How much does Medicare cost? The short answer for 2026: most people pay around $202.90 a month for Part B, plus the cost of any extra coverage they choose. Total annual Medicare costs typically run $3,000 to $7,000 per person. Below is the full picture, in plain English.
Quick answer: 2026 Medicare costs at a glance
- Part A (hospital): $0/month for most people. Hospital deductible $1,676 per benefit period.
- Part B (medical): $202.90/month standard. Up to $695.07/month for high earners (IRMAA).
- Part B deductible: about $257/year
- Part D (drugs): $10-90/month for a plan. Drug out-of-pocket capped at $2,100/year.
- Medigap (optional): $100-200/month for Plan G in most areas
- Medicare Advantage: Often $0/month beyond Part B premium
- Typical total per year: $3,000 to $7,000
What's in this guide
- How much is Medicare Part A?
- How much is Medicare Part B in 2026?
- IRMAA: when high earners pay more
- How much does Medicare Part D cost?
- How much is Medigap (Medicare Supplement)?
- Medicare Advantage costs
- The total annual cost of Medicare
- Does Medicare cost differ by state?
- How to lower your Medicare costs
- Common questions
How much does Medicare Part A cost?
Medicare Part A is hospital insurance. For most Americans, Part A costs nothing each month. You qualify for free Part A if you (or your spouse) paid Medicare taxes for at least 10 years of work. That's 40 quarters of work credits.
If you didn't work the required 10 years, you can still buy Part A. The price depends on how many quarters you worked:
- 30-39 quarters worked: $285/month in 2026
- Less than 30 quarters worked: $518/month in 2026
Even with free Part A, hospital stays still cost money. The Part A hospital deductible for 2026 is $1,676 per benefit period. A benefit period starts when you're admitted and ends 60 days after you leave the hospital. If you go back to the hospital after 60 days, you pay another deductible.
Long hospital stays cost more:
- Days 1-60: Just the $1,676 deductible
- Days 61-90: $419/day coinsurance
- Days 91-150: $838/day (using lifetime reserve days)
- After day 150: You pay all costs
This is one reason many people on Original Medicare buy a Medigap plan to cap their hospital exposure.
How much is Medicare Part B in 2026?
The standard Medicare Part B premium for 2026 is $202.90 per month. That works out to $2,434.80 per year. The premium comes out of your Social Security check automatically each month.
Part B covers doctor visits, outpatient care, lab tests, preventive services, mental health services, and durable medical equipment like walkers and CPAPs.
Some people pay less than the standard premium. Some pay more. The amount depends on your income from 2 years ago (your 2024 tax return determines your 2026 Part B premium).
The Part B deductible for 2026 is approximately $257 per year. After you meet the deductible, Medicare pays 80% of approved costs. You pay the remaining 20%. There is no annual cap on the 20% you owe under Original Medicare.
A senior with a tough medical year (surgery, chemo, multiple hospitalizations) can easily owe $5,000 to $20,000+ in out-of-pocket costs under Original Medicare alone. This is the main reason most people pair Original Medicare with a Medicare Supplement (Medigap) plan or a Medicare Advantage plan.
IRMAA: when high earners pay more for Medicare
If your income is above certain thresholds, you pay an Income-Related Monthly Adjustment Amount (IRMAA) on top of the standard Part B and Part D premiums. Here are the 2026 IRMAA brackets based on your 2024 modified adjusted gross income (MAGI):
| 2024 income (single) | 2024 income (married joint) | Total Part B monthly premium 2026 |
|---|---|---|
| $109,000 or less | $218,000 or less | $202.90 |
| $109,001 - $137,000 | $218,001 - $274,000 | $284.06 |
| $137,001 - $171,000 | $274,001 - $342,000 | $405.49 |
| $171,001 - $205,000 | $342,001 - $410,000 | $526.92 |
| $205,001 - $499,999 | $410,001 - $749,999 | $648.35 |
| $500,000+ | $750,000+ | $695.07 |
IRMAA also applies to Part D drug plans, adding $13.70 to $84.80 per month on top of your plan's premium.
The good news: if your income dropped recently (retirement, spouse passed away, divorce, lost a pension), you can appeal IRMAA using Form SSA-44. The appeal is free and often successful. Read our full IRMAA guide for details.
