Medicare Premiums Reduction Act of 2026

This bill, known as the Medicare Premiums Reduction Act of 2026, aims to lower the income thresholds used to calculate extra monthly premiums for Medicare Part B. It directly affects Medicare beneficiaries whose income exceeds specific limits, currently set at $85,000 for individuals and $170,000 for couples, by raising these limits to $171,000 and $205,000 respectively for the years 2027 and beyond. The legislation also adjusts the percentage of income used to determine these premiums, introducing new higher rates for those with modified adjusted gross income exceeding $205,000. By modifying the Social Security Act, the bill ensures that fewer high-income earners will be subject to the additional Part B surcharge starting in 2027.