Healthcare planning is a huge part of getting ready for your retirement. In this episode, I tackle one of the most pressing updates for retirees: the latest changes to Medicare premiums for 2026, including important surcharges, deductibles, and strategies to help you manage your healthcare expenses.

I'm helping you understand the significant increases in Medicare Part B premiums and deductibles, the impact these changes will have on your Social Security benefits, and why waiting to claim Social Security might pay off. Listen in to get helpful strategies for appealing IRMAA surcharges and practical tips for structuring your income to minimize additional Medicare costs.

If you're planning for retirement or already navigating Medicare, this episode is packed with timely advice to help you make informed decisions about your healthcare and finances.

You will want to hear this episode if you are interested in...

• [00:00] 2026 Medicare vs. Social Security.
• [02:23] Part B Medicare surprise announced.
• [04:08] Social Security timing and medicare basics.
• [10:07] Appealing the Medicare IRMAA surcharge.
• [12:13] Avoid IRMAA by keeping an eye on your retirement income.
• [14:08] Key Medicare changes for 2026.

Medicare Part B Premiums Are Increasing in 2026

The standard monthly premium will jump to $202.90 per individual, a striking 9.7% rise from the 2025 rate of $185. This marks the largest increase since 2022, signaling that healthcare costs for retirees continue to climb at rates surpassing even Social Security's cost of living adjustment, which will be 2.8% for 2026.

For retirees collecting Social Security, Part B premiums are automatically deducted from their benefits, while those not yet collecting must pay separately, typically on a quarterly basis. It's possible for individuals with lower Social Security benefits to see the entire annual cost-of-living increase consumed, and even exceeded, by higher Medicare premiums.

Understanding Medicare's Two Parts: A and B

It's important to understand Medicare's original coverage: Part A and Part B.

Part A (Hospital Insurance): Most retirees won't pay a premium for Part A if they (or a spouse) have worked at least 10 years in the U.S. Those with fewer qualifying quarters face monthly premiums of either $311 or $565, depending on how long they've paid in. The Part A deductible will also rise to $1,736 in 2026.

Part B (Medical Insurance): Covers preventive care, with the standard premium set at $202.90 and a deductible of $283 for 2026 (about a 10% increase from 2025).

IRMAA: Income-Related Monthly Adjustment Amounts & Surcharges

Higher-income retirees may be subject to IRMAA, leading to additional surcharges on Part B premiums. This is determined by your modified adjusted gross income (MAGI) from two years prior (2024 for the 2026 premiums).

The IRMAA threshold for single filers is $109,000 and $218,000 for joint filers, with surcharges starting at $284.10 per person and escalating through higher brackets, potentially doubling your premium if you cross certain income thresholds.

Medicare will send IRMAA notifications, but an appeal process is available. If your income drops due to retirement or other qualifying life events, you can use SSA Form 44 to appeal unwanted surcharges. Reasons might include a work stoppage, divorce, loss of a pension, or the death of a spouse.

Strategic Planning for Retirees

How can retirees manage these costs and avoid sudden surcharge surprises? Ryan Morrissey provides practical guidance:

• Delay Social Security: Waiting until full retirement age or later can mean higher monthly benefits and greater long-term cost-of-living increases.
• Monitor Your Income: Large IRA withdrawals, significant capital gains, or property sales can raise your MAGI and push you into higher IRMAA brackets.
• Appeal When Justified: Act quickly if you're eligible for an IRMAA appeal, as processing can take time and surcharges last 12 months before adjusting.
• Retirees should work closely with financial advisors to manage income distributions and plan for healthcare expenses as part of their broader retirement strategy.

With healthcare costs rising faster than Social Security increases, retirees must stay vigilant. Whether you're newly eligible for Medicare or well into your retirement journey, understanding these changes is super important.

Resources Mentioned

• Retirement Readiness Review
• Subscribe to the Retire with Ryan YouTube Channel
• Download my entire book for FREE
• Medicare.gov

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