Failure to enroll in Part B during your initial eligibility window may result in a lasting late enrollment penalty for the duration of your Part B coverage. Your regular monthly premium for Part B may increase by 10% for each complete 12-month cycle you were eligible for Part B yet did not enroll. If you qualify for Part B under a Special Enrollment Period, the late enrollment penalty typically does not apply.
This penalty is permanent!
Calculating Your Increased Premium Due to Late Penalty
Should you postpone enrollment in Part B for 2 entire years (24 months) and not meet the criteria for a Special Enrollment Period, you will face a 20% penalty for late enrollment. This surcharge is added on top of the base monthly premium for Part B (10% for each 12-month span you might’ve enrolled), which stands at $164.90 in the year 2023.
$164.90 (2023 standard premium for Part B)
+ $32.98 (This is 20% [which is the penalty on $164.90] for late enrollment)
Consequently, you’ll be paying $197.90 for your monthly Part B premium in 2023. This figure ($197.88) is adjusted to the closest $.10 and encompasses the penalty for enrolling late.
