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Trump Admin Ends $9.8B Medicare Part D Subsidy 2027

8/11/2026

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Story summary
  • The Trump administration will end the Medicare Part D Premium Stabilization Demonstration subsidy on Jan. 1 2027.
  • The $9.8 billion program capped premiums at $35 for 2024-2025 and $50 for 2026.
  • CMS Administrator Dr. Mehmet Oz said most enrollees may see less than $10 higher premiums after the subsidy ends.
  • The Extra Help low-income subsidy stays unchanged, covering premiums, deductibles and limiting drug costs to $12.65.