What’s New in Medicare for 2026
As of January 1, 2026, Medicare beneficiaries will see several cost changes affecting medical and prescription drug coverage. These updates reflect annual cost adjustments and broader federal policy changes.
Part B Deductible and Costs
Medicare Part B (which covers doctor visits, outpatient services, durable medical equipment, and more) will have a higher annual deductible in 2026. The standard Part B deductible is $283, up from $257 in 2025. This means beneficiaries must pay slightly more each year before Medicare begins to share in the cost of covered services on the Medicare Supplement (Medi-gap) Plan G and the Plan N.
In addition, the standard Part B premium will increase to $202.90 per month for most people. Those with higher incomes owe additional amounts through IRMAA (see below).
IRMAA: Income-Related Monthly Adjustment Amounts
The Income Related Monthly Adjustment Amount (IRMAA) affects both Part B and Part D premiums for higher-income beneficiaries. IRMAA is based on your modified adjusted gross income (MAGI) reported to the IRS from two years prior (so 2024 returns for 2026 premiums).
In 2026, higher income thresholds mean that:
Individuals with MAGI above $109,000 (and couples above $218,000) may pay higher monthly premiums for Part B and Part D
The Part B IRMAA surcharge can range broadly depending on income, meaning total premiums can increase substantially for the top brackets
Part D IRMAA surcharges also increase slightly, ranging from about $14.50 to $91.00 per month depending on income
Because IRMAA is recalculated annually, beneficiaries whose income changes can potentially have their charges adjusted by filing a Social Security form (SSA-44) for life-changing events.
Part D and True Out-of-Pocket (TrOOP) Payments
Medicare Part D provides prescription drug coverage, and a key metric for cost-sharing is True Out-of-Pocket (TrOOP) spending—the total amount you pay toward covered drug costs that counts toward reaching the catastrophic coverage phase.
For 2026, the annual Part D out-of-pocket limit (which is based on TrOOP) is $2,100. Once your TrOOP spending reaches this level in a calendar year—accounting for your deductible, copayments, coinsurance, and certain plan contributions—you’ll generally pay nothing for covered Part D drugs for the rest of the year.
Also for 2026:
The maximum Part D deductible that plans may charge has risen to $615 (up from $590 in 2025).
Many Part D plans use tiered copays and coinsurance, and the specific amounts that count toward TrOOP can vary by plan. Policies enacted under recent federal law have gradually tightened Part D benefit structure and created this annual cap tied to TrOOP.
Bottom line: In 2026, Medicare beneficiaries will likely see higher Part B deductibles, adjusted premiums based on income (IRMAA), and a higher annual Part D out-of-pocket limit (TrOOP). It’s important to review your coverage options during the annual enrollment period and plan for these increases.
