Will Medicare premiums increase in 2017? Here are the projections from the Medicare Trustees. Note also the projected 2017 deductibles. Note 5 is especially important. The Note is reproduced below.
Note 5. If the Social Security COLA were 0 percent (so that the BBA [Bipartisian Budget Act] provisions would apply) or large enough to allow all Part B enrollees to pay the full 2017 premium, then the estimated 2017 premium would be roughly the same as the 2016 premium of $121.80. This amount includes the increase in premium to repay the general fund under the BBA, as the margin included in the 2016 Part B financing is projected to be adequate to absorb most of the additional repayment.
What the above means is that if there is a Social Security COLA for 2017 as much as $16.90 of any increase will go to a higher Medicare Part B premium ($121.80 – 104.90). $104.90 is the premium most Social Security beneficiaries subject to the hold harmless provision are currently paying for 2016.
The average monthly Social a Security benefit for retired workers $1348.49. That means that a COLA of up to 1.25% will be consumed by a higher Medicare Part B premium for the average retiree.