Overview
- The adjustment takes effect with January 2026 payments, with individualized notices scheduled to arrive in December.
- Medicare trustees project the standard Part B premium to reach about $206.50 in 2026, reducing the net benefit many retirees see.
- Anyone age 62 or older by the end of 2025 receives a bump in current or potential benefits, and maximum possible payments at ages 62, 67, and 70 will adjust upward.
- The formula uses the CPI-W inflation index, and some lawmakers are pushing to switch to CPI-E, though analysts find it would have raised benefits only modestly over time.
- Long‑term pressures persist as projections show the retirement trust fund could be depleted in the early 2030s without policy changes.