Most of the numbers that shape a retirement budget change every year: the Medicare premium, the income thresholds that trigger higher premiums, the Social Security cost-of-living adjustment, the contribution limits, the tax brackets. They are announced by three agencies over about six weeks each autumn, and they are scattered across press releases, fact sheets and revenue procedures. This page collects the 2026 figures in one place, each with its primary source.
Every table below is drawn from the same data files our calculators use, so the numbers here match the numbers in our tools. Where a rule depends on your age, filing status or income, the note under each table says who it applies to. The address of this page will not change when the 2027 figures arrive; bookmark it.
What does Medicare cost in 2026?
The standard Part B premium is $202.90 a month per person in 2026, and the Part B deductible is $283 for the year. Most people pay no Part A premium, but the Part A hospital deductible is $1,736 per benefit period. For prescription drugs, the Part D out-of-pocket cap is $2,100.
| Item (2026) | Amount |
|---|---|
| Part B standard premium, per person | $202.90 a month ($2,434.80 a year) |
| Part B annual deductible | $283 |
| Part A inpatient hospital deductible, per benefit period | $1,736 |
| Part A hospital coinsurance, days 61 to 90 | $434 a day |
| Part A lifetime reserve days | $868 a day |
| Skilled nursing facility coinsurance, days 21 to 100 | $217 a day |
| Part A premium, 40 or more quarters of Medicare-covered work | $0 |
| Part A premium, 30 to 39 quarters | $311 a month |
| Part A premium, fewer than 30 quarters | $565 a month |
| Part D base beneficiary premium | $38.99 a month |
| Part D annual out-of-pocket cap on covered drugs | $2,100 |
A few of these need a word of explanation. The Part A deductible applies per benefit period, not per year: a period starts when you are admitted and ends after you have been out of the hospital or a skilled nursing facility for 60 days in a row, so two separate stays in one year can mean two deductibles. The Part D base beneficiary premium is not what your plan charges; it is the national figure used to compute the late-enrollment penalty and the IRMAA surcharge. Your actual drug plan premium depends on the plan you choose. The out-of-pocket cap counts what you pay for covered drugs, and once you reach it you pay nothing more for covered drugs that year.
What it means for you
A married couple both on Part B at the standard rate pays $4,869.60 a year in Part B premiums before any drug plan or Medigap policy. The premium is usually deducted from Social Security, so the 2.8% COLA shows up in your deposit net of the premium. With original Medicare and a Medigap Plan G policy, the Part B deductible of $283 is the main medical cost you pay yourself each year. For enrollment windows and penalties, see our Medicare enrollment and IRMAA guide.
Source: CMS, 2026 Medicare Parts A & B premiums and deductibles, 2026.
What are the 2026 IRMAA brackets?
IRMAA, the income-related monthly adjustment amount, starts when 2024 modified AGI is above $109,000 for a single filer or $218,000 for a married couple filing jointly. There are five surcharge tiers. Each person on Medicare pays the Part B amount in the table and adds the Part D surcharge to whatever their drug plan charges, whether that coverage is a stand-alone drug plan or part of a Medicare Advantage plan.
| 2024 MAGI, married filing jointly | 2024 MAGI, single | Part B per person, per month | Part D add-on per person, per month | Extra cost for a couple, per year |
|---|---|---|---|---|
| $218,000 or less | $109,000 or less | $202.90 | $0 | $0 |
| Above $218,000 up to $274,000 | Above $109,000 up to $137,000 | $284.10 | $14.50 | $2,297 |
| Above $274,000 up to $342,000 | Above $137,000 up to $171,000 | $405.80 | $37.50 | $5,770 |
| Above $342,000 up to $410,000 | Above $171,000 up to $205,000 | $527.50 | $60.40 | $9,240 |
| Above $410,000 up to $750,000 | Above $205,000 up to $500,000 | $649.20 | $83.30 | $12,710 |
| Above $750,000 | Above $500,000 | $689.90 | $91.00 | $13,872 |
The last column is the surcharge above the standard premium for two people on Medicare filing jointly: the Part B increase plus the Part D add-on, times 12 months, times two. Married people who file separately and lived with their spouse face different, steeper brackets; see the CMS fact sheet.
The two-year lookback
Medicare sets your 2026 premium from the tax return you filed for 2024, 2 years earlier. Modified AGI for this purpose is your adjusted gross income plus tax-exempt interest. Social Security receives the figure from the IRS and sends a letter each autumn stating your tier for the coming year. That timing matters in three situations. A large one-time income event, such as a Roth conversion, the sale of a business or a big capital gain, raises Medicare premiums two years later. Income in the year you turn 63 already counts, because it sets the premium in your first year on Medicare at 65. And a drop in income after you stop working takes two years to show up in the premium unless you ask for a reassessment.
