Medicare Part D covers prescription drugs, and its 2027 changes can shrink your cost-of-living adjustment, or COLA. A higher deductible and higher out-of-pocket ceiling force high drug users to spend more before coverage helps.
The Social Security Administration said in its October announcement that payments rise 3.6% for nearly 72 million beneficiaries starting January 2027. TheStreet reports the average retired-worker benefit rises about $75 a month, to about $2,159. That leaves little room when drug and medical costs rise too.
Official resources:
- Register through CMS’s official page — Use this page to review requirements and register directly.
- Read the official guidance from CMS — Use this primary source to verify the official guidance.
Table of Contents
- Where does the raise go?
- What changes in Part D drug costs?
- Will monthly premiums jump too?
- What can you check during open enrollment?
Where does the raise go?
The 2026 Medicare Trustees Report via FedTools projects the standard Part B premium at $209.50 per month in 2027, up $6.60 from $202.90 in 2026. That premium is normally deducted directly from Social Security checks, so it lowers the net deposit.
The $209.50 figure is a projection only. SureCalcs notes CMS sets the official 2027 Part B premium, deductible and IRMAA brackets in November 2026, so fall numbers matter more than summer forecasts.
What changes in Part D drug costs?
The maximum standard Part D deductible rises from $615 in 2026 to $700 in 2027, according to Goodsurance's summary of CMS figures. That is an $85 increase set in CMS's April 6, 2026 rate announcement. You pay that amount first when you fill covered prescriptions.
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The out-of-pocket ceiling also rises. AARP analysis puts the cap at $2,400 for 2027, after $2,000 in 2025 and $2,100 in 2026. High-cost users therefore face a higher spending ceiling before catastrophic coverage.
Will monthly premiums jump too?
CMS said in a July 28, 2026 fact sheet it will end the voluntary Part D Premium Stabilization Demonstration on Dec. 31, 2026. Stand-alone drug plans return to traditional market pricing in 2027 after the program cushioned IRA-related volatility in 2025–2026.
The direct premium effect looks small so far. CMS projected in a September press release that average stand-alone Part D premiums will rise by less than $1 per month in 2027. The IRA separately caps annual base-beneficiary-premium growth at 6% through 2029.
What can you check during open enrollment?
CMS notes beneficiaries can compare and switch Medicare Advantage and Part D plans during Open Enrollment Oct. 15–Dec. 7, 2026.
Use that window to match the plan to your drugs, not only to the premium. Compare those totals and switch before Dec. 7 if another plan costs less for your list.
- deductible and tier costs for your current prescriptions
- pharmacy rules and yearly drug-plus-premium total
- out-of-pocket exposure if drug needs rise
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