Are there any tax benefits tied to paying Medicare premiums as a retiree?

Question

Paul Dzierzanowski · Accepted Answer

Ultimately that is a question for a tax professional. It depends on many factors such as income, tax brackets, and state of residence. I would ask a qualified tax professional.

Brian Krantz · Answer

Possibly. Medicare premiums can sometimes be deducted as a medical expense if you itemize — but it depends on your overall situation. Best to run it by a CPA to see what applies to you.

William Gray · Answer

, Medicare premiums are tax deductible as a medical expense as long as you meet two requirements. 

First, you must itemize your deductions on your tax return to deduct them from your taxable income. 

Second, only medical expenses that exceed 7.5% of your adjusted gross income (AGI) are deductible.

Colleen Williams · Answer

You can only deduct medical expenses if you choose to itemize your deductions on your tax return, rather than taking the standard deduction. These premiums, including those for Parts B, D, and Medicare Advantage (Part C), can be considered qualified medical expenses. However, to claim the deduction, your total medical expenses must exceed 7.5% of your adjusted gross income (AGI).

Answered by Colleen Williams on May 20, 2025

Broker Licensed in PA, FL & NJ

Answered by Colleen Williams Medicare Insurance Agent

Steven Bleicher · Answer

Since this is an agents’ forum, it really behooves you to encroach in your CFP’s territory. Certified Financial Planners are your fiduciaries who will not reap the benefits of any gains of the plans that you put forward with his/her advice. Naturally, should you suffer a particularly bad health year, any additional costs that you bore, combined with other health expenses like prescription drugs, labs, physical therapy and any one of the 60,000 procedures that Medicare has placed a dollar value on, will enable you to write off those excessive amounts.

Answered by Steven Bleicher on June 8, 2025

Broker Licensed in AZ

Answered by Steven Bleicher Medicare Insurance Agent

Diana Salisbury · Answer

Check with your tax accountant.  Do not assume what others are telling you.  Go to the professionals for help with financial matters.

DeeDee Whitlock · Answer

That is a CPA question but in most cases the answer is NO premiums for Medicare have no tax benefits

Steve Brauer · Answer

That is more of a question for a tax expert...but I do know that IF you have an HSA that you've been building up for a long time, you can use those funds for any Medicare premiums, as well as Medicare services, on a tax free basis.

Answered by Steve Brauer on April 14, 2025

Broker Licensed in AZ & CA

Answered by Steve Brauer Medicare Insurance Agent

Marcie Barnes · Answer

I don't believe there is.  This might be a question for a tax person.

Medicare premiums are taken out of your social security income which is non-taxable.  Doesn't seem logical there are tax deductions available.

Definitely ask a tax person for sure.

Mel Stevens · Answer

Medicare premiums can be tax deductible if 2 requirements are achieved. Number #1 medical expenses must exceed 7.5% of Adjusted Gross Income (AGI) and if you itemize your tax deductions.

Gary Haft · Answer

Sorry to say - NO, as far as I know.  Why would there be any tax benefits for paying Medicare premiums, whether you are a retiree or if under 65 on disability.

Linda Davies · Answer

Yes, Medicare premiums, including those for Parts B, D, and Advantage (Part C) plans, are generally considered tax deductible as a medical expense if you itemize deductions on your tax return. To be eligible, your total unreimbursed medical expenses, including Medicare premiums, must exceed 7.5% of your adjusted gross income (AGI). 

Here's a more detailed explanation:

Itemized Deductions:
You can't deduct these premiums if you choose to take the standard deduction instead of itemizing. 

Medical Expense Threshold:
Only the portion of your medical expenses that exceeds 7.5% of your AGI is deductible. This includes Medicare premiums, co-payments, deductibles, and other qualified medical expenses. 

Self-Employed:
If you are self-employed, you may be able to deduct your Medicare premiums as a self-employed health insurance deduction. 

Other Deductible Medical Expenses:
Besides Medicare premiums, you can also deduct other qualified medical expenses, such as hospital bills, doctor visits, prescription costs, dental care, and certain home modifications

Scott Klag · Answer

Generally, there are no tax benefits in paying your Medicare premiums during retirement. You always want to check with a Tax Professional each and every year to see if anything has changed.

Carmen Zorrilla · Answer

As a retiree, you're eligible for tax benefits tied to paying Medicare premiums. Medicare premiums can be tax-deductible as medical expenses, but only if they exceed 7.5% of your adjusted gross income (AGI).

For instance: 

1. Medicare Part A, Part B, Part D, Medicare Advantage, and Medigap premiums can be deducted.
2. Self-employed individuals can deduct Medicare premiums pre-tax, even if they don't itemize deductions.
3. Health Savings Accounts (HSAs)* allow tax-free withdrawals to pay Medicare premiums after turning 65.

To claim these deductions, you'll need to itemize deductions on your federal income tax return (Form 1040) and complete Schedule 1.

As someone who's passionate about helping seniors navigate the complexities of Medicare, I'd love to help you make the most of these tax benefits.

If you have questions or would like to schedule a consultation, please don't hesitate to reach out. You can call me directly at 407-244-6951.

I'm looking forward to helping you optimize your Medicare coverage and maximize your tax savings!

Pamela Walton · Answer

If a retiree had an established Health Savings Account prior to retirement they can use the funds to pay for their Past B, Part D, and Medicare Advantage plan premium tax free.