The tiers are cliffs, not phase-ins: one dollar over a threshold moves you into the next tier for the whole year. Most thresholds are adjusted for inflation each year, so the 2024 income that set the 2026 tier is compared against the 2026 thresholds shown here.
What it means for you
If you are planning Roth conversions or a large sale, keep an eye on the next threshold as well as your tax bracket. For a couple, crossing from the standard premium into the first tier costs $2,297 for the year; crossing into the top tier costs $13,872. If your income fell because you retired, stopped working, were widowed or divorced, or lost pension income, file form SSA-44 with Social Security to have a more recent year used. Our IRMAA guide walks through the appeal, and Roth conversions before RMDs shows how to size conversions around the tiers.
Source: CMS, 2026 Medicare Parts A & B premiums and deductibles, 2026.
How much can you put into retirement accounts in 2026?
The 401(k) employee limit is $24,500 in 2026, or $32,500 at 50 or older and $35,750 in the years you turn 60 through 63. The IRA limit is $7,500, or $8,600 at 50 or older.
| Limit (2026) | Amount |
|---|---|
| 401(k), 403(b), governmental 457(b): employee deferral | $24,500 |
| Catch-up, age 50 or older | $8,000 (total $32,500) |
| Catch-up in the years you turn 60, 61, 62 or 63 | $11,250 (total $35,750) |
| Catch-ups must be Roth if 2025 FICA wages from the employer exceeded | $150,000 |
| Total additions, employee plus employer (catch-ups on top) | $72,000 |
| SEP IRA: lesser of 25% of compensation or | $72,000 |
| Traditional or Roth IRA contribution | $7,500 |
| IRA catch-up, age 50 or older | $1,100 (total $8,600) |
| HSA, self-only coverage | $4,400 |
| HSA, family coverage | $8,750 |
| HSA catch-up, age 55 or older | $1,000 |
| Qualified charitable distribution from an IRA, age 70½ or older | $111,000 |
Income limits for Roth IRAs and IRA deductions
The ability to contribute to a Roth IRA phases out across the modified AGI ranges below. The deduction for a traditional IRA phases out across the second set of ranges when you are covered by a workplace plan. Anyone with earned income can still make a nondeductible traditional IRA contribution.
| Phase-out range (modified AGI) | Single | Married filing jointly |
|---|---|---|
| Roth IRA contribution | $153,000 to $168,000 | $242,000 to $252,000 |
| Traditional IRA deduction, covered by a workplace plan | $81,000 to $91,000 | $129,000 to $149,000 |
Required minimum distributions
Required minimum distributions start at 73, or 75 if you were born in 1960 or later, under SECURE 2.0. The first RMD can wait until April 1 of the following year, but then two fall in the same tax year. Roth IRAs have no RMDs for the original owner, and since 2024 neither do Roth 401(k) accounts. A qualified charitable distribution counts toward your RMD and stays out of adjusted gross income, which also keeps it out of the IRMAA test.
What it means for you
The 60-to-63 catch-up is the largest workplace contribution most people will ever be allowed: in each of those four years you can defer $35,750, $3,250 more than at 59 or 64. If you earned over $150,000 from the employer last year, the catch-up goes in as Roth, which lowers your tax bill later rather than now. HSA contributions stop once any part of Medicare begins, including Part A that starts automatically when you claim Social Security at 65 or later. See the 401(k) guide, the HSA guide, the RMD calculator and our guide to qualified charitable distributions.
Source: IRS Notice 2025-67 (retirement plans and IRAs) and Rev. Proc. 2025-19 (HSA), 2026.
What are the 2026 tax brackets and standard deduction?
The seven federal rates are unchanged, from 10% to 37%, and the brackets are adjusted for inflation. The standard deduction is $16,100 for a single filer and $32,200 for a married couple filing jointly, before the extra amounts for age 65 and older.
| Rate | Single | Married filing jointly |
|---|---|---|
| 10% | $0 to $12,400 | $0 to $24,800 |
| 12% | $12,400 to $50,400 | $24,800 to $100,800 |
| 22% | $50,400 to $105,700 | $100,800 to $211,400 |
| 24% | $105,700 to $201,775 | $211,400 to $403,550 |
| 32% | $201,775 to $256,225 | $403,550 to $512,450 |
| 35% | $256,225 to $640,600 | $512,450 to $768,700 |
| 37% | Over $640,600 | Over $768,700 |
Brackets apply to taxable income, after deductions. Head of household and married filing separately brackets are in the tax bracket calculator.
