Part D late enrollment penalty calculator
Count every full month after your Initial Enrollment Period ended that you had neither Part D nor other drug coverage at least as good as Medicare’s. If you are not sure, enter your best estimate.
This is an estimate for information only, not advice, an offer of coverage, or an eligibility decision.
How the penalty is built
Medicare multiplies 1% of the national base beneficiary premium by the number of full months you went without creditable coverage, then rounds to the nearest $0.10. For 2027 the base beneficiary premium is $41.33, so each uncovered month adds about $0.41 a month.
It does not stay the same
The penalty is recalculated every year against that year’s base beneficiary premium. Because that premium generally rises, the dollar amount of your penalty rises with it. It is not frozen at the figure above.
It is generally permanent
Once the penalty attaches it stays on your premium for as long as you have Part D. The two common exceptions are qualifying for Extra Help, which removes the penalty, and being under 65 and disabled, where the penalty ends when you turn 65 and a new enrollment period opens.
What counts as creditable
Creditable coverage is drug coverage expected to pay at least as much as standard Medicare drug coverage. Employer and union plans, TRICARE, VA coverage and some retiree plans usually count, and the plan has to tell you each year whether it is creditable. Keep those letters.
Common questions
How much is the Part D penalty in 2027?
It is 1% of the $41.33 national base beneficiary premium for each full month you went without creditable drug coverage, rounded to the nearest 10 cents. Twelve uncovered months adds about $5.00 a month; twenty-four adds about $9.90.
Does the Part D penalty ever go away?
Generally no. It stays for as long as you have Part D. It does go away if you qualify for Extra Help, and it resets for people who had it before turning 65 on disability.
Who decides how many months I owe?
Medicare does, using the records your plan reports. If you believe the count is wrong you can ask for a reconsideration, and proof of prior creditable coverage is what usually settles it.
Can I avoid the penalty if I take no medication?
Only by having creditable coverage. Going without because you take nothing today is the most common way people end up with a permanent surcharge.
Sources and method
- Medicare Part D 2027 National Average Monthly Bid Amount Information — Centers for Medicare & Medicaid Services · 2026-07-28