Medicare gets refreshed each year—and staying up to date can save you a bundle. As of June 2025, several important updates have taken effect. Let’s explore what’s new and how you can make the most of your coverage.
📌 What’s New for 2025
1. Part D Prescription Drug Cap
Thanks to the Inflation Reduction Act, beginning January 2025, your annual out‑of‑pocket costs for Part D prescriptions are capped at $2,000—no more “donut hole” surprises. After reaching this cap, your plan covers 100% of covered drugs for the remainder of the year.
2. Prescription Payment Plan Option
You can opt for a module that spreads your drug expenses in monthly installments—no interest, no extra cost—to ease budgeting .
3. Part B Premium & Deductible Changes
- Premiums rose to $185/month (up from $174.70 in 2024). High‑income earners may pay more—up to $628.90/month
- Deductibles increased to $257 (from $240)
4. Part A Hospital & Skilled Nursing Facility Costs
- Hospital deductible now $1,676 (up $44)
- Inpatient coinsurance: $419/day for days 61–90; $838/day for lifetime reserve stays
- Skilled nursing facility coinsurance (days 21–100): $209.50/day
5. Telehealth Flexibility Extended
You can continue to use telehealth (video or audio-only) for non-mental health services at home through September 30, 2025, with no geographic restrictions
6. Support for Caregivers via Medicare Advantage
Some Advantage plans now offer annual $2,500 respite care vouchers, resources for caregivers (the GUIDE program), and mid-year notices for unused benefits
7. Coverage of Mental & Chronic Care
Expanded benefits now include behavioral health, cardiovascular screenings, and chronic condition care (including certain dental procedures) under Original Medicare
💰 How to Save Money in 2025
- Hit the $2,000 cap strategically – If you take frequent or expensive meds, you’ll only pay up to $2,000 annually—after that, coverage kicks in fully.
- Use the Prescription Payment Plan – Spread out your drug costs to avoid big lumps in any month.
- Reapply for “Extra Help” – You could get generics for $4.90 or brand names for $12.15—and no deductible or premiums—and these costs count toward your $2,000 limit.
- Shop the Annual Enrollment Window – From Oct 15 to Dec 7, review Part D and Advantage plans. Look for lower premiums, better networks, and benefits like hearing or dental.
- Qualify for Medicare Savings Programs – If income is limited, you may be eligible for QMB or other state programs that help pay Part B premiums or copays.
- Use preventive services – Many screenings and annual check-ups are free under Part B. Staying proactive can prevent costly complications later.
🛠 Where to Get Help
- SHIP counselors (State Health Insurance Assistance Program) offer free, unbiased guidance by phone or in person.
- 1‑800‑MEDICARE and Medicare.gov are official sources for plan comparisons.
- AARP Medicare Resources also offer helpful tools and advice.
- Beware of scammers—never give your Medicare or Social Security numbers to someone who calls uninvited.
✅ Final Thoughts
2025 brings welcome relief: major caps on prescription costs, flexible payment plans, and better telehealth and caregiving support. But rising premiums and deductibles—especially for Parts A and B—mean it’s crucial to evaluate your plan each year. Mark your calendar for enrollment season (Oct 15–Dec 7), and tap free resources to find what’s best for your health and budget.
✅ Tip of the month: Gather all your meds and provider info before enrollment season so you can compare plans that truly match your needs.