Standard deduction and the senior deduction
| Item (2026) | Single | Married filing jointly |
|---|---|---|
| Standard deduction | $16,100 | $32,200 |
| Additional amount per person 65 or older (or blind) | $2,050 | $1,650 each |
| Standard deduction with everyone 65 or older | $18,150 | $35,500 |
| Senior deduction per person 65 or older (2025 to 2028) | $6,000 | $6,000 each |
| Senior deduction starts to shrink above MAGI of | $75,000 | $150,000 |
| Senior deduction fully phased out at MAGI of | $175,000 | $250,000 |
The senior deduction was created by the July 2025 tax law for tax years 2025 through 2028. It is available whether you take the standard deduction or itemize, but married couples must file jointly to claim it. It shrinks by 6% of modified AGI above the threshold, so a couple both 65 or older with MAGI of $150,000 or less deducts $12,000 on top of a $35,500 standard deduction.
Capital gains, the investment income tax and SALT
| Long-term gains and qualified dividends | Single | Married filing jointly |
|---|---|---|
| 0% | Up to $49,450 | Up to $98,900 |
| 15% | $49,450 to $545,500 | $98,900 to $613,700 |
| 20% | Above $545,500 | Above $613,700 |
| Net investment income tax (3.8%), MAGI above | $200,000 | $250,000 |
| SALT deduction cap (itemizers) | $40,400 | $40,400 |
Gains stack on top of ordinary income: the 0% rate applies only to the part of your gains that falls below the threshold after wages, pensions, IRA withdrawals and taxable Social Security are counted. The 3.8% net investment income tax applies to the smaller of your investment income or the amount by which modified AGI exceeds the threshold; those thresholds are fixed in law and not indexed. The SALT cap for 2026 is reduced by 30% of modified AGI above $505,000 and bottoms out at $10,000 once MAGI reaches about $606,333; the higher cap runs through 2029.
What it means for you
The years between retiring and starting Social Security and RMDs are often the lowest-tax years you will have. For a couple both 65 or older taking the standard deduction and the full senior deduction, taxable income stays inside the 0% capital gains band until adjusted gross income reaches $146,400. That is the window for harvesting gains or converting to Roth. Test your own numbers in the tax bracket calculator.
Source: IRS inflation adjustments for tax year 2026 (Revenue Procedure 2025-32), 2026.
Source: IRS Topic 559, net investment income tax, 2026.
Source: 26 U.S.C. 164(b)(7), SALT limitation, 2026.
How much can you give away tax-free in 2026?
You can give $19,000 to each person in 2026 with no gift tax return, and the lifetime estate and gift exemption is $15,000,000 per person.
| Item (2026) | Amount |
|---|---|
| Annual gift exclusion, per recipient | $19,000 |
| Annual exclusion for a married couple (each spouse gives), per recipient | $38,000 |
| 529 plan five-year election, per beneficiary (single / couple) | $95,000 / $190,000 |
| Annual exclusion for gifts to a spouse who is not a US citizen | $194,000 |
| Lifetime estate and gift exemption, per person | $15,000,000 |
| Lifetime exemption, married couple with portability | $30,000,000 |
| Top estate and gift tax rate | 40% |
Gifts to a US-citizen spouse and payments made directly to a school for tuition or to a provider for medical care do not count against either limit. The 529 election lets you front-load five years of annual exclusions into a single contribution for a grandchild; you file a gift tax return to make the election, and further gifts to that beneficiary in the next four years would use lifetime exemption. The $15,000,000 exemption was set by the July 2025 tax law with no scheduled expiration and is indexed for inflation from 2027. Many states have their own estate or inheritance tax with much lower thresholds, so the federal figure is only half the picture for residents of those states.
What it means for you
Annual exclusion gifts are the simplest estate-planning tool there is: a couple with three children and six grandchildren can move $342,000 a year out of their estate with no paperwork beyond the checks. For most readers the federal estate tax is now a remote concern, but state estate taxes, titling and beneficiary designations are not. See gifting to children and grandchildren and estate planning basics.
Source: IRS inflation adjustments for tax year 2026 (Revenue Procedure 2025-32), 2026.
When do the 2027 numbers arrive?
The 2027 figures come out in three waves this autumn, and this page is updated as each is released.
- October: Social Security announces the 2027 cost-of-living adjustment, the taxable wage base, the earnings test limits and the maximum benefit, once the September inflation figure is published.
- October to November: the IRS announces the 401(k), IRA and SEP limits and publishes the inflation adjustments for tax brackets, the standard deduction, capital gains thresholds, the gift exclusion and the estate exemption. HSA limits for 2027 usually appear earlier, in the spring.
- November: CMS publishes the 2027 Part B premium and deductible, the Part A amounts and the IRMAA brackets. The 2027 IRMAA tier will be based on 2025 income, so the return you file next spring already counts.
