Medicare
IRMAA (Income-Related Monthly Adjustment Amount)
IRMAA requires higher-income Medicare beneficiaries to pay surcharges on top of standard Part B and Part D premiums, with the amount based on income reported two years earlier.
Last reviewed: May 2026 · Editorial methodology
Definition
The Income-Related Monthly Adjustment Amount (IRMAA) is a premium surcharge applied to Medicare Part B and Part D for beneficiaries whose Modified Adjusted Gross Income (MAGI) exceeds certain thresholds. IRMAA is calculated using income from two years prior — so 2026 IRMAA is based on 2024 tax returns. For Part B in 2026, the standard premium is $202.90/month; IRMAA surcharges create brackets ranging up to $443.90/month for individuals with MAGI above $500,000. Part D IRMAA adds $12.90 to $81.00 per month on top of the plan's base premium depending on income bracket. IRMAA is determined by the Social Security Administration and is applied automatically to monthly premiums for most beneficiaries. If you experience a significant reduction in income due to a life-changing event (retirement, divorce, death of spouse, loss of income), you can file SSA Form SSA-44 to request a reduction based on more recent income. IRMAA income thresholds are adjusted annually for inflation, so planning around the bracket thresholds is a key strategy in Medicare-aware retirement income planning.
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Cover Forge USA Editorial Team
Editorial Lead
This article was researched and written by the Cover Forge USA editorial team against federal sources (NAIC, CMS, FEMA, DOL, SSA, state DOIs) and standard policy forms. Bylines organize content by topic — they do not assert individual licensure. See our editorial-policy for details.
Reviewed 2026-06-14
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