Medicare Part B Premiums and Deductibles Rise in 2026

Medicare Part B premiums are set to increase significantly in 2026, with the standard monthly premium rising from $185 to $202.90. This change will affect all enrollees, especially those who rely solely on Medicare for health coverage after age 65. Higher-income beneficiaries will face additional costs through Income-Related Monthly Adjustment Amounts (IRMAAs), impacting both Part B and Part D prescription drug plan premiums. The Part B deductible is also increasing from $257 to $283, adding to retirees' out-of-pocket expenses. Social Security benefits are slated for a 2.8% cost-of-living adjustment (COLA) in 2026, which will increase average monthly benefits from $2,015 to $2,071. However, the rising Medicare premiums, which are deducted directly from Social Security payments, may offset some of the financial gains from the COLA for many seniors. Despite this, the COLA increase is expected to partially mitigate the impact of higher healthcare costs. In addition to Part B, Medicare Part A expenses will also see increases in 2026. While Part A typically does not have a premium, deductibles for hospital stays and skilled nursing facility care will rise, potentially increasing the financial burden on senior beneficiaries. Moreover, Medicare Advantage and Part D plan premiums vary and may also increase, so retirees should review their plan notices carefully for any adjustments. These changes underscore the importance of healthcare cost forecasting for retirees and older workers planning their transition to Medicare eligibility. Understanding premium and deductible increases enables better budget planning to manage limited income in retirement. Given these anticipated cost changes, insurance professionals and financial advisors should be prepared to counsel clients on navigating Medicare coverage and expenses effectively. Monitoring regulatory announcements and plan-specific communications will be crucial to staying informed on Medicare-related financial obligations. With the healthcare landscape evolving, proactive management of Medicare costs can help mitigate unexpected financial stress for beneficiaries. Stakeholders across insurance and retirement planning sectors should remain attentive to these premium and deductible adjustments going into 2026.