Until then, the 2026 figures above are the ones that apply to this year's contributions, premiums and tax return.
Frequently asked questions
What is the 2026 Medicare Part B premium?
The standard Part B premium for 2026 is $202.90 a month per person, or $2,434.80 for the year. The annual Part B deductible is $283. Single filers with 2024 modified AGI above $109,000 (joint filers above $218,000) pay more under IRMAA, up to $689.90 a month.
What are the 2026 IRMAA brackets?
For joint filers, IRMAA starts above $218,000 of 2024 modified AGI, with further tiers above $274,000, $342,000, $410,000, $750,000. For single filers the thresholds are $109,000, $137,000, $171,000, $205,000, $500,000. The Part B premium rises from $284.10 to $689.90 a month per person, and a Part D surcharge of $14.50 to $91.00 a month is added to your drug plan premium.
Which year's income sets my 2026 Medicare premiums?
Your 2024 tax return. Medicare looks back 2 years, using modified AGI (adjusted gross income plus tax-exempt interest). If your income has since dropped because you retired, were widowed or divorced, or lost a pension, you can ask Social Security to use a more recent year with form SSA-44.
What is the 2026 401(k) limit with catch-up contributions at 60 to 63?
The employee deferral limit is $24,500. From 50 you can add $8,000, for $32,500. In the years you turn 60, 61, 62 or 63 the catch-up rises to $11,250, for $35,750. If your 2025 FICA wages from that employer were above $150,000, the catch-up must go in as Roth.
What is the 2026 standard deduction for people 65 and older?
A single filer 65 or older gets $16,100 plus $2,050, for $18,150. A married couple filing jointly with both spouses 65 or older gets $32,200 plus $1,650 each, for $35,500. On top of that, each person 65 or older may take the $6,000 senior deduction for 2025 through 2028, which shrinks by 6% of modified AGI above $75,000 ($150,000 joint).
What is the 2026 Social Security COLA?
Benefits rose 2.8% for 2026, starting with the January payment. The maximum monthly benefit for a worker who claims at full retirement age is $4,152, and earnings up to $184,500 are subject to Social Security tax.
When are the 2027 retirement numbers released?
Social Security announces the cost-of-living adjustment, wage base and earnings test in October. The IRS announces 401(k) and IRA limits and the inflation-adjusted tax brackets in October and November. CMS publishes the Part B premium, deductible and IRMAA brackets in November, usually alongside the Part A figures. This page is updated as each one is released.
What is the 2026 estate and gift tax exemption?
The basic exclusion is $15,000,000 per person for 2026, so a married couple can shelter $30,000,000 with portability. It is indexed for inflation from 2027. Separately, you can give $19,000 a year to any number of people without using any of it.
Figures are for general information and are taken from the agency sources linked in each section. Rules have exceptions that depend on your circumstances; check the source or a tax professional before acting on a number.
How much does Social Security pay in 2026?
Benefits rose 2.8% for 2026, starting with the January payment. The largest benefit for a worker who claims at full retirement age is $4,152 a month, and earnings up to $184,500 are taxed for Social Security.
The bend points define the benefit formula for people who turn 62 in 2026: 90% of average indexed monthly earnings up to $1,286, 32% of the amount between $1,286 and $7,749, and 15% above $7,749. The earnings test only applies before full retirement age and only to wages and self-employment income, not to pensions, IRA withdrawals or investment income. Money withheld under the test is not lost: once you reach full retirement age, Social Security recalculates your benefit to credit the months it withheld.
Full retirement age
Full retirement age is 67 for anyone born in 1960 or later, which now covers nearly everyone who has not yet claimed. Claiming at 62 cuts the benefit permanently; waiting past full retirement age adds 8% a year until 70.
People born on January 1 use the previous year. Our retirement age calculator gives the exact month for your birth date, along with Medicare, RMD and catch-up dates.
When benefits are taxed
Up to 85% of Social Security can be taxable income. The test uses combined income: adjusted gross income plus tax-exempt interest plus half of your benefits. These thresholds are set in the tax code and have never been indexed for inflation, which is why most retirees with savings now pay tax on 85% of their benefits.
What it means for you
The 2.8% increase applies to your benefit before the Medicare premium comes out, so the net change in your deposit depends on your Part B tier. If you are still working before full retirement age, the earnings test can withhold benefits temporarily; if you are past it, you can earn any amount. To compare claiming ages for yourself and a spouse, use the Social Security estimator and read when to claim Social Security.
Source: SSA, 2026 cost-of-living adjustment fact sheet, 2026.
Source: IRS Publication 915 (taxation of benefits), 2026.