The federal prescription drug benefit for Medicare beneficiaries
The Social Security retirement fund is projected to exhaust its reserves by 2032. A bipartisan push seeks solutions to extend solvency, with proposals including PROMISE and Social Security 2100 Act. COLA trends show adjustments for 2027 and beyond amid inflation.
CMS has announced an end to the Part D subsidy at the end of 2026, signaling higher prescription costs for roughly 25 million beneficiaries. Insurers say pricing for 2027 will reflect the change, potentially widening premiums by up to $20 a month for some plans, while experts warn about broader affordability pressures and plan take-up shifts.
The Social Security Administration has announced a 3.6% cost-of-living adjustment for 2027, with a monthly average increase of about $75 for beneficiaries. The change comes as inflation persists and as discussions continue about long‑term funding, including a potential 2027 wage base raise to $192,300. Beneficiaries are being notified, and the move aims to improve financial stability amid rising costs.