How much does Medicare Part D (prescription drugs) cost?
Medicare Part D is private prescription drug coverage. Part D plan premiums in 2026 range from about $10 to $90 a month, depending on the plan and your zip code. The average is around $40/month.
Part D costs include:
- Monthly premium: $10-90 typically
- Annual deductible: Up to $590 in 2026 (some plans have $0 deductible)
- Copays/coinsurance: Vary by drug tier ($1-15 for generics, $40-100 for brand names)
- Maximum out-of-pocket cap: $2,100/year in 2026
The 2026 $2,100 cap is huge. Before 2025, there was no out-of-pocket maximum on Part D, which meant people on expensive drugs could spend $5,000-$15,000+ per year. Now everyone is protected. Read more in our Part D out-of-pocket cap article.
Insulin is capped at $35/month per prescription on all Part D plans.
How much does Medicare Supplement (Medigap) cost?
Medigap is optional private insurance that fills in the gaps Original Medicare leaves behind. It covers the 20% Part B coinsurance, the Part A hospital deductible, skilled nursing coinsurance, and other costs.
Medigap premiums depend on:
- Your age when you buy
- Your zip code
- Your gender
- Tobacco use
- The plan letter (G, N, F, etc.)
- The carrier
Typical Medigap costs for 2026:
- Plan G (most popular): $100-200/month for a 65-year-old in most states
- Plan N (lower cost): $80-150/month typically
- Plan F (closed to new members in 2020): $130-250/month if you still have it
About 40% of seniors on Original Medicare buy a Medigap plan. The advantage: predictable monthly costs, very low out-of-pocket, no networks, no prior authorization for most services. Read our guides on Plan G vs Plan N and how to compare Medigap carriers.
How much does Medicare Advantage cost?
Medicare Advantage (Part C) plans are an alternative to Original Medicare + Medigap. The plan replaces Original Medicare and bundles benefits together.
Many Medicare Advantage plans have a $0 monthly premium beyond your Part B premium. Some plans even refund part of your Part B premium (called a "giveback" benefit). See our giveback benefit article.
But Medicare Advantage isn't free. Costs you might pay:
- Monthly premium: $0-150 depending on the plan
- PCP visit copay: $0-15
- Specialist copay: $30-65 per visit
- Hospital stay: $300-450/day for the first 5-7 days
- ER visit: $90-150 (waived if admitted)
- Maximum out-of-pocket: $4,500-9,250/year for in-network care
The trade-off with Medicare Advantage: lower premium but more costs when you actually use care. A healthy year is usually cheaper on Medicare Advantage than Original Medicare + Medigap. A bad year (major surgery, cancer treatment) often costs more.
Compare both approaches in our Medicare Advantage vs Medigap guide.
What is the average total cost of Medicare in 2026?
The average total cost of Medicare depends on which coverage path you take. Here are realistic numbers for a 67-year-old in 2026:
Option 1: Original Medicare + Medigap Plan G + Part D
- Part B premium: $2,435/year
- Medigap Plan G: $1,800/year ($150/month average)
- Part D plan: $480/year ($40/month average)
- Out-of-pocket: $300-500 (mostly the Part B deductible)
- Annual total: $5,000-$5,200
Option 2: Medicare Advantage with built-in drugs
- Part B premium: $2,435/year
- Medicare Advantage premium: $0-360/year
- Out-of-pocket (typical year): $500-2,000
- Annual total: $2,935-$4,800
Option 3: Original Medicare only (no supplement, no drugs)
- Part B premium: $2,435/year
- Out-of-pocket: highly variable ($500-$30,000+)
- Part D late penalty (if no drug coverage): grows every year you delay
- Risky and not recommended for most people
Does the cost of Medicare differ by state?
Part A and Part B costs are federal and the same nationwide. So your Part B premium is $202.90 in 2026 whether you live in Florida, Texas, Ohio, or anywhere else.
But other Medicare costs DO vary by state and zip code:
- Medigap premiums: Vary significantly. The same Plan G can cost $110/month in one state and $220/month in another.
- Medicare Advantage plans: Different plans, different networks, different premiums in each county.
- Part D drug plans: Vary by region; plans available in your zip code differ from your neighbor's zip code two counties away.
