Medicare is undergoing significant changes in 2026. Understanding how Medicare is evolving and which benefits you can rely on will help you decide whether original Medicare or a particular Medicare Advantage plan will serve you best. Medical costs are rising each year, driven by factors such as inflation and advances in medical technology, including biosimilars.
According to Fidelity, a 65-year-old retiring in 2025 can expect to spend an average of $172,500 on health care and medical expenses throughout retirement. That's an increase of 4% or $7,500 over the 2024 estimate.
