"the raise is likely to do less for seniors than the 2025 increase did, and many retirees won't see their checks go up by anywhere near the full 2.8%. Instead, a good portion of the benefits bump - around 1/3 - is going to be taken out of retirees' checks before their direct deposit is made or their payment is sent. This money is going to go directly to Medicare to cover rising premiums as Medicare costs are soaring in 2026."
"Based on recent announcements, the premium cost of Medicare Part B is rising by $17.90 per month. Premiums for those who pay the standard amount will jump from $185 to $202.90, which is a 9.7% increase. That is much larger than the benefits increase that happened in 2025. Between 2024 and 2025, premiums increased by just $10.30, up from $174.70."
The Social Security Administration announced a 2.8% Cost of Living Adjustment for 2026 on October 24, 2025. The 2026 COLA is higher than the 2.5% increase in 2025. About one-third of the 2026 benefits bump will be redirected from checks to cover rising Medicare Part B premiums. Medicare Part B premiums rise $17.90 to $202.90 per month, a 9.7% jump, compared with a $10.30 increase the prior year. Many Medicare beneficiaries will therefore see much smaller net gains from the 2026 COLA than the headline percentage suggests.
Read at 24/7 Wall St.
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