higher premiums.
"The higher premiums for the same coverage come at a time when newly eligible seniors are under great financial stress, with Social Security benefits flat and most private retirement plans worth far less than they were just a few years ago," the report says, according to the news source.
Medicare Plan B covers most medical expenses, except for prescriptions.
When seniors subscribe to the plan, it's best to do it sooner than later - those who wait until after their 65th birthday will be hit with another 10 percent increase in premiums for each year that they weren't on the plan.