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Multiple Choice

Medicare is funded by which level of government?

Medicare is funded at the federal level by the U.S. government. It was established by federal law and is administered nationwide by the Centers for Medicare and Medicaid Services. Financing comes from multiple federal sources: a dedicated payroll tax that supports Part A, plus beneficiary premiums and general federal revenues for Parts B and D. States are not the primary funders of Medicare (that distinction belongs to Medicaid, a separate program jointly funded by federal and state governments). So the level of government responsible for funding Medicare is the federal government.

Medicare is funded at the federal level by the U.S. government. It was established by federal law and is administered nationwide by the Centers for Medicare and Medicaid Services. Financing comes from multiple federal sources: a dedicated payroll tax that supports Part A, plus beneficiary premiums and general federal revenues for Parts B and D. States are not the primary funders of Medicare (that distinction belongs to Medicaid, a separate program jointly funded by federal and state governments). So the level of government responsible for funding Medicare is the federal government.