top of page

Will Your Income Level Affect Your Medicare Premiums?

If you have Medicare Part B and/or a Medicare Part D Prescription drug plan, you could owe a monthly surcharge based on your annual income.


Let’s explore the details of the income related monthly adjustment amount (IRMAA) for Medicare.


What is IRMAA?


IRMAA is a surcharge that people with income above a certain amount must pay in addition to their Medicare Part B and Part D premiums.


According to Medicare.gov, The Social Security Administration (SSA) determines who pays an IRMAA based on the income reported 2 years prior. So, for Medicare effective dates in 2025, the SSA looks at your 2023 tax returns to see if you must pay an IRMAA.


IRMAA is calculated every year. That means if your income is higher or lower year after year, your IRMAA status can change. If the SSA determines you must pay an IRMAA, you’ll receive a notice with the new premium amount and the reason for their determination.


Income brackets for Part B and Part D IRMAA


For 2024, the income brackets for Part B and Part D are the same. Here’s a chart explaining how income affects the Part B premium and Part D IRMAA.



Comments


Featured Posts
Recent Posts
Archive
Search By Tags
Follow Us
  • Facebook Basic Square
  • LinkedIn Social Icon
bottom of page