IRMAA

If you’re on Medicare and your income is above a certain level, you may have to pay extra on your Part B and/or Part D premiums. If you get the notification of your Social Security Income-Related Monthly Adjustment Amount (IRMAA) decision and you think it’s wrong, you have the right to appeal. 

CURRENT PART B MONTHLY PREMIUM

The Social Security Administration (SSA) determines if you owe an IRMAA based on the income you reported on your IRS tax return two years prior, meaning two years before the year when you pay the IRMAA. For example, Social Security would use tax returns from 2021 to determine your IRMAA in 2023. If you are unsure why you are paying an IRMAA, you can call the Social Security hotline at 800-772-1213.

Note: You may also pay a higher premium if you have a Part B or Part D late enrollment penalty.

If Social Security determines that you should pay an IRMAA, they will mail you a notice called an initial determination. This notice should include information on how to request a new initial determination. A new initial determination is a revised decision that Social Security makes regarding your IRMAA. You can request that Social Security revisit its decision if you have experienced a life-changing event that caused an income decrease, or if you think the income information Social Security used to determine your IRMAA was incorrect or outdated.

Social Security considers any of the following situations to be life-changing events:

  • The death of a spouse
  • Marriage
  • Divorce or annulment
  • You or your spouse stopping work or reducing the number of hours you work
  • Involuntary loss of income-producing property due to a natural disaster, disease, fraud, or other circumstances
  • Loss of pension
  • Receipt of settlement payment from a current or former employer due to the employer’s closure or bankruptcy

You can make the case that Social Security used outdated or incorrect information when calculating your IRMAA if, for example, you:

  • Filed an amended tax return with the IRS
  • Have a more recent tax return that shows you are receiving a lower income than previously reported

To request a new initial determination, submit a Medicare IRMAA Life-Changing Event form or schedule an appointment with Social Security. A request for reconsideration can be done orally by calling the SSA 1-800 number (800.772.1213) as well. You will need to provide documentation of either your correct income or of the life-changing event that caused your income to decrease.

IRMAA ADJUSTMENT TABLE

If your yearly income in 2021 was

File individual tax returnFile joint tax returnFile married & separate tax returnYou pay (in 2024) Part BYou pay (in 2024) Part D
$97,000 or less$194,000 or less$97,000 or less$174.70$0+Your plan premium
above $97,000 up to $123,000above $194,000 up to $246,000not applicable$244.60$12.90 + your plan premium
above $123,000 up to $153,000above $246,000 up to $306,000not applicable$349.40$33.30 + your plan premium
above $153,000 up to $183,000above $306,000 up to $366,000not applicable$454.20$53.80 + your plan premium
above $183,000 and less than $500,000above $366,000 and less than $750,000above $97,000 and less than $403,000$559.00$74.20 + your plan premium
$500,000 or above$750,000 or above$403,000 or above$594.00$81.00 + your plan premium