The United States government has announced a one-time direct payment of approximately KSh 11,000 to over 20.8 million Medicare beneficiaries. The funds, drawn from the Medicare Improvement Fund, are aimed at assisting eligible seniors with their Medicare Part B premiums. According to the White House, President Donald Trump authorised the payments as part of a broader push to reduce healthcare costs for ordinary Americans.
To qualify for the $90 payment, recipients must be enrolled in original Medicare Part B, reside in the United States, and must not be receiving premium assistance from Medicaid or paying an income-related monthly adjustment amount. Beneficiaries enrolled in Medicare Advantage plans are excluded from the payment, as are those whose premiums are already subsidised by Medicaid.
The Centers for Medicare & Medicaid Services has outlined specific eligibility criteria, meaning millions of Medicare users will not receive the payment. No application is required, and qualifying seniors will automatically receive the funds either through direct deposit or by mailed cheque, depending on their existing payment arrangements with Medicare.
The direct deposits are expected to be made around Thursday, October 8, 2026. Beneficiaries who want to check on their eligibility for the premium rebate can call 1-800-MEDICARE (1-800-633-4227). Those who want to check on the status of their payment should call the Social Security Administration at 1-800-772-1213.
The Medicare Improvement Fund was established by Congress in 2008, allocating $2 billion to improve the Medicare fee-for-service programme. The fund had never been used for direct payments to beneficiaries before this announcement. Trump's administration characterised the payments as part of a broader push to reduce healthcare costs for ordinary Americans.
In a separate development, the Trump administration has proposed a $70,000 fee for international students seeking to work in the United States after graduation. The Department of Homeland Security announced the proposed rule on October 7, 2026, which would require schools to pay the hefty fee for every international student participating in the Optional Practical Training programme.
The proposed rule has drawn criticism from higher education organisations, which warn it would harm American innovation and economic growth. The White House also indicated that Trump is urging Congress to pass what his administration calls the Great Healthcare Plan, targeting lower drug prices, reduced insurance premiums, and greater price transparency.
Key points
- Over 20.8 million Medicare Part B enrollees qualify for the payment.
- The payments are drawn from the Medicare Improvement Fund.
- Beneficiaries can check their eligibility by calling 1-800-MEDICARE.