- State subsidies: A few states offer State Pharmaceutical Assistance Programs that help lower-income seniors with drug costs.
If you live in any of the 13 states Keith is licensed in (FL, GA, ME, MD, MI, NV, NC, OH, PA, SC, TN, TX, VA), you can get a personalized cost estimate for your zip code.
How to lower your Medicare costs
Several real ways to lower what you pay for Medicare:
1. Apply for Medicare Savings Programs (MSPs)
If your income is below certain thresholds, your state may pay your Part B premium. The Qualified Medicare Beneficiary (QMB) program pays Part B premium + deductibles + copays. SLMB and QI programs pay just the Part B premium. See our Medicare Savings Programs guide.
2. Apply for Extra Help with Part D
If your income qualifies, Extra Help (also called LIS) reduces or eliminates your Part D premium, deductible, and copays. The program expanded in 2024 to cover more people. See our Extra Help guide.
3. Appeal IRMAA if your income dropped
If you owe IRMAA because of a high-income year but your current income is much lower, file Form SSA-44 to appeal. Common reasons that qualify: retirement, divorce, spouse's death, lost pension. The appeal is free.
4. Pick the right Part D plan for your specific drugs
Two Part D plans can charge wildly different prices for the same drug. Run your specific medication list through Medicare.gov's Plan Finder during Annual Enrollment. Most seniors leave $300-1,500/year on the table by not switching to the cheapest plan for their drugs.
5. Use preferred pharmacies
Most Part D plans have preferred pharmacy networks where copays are lower. Filling at a non-preferred pharmacy can cost 2-3x more.
6. Review your plan every fall during AEP
The Annual Enrollment Period (October 15 - December 7) is your once-a-year chance to switch plans. Plans change every year. The plan that was best last year may not be best this year. See our AEP 2026 guide.
7. Use Medicare's free preventive services
The annual wellness visit, cancer screenings, vaccines, diabetes prevention, and many other preventive services are 100% free under Medicare. Most seniors skip them. Read our preventive services guide.
8. Work with an independent agent
An independent Medicare agent costs you nothing (carriers pay them) and helps you find the lowest-cost plan that fits your specific doctors and prescriptions. Most importantly, they review your plan every year to make sure it's still the best fit. See why an independent agent matters.
Common questions about Medicare costs
Is Medicare free at 65?
Not really. Part A is free for most people. But Part B costs $202.90/month, and most people add Part D for drugs and either Medigap or Medicare Advantage. Total monthly cost typically runs $250-500.
How much does Medicare cost per month for a couple?
A married couple in 2026 typically pays around $500-1,000 per month combined for Medicare (both pay Part B at $202.90/month plus Part D and other coverage). If both spouses are high earners, IRMAA can push that higher.
Why does Medicare cost so much?
Medicare's actual federal cost is much higher than what beneficiaries pay. The $202.90/month Part B premium covers only about 25% of the actual cost. The rest comes from general federal tax revenue. So in a sense, Medicare is heavily subsidized; what you pay is the smaller share.
Does Medicare cost less if I'm low income?
Yes. Several programs lower Medicare costs for lower-income seniors:
- QMB pays your Part B premium AND deductibles and copays
- SLMB and QI pay the Part B premium only
- Extra Help reduces Part D prescription drug costs
- Full Medicaid covers most Medicare costs for those who qualify
Income limits change yearly. Apply through your state Medicaid office.
How much does Medicare cost compared to private insurance?
Medicare is typically much cheaper than private health insurance for similar coverage. A 65-year-old buying private health insurance from the marketplace might pay $800-$1,500/month before subsidies. Medicare for the same person is usually $250-500/month total.
What happens if I can't afford Medicare?
Apply for Medicare Savings Programs (QMB, SLMB, QI) through your state Medicaid office. Many lower-income seniors qualify and don't realize it. The QMB program in particular pays your Part B premium AND your hospital deductibles AND copays. You can also apply for Extra Help to lower prescription drug costs.
Do Medicare costs go up every year?
Usually, yes. Part B premiums have increased almost every year, though some years they stay flat or rise modestly. Part D premiums vary by plan; some plans raise prices, others lower them. Medigap premiums almost always increase 3-15% per year. This is why shopping your plans every fall during AEP matters.
