What You Will Pay for Medicare in 2026: Costs, Premiums & Changes

If you are on Medicare in 2026, your costs have gone up — and knowing exactly where and by how much can help you budget more accurately and decide whether your current coverage still makes sense. The Centers for Medicare & Medicaid Services (CMS) sets these figures annually, and 2026 brings increases across nearly every major cost category: Part B premiums, deductibles, and hospital cost-sharing all moved upward.

The standard Part B monthly premium in 2026 is $185.00, compared to $174.70 in 2025. For most beneficiaries, this amount is automatically deducted from your Social Security payment, so your monthly check will be $10.30 smaller than it was last year. If you are new to Medicare or pay your premium directly, you will receive a bill from CMS. The Part B annual deductible — the amount you pay before Medicare starts covering outpatient services — is $257 in 2026, up from $240 in 2025. After meeting that deductible, you typically pay 20% of the Medicare-approved cost for most doctor visits and outpatient services, with no cap on that 20% unless you have a supplement plan.

Part A, which covers inpatient hospital stays, skilled nursing facility care, and some home health services, has its own cost structure. In 2026, the Part A inpatient hospital deductible is $1,676 per benefit period. This is not an annual deductible — it resets each time you start a new benefit period, which can happen more than once in a year if you are hospitalized, discharged, and then readmitted after 60 days. Days 1 through 60 of a hospital stay are covered after that deductible. From days 61 through 90, you pay $419 per day in coinsurance in 2026. Beyond 90 days, you draw on your 60 lifetime reserve days at $838 per day. Most people with Original Medicare pair it with a Medigap supplement plan specifically to protect against these escalating hospital costs.

If your income is above certain thresholds, you pay more for both Part B and Part D through what CMS calls the Income-Related Monthly Adjustment Amount, or IRMAA. In 2026, the IRMAA brackets are based on your 2024 tax return income. Individuals with modified adjusted gross income above $106,000 — and married couples filing jointly above $212,000 — pay a surcharge on top of the standard Part B premium. At the highest income tier (above $500,000 for individuals), the total Part B premium reaches $628.90 per month in 2026. IRMAA also applies to Part D drug plan premiums, adding between roughly $13 and $81 per month depending on income. If your income has dropped significantly since 2024 — due to retirement, the death of a spouse, or other life changes — you can file Form SSA-44 with the Social Security Administration to request a reduction in your IRMAA surcharge.

For those enrolled in Medicare Advantage (Part C) plans, your 2026 costs depend entirely on the specific plan you chose during the Annual Enrollment Period last fall. Medicare Advantage premiums, deductibles, copays, and out-of-pocket maximums vary widely by plan and by county. In 2026, the maximum out-of-pocket limit for Medicare Advantage plans is $9,350 for in-network services. Some plans have lower caps, and some charge $0 monthly premiums — but those zero-premium plans still require you to pay the Part B premium. If you are unhappy with your current Advantage plan, the Medicare Open Enrollment Period runs January 1 through March 31 each year, allowing you to switch to a different Advantage plan or return to Original Medicare.

For beneficiaries with Original Medicare, a Medigap supplement plan can dramatically reduce exposure to the 20% Part B coinsurance and the Part A hospital deductibles described above. Medigap plans are sold by private insurers and are standardized by letter — Plan G is currently the most comprehensive option available to new Medicare enrollees, covering the Part A deductible, hospital coinsurance, and the Part B 20% coinsurance (after you pay the Part B deductible yourself). Plan N offers similar coverage with some copays for office visits and emergency room visits, typically at a lower monthly premium. Medigap premiums are not set by Medicare — they vary by insurer, your age, your location, and the pricing method the insurer uses. Shopping multiple insurers for the same lettered plan in your ZIP code is one of the most effective ways to reduce what you pay.

One important protection to know: if you are within your Medigap Open Enrollment Period — the six-month window that begins the month you turn 65 and are enrolled in Part B — insurers cannot deny you coverage or charge you more based on your health history. Outside that window, most states allow medical underwriting, meaning you could be charged more or denied coverage if you have pre-existing conditions. A smaller group of states offer additional protections. California, Idaho, Illinois, Kentucky, Louisiana, Maine, Maryland, Missouri, Nevada, New Jersey, New York, Oklahoma, and Oregon have birthday rules or continuous open enrollment laws that give beneficiaries annual windows to switch Medigap plans without medical underwriting. If you live in one of these states, you may have more flexibility to shop for a lower-premium plan than beneficiaries elsewhere.

Part D prescription drug costs in 2026 also reflect a significant structural change that took effect this year under the Inflation Reduction Act. The out-of-pocket cap for Part D drug costs is $2,000 in 2026 — a major shift from prior years when catastrophic drug costs had no hard ceiling. Once you spend $2,000 out of pocket on covered drugs in a calendar year, your plan covers 100% of additional costs for the rest of the year. This cap applies to standalone Part D plans and to drug coverage embedded in Medicare Advantage plans. For beneficiaries who take expensive specialty medications, this change can represent thousands of dollars in annual savings.

To verify your specific 2026 costs, review your Medicare & You 2026 handbook, log into your account at Medicare.gov, or call 1-800-MEDICARE (1-800-633-4227) available 24 hours a day. Your State Health Insurance Assistance Program (SHIP) also offers free, unbiased counseling — find your local SHIP counselor at shiphelp.org.