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Medicare Costs Are Rising in 2026: What You Need to Know


Medicare premiums, deductibles, and income-related adjustments have all been updated for 2026. These changes can significantly impact your retirement budget and healthcare planning. Here’s what you need to know.

Medicare Part B Premiums and Deductibles

  • Standard Monthly Premium: $202.90 (up from $185 in 2025)
  • Annual Deductible: $283 (up from $257 in 2025)

Income-Related Monthly Adjustment Amount (IRMAA)

If your income exceeds certain thresholds, you’ll pay more for Medicare Part B and Part D. These adjustments are based on your Modified Adjusted Gross Income (MAGI) from two years prior. For 2026, that means your 2024 income determines your premiums.

Part B Premiums with IRMAA

MAGI Bracket

Monthly Premium

= $109,000

$202.90

$109,001–$137,000

$284.10

$137,001–$171,000

$405.80

$171,001–$205,000

$527.50

$205,001–$499,999

$649.20

= $500,000

$689.90

(Married filing jointly thresholds are double.)

Part D Premium Surcharge for 2026

Added to your plan’s base premium:

  • = $109,000 individual / $218,000 joint: $0
  • $109,001–$137,000 / $218,001–$274,000: +$14.50
  • $137,001–$171,000 / $274,001–$342,000: +$37.50
  • $171,001–$205,000 / $342,001–$410,000: +$60.40
  • $205,001–$499,999 / $410,001–$749,999: +$83.30
  • = $500,000 / $750,000: +$91.00

Financial Planning Tips

  • Manage MAGI: IRMAA is based on income from two years prior. Consider strategies like Roth conversions before age 63 or Qualified Charitable Distributions from IRAs to keep income lower.
  • Appeal if Needed: If you’ve retired, divorced, or had another life-changing event that reduced income, you can appeal IRMAA by filing Form SSA-44.
  • Plan Ahead: These costs are rising. Factor them into your retirement budget and healthcare planning.

Bottom Line

Medicare costs continue to climb. Understanding these changes and planning ahead can help you avoid surprises and keep your retirement on track.

Need help managing your income and avoiding IRMA surcharges? Contact us today to review your strategy and make sure you’re prepared for 2026 and beyond.

Ready to learn more? Get started by requesting a complimentary initial consultation whenever it’s convenient for you.
 

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