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Updated August 30, 2026
Medicare

How Medicare Part B Can Shrink Your COLA Raise

Why the headline increase and the money reaching your bank can differ.

The headline raise is gross

A COLA increases your gross Social Security benefit. For many Medicare enrollees, Part B is deducted directly from that benefit, so a higher premium can absorb part of the increase.

A simple example

If a $2,000 monthly benefit rises by 3.1%, the gross increase is about $62. If the standard Part B premium rises from $202.90 to the Trustees' $209.50 estimate, the $6.60 premium increase leaves about $55.40 of the gross raise before any other adjustments.

Why your number may differ

Higher-income enrollees can pay IRMAA. Some people pay less than the standard premium, receive help with premiums, or are protected by the hold-harmless provision. Enter your own premium amounts in the COLA + Medicare calculator.

The 2027 premium is not final

The 2026 Medicare Trustees Report projects a standard 2027 Part B premium of $209.50 under intermediate assumptions. CMS will set the official amount later, so the number must remain labeled as an estimate.

General information only. Confirm personal benefit details with SSA or your my Social Security account.