Medicare IRMAA Calculator

IRMAA stands for Income-Related Monthly Adjustment Amount. It is a surcharge added to the standard Medicare Part B and Part D premiums for beneficiaries whose modified adjusted gross income (MAGI) exceeds certain thresholds. CMS determines IRMAA amounts annually and bases them on tax returns from two years prior. Even a small income increase can push you into a higher IRMAA tier, so proactive income planning matters.

CMS uses your MAGI from two years prior. MAGI for IRMAA purposes is your adjusted gross income plus any tax-exempt interest income. For example, your 2025 Medicare premium is based on 2023 income reported on your 2023 tax return. Roth conversions, capital gains, and Social Security benefits all affect MAGI and can trigger or increase IRMAA. A retirement income planner can model multi-year tax and premium impact.

Yes. If your income has dropped significantly since the year used to set your IRMAA, you can appeal using Form SSA-44. Qualifying life-changing events include retirement, reduction in work hours, marriage, divorce, death of a spouse, or loss of income-producing property. CMS will recalculate your IRMAA based on your more recent income estimate. Submit supporting documentation along with the appeal form to your local Social Security office.

Part B IRMAA applies to all Medicare beneficiaries who have Part B coverage, including those enrolled in Medicare Advantage (Part C) plans. Part D IRMAA applies to beneficiaries enrolled in stand-alone prescription drug plans and Medicare Advantage plans with drug coverage. The surcharge amounts are the same regardless of the specific plan you choose. Factor IRMAA into your total healthcare cost when evaluating Medicare options.