Medicare is divided into parts. Part A
, which pays for hospital services, is free if either you or your spouse paid Medicare payroll taxes for at least ten years. (People who aren't eligible for free Part A can pay a monthly premium of several hundred dollars.) Part B
covers doctor visits and outpatient services, and it comes with a monthly price tag -- for most people in 2013, that monthly cost is $104.90. Part D
, which covers prescription drug costs, also has a monthly charge that varies depending on which plan you choose; the average Part D premium is $30 a month. In addition to premium costs, you'll also be subject to co-payments, deductibles and other out-of-pocket costs.
Medicare Comes With a Cost