What is IRMAA?
IRMAA—short for Income-Related Monthly Adjustment Amount—is an extra surcharge that higher-income Medicare beneficiaries pay in addition to the standard premiums for Part B (medical insurance) and, if enrolled, Part D (prescription-drug coverage). Medicare (via the Social Security Administration, or SSA) decides whether you owe IRMAA by looking at the modified adjusted gross income (MAGI) reported on your federal tax return two years earlier—so 2023 income determines 2025 premiums. https://www.medicare.gov/publications/10050-medicare-and-you.pdf
2025 IRMAA Brackets & Premiums
| 2023 MAGI (Single) | 2023 MAGI (Married Filing Jointly) | Married Filing Separately* | Total 2025 Part B Premium | 2025 Part D IRMAA |
|---|---|---|---|---|
| ≤ $106,000 | ≤ $212,000 | ≤ $106,000 | $185.00 (standard) | $0 + plan premium |
| $106,001 – $133,000 | $212,001 – $266,000 | — | $259.00 | $13.70 |
| $133,001 – $167,000 | $266,001 – $334,000 | — | $370.00 | $35.30 |
| $167,001 – $200,000 | $334,001 – $400,000 | — | $480.90 | $57.00 |
| $200,001 – $499,999 | $400,001 – $749,999 | $106,001 – $393,999 | $591.90 | $78.60 |
| ≥ $500,000 | ≥ $750,000 | ≥ $394,000 | $628.90 | $85.80 |
*Medicare applies tighter rules when spouses lived together but filed separate returns. https://www.medicare.gov/publications/11579-medicare-costs.pdf
How IRMAA Is Calculated
- Look-back income: SSA pulls your MAGI from the most recent IRS data (usually the return you filed in 2024 for tax year 2023).
- Bracket placement: Your MAGI slides you into one of the six brackets above.
- Surcharge added: The IRMAA dollar amount is tacked onto your standard premiums and either withheld from your Social Security check or billed directly. https://www.ssa.gov/benefits/medicare/medicare-premiums.html
How to Appeal or Lower IRMAA
If your income has dropped because of a life-changing event—retirement, reduced work hours, divorce, death of a spouse, loss of income-producing property, etc.—you can ask SSA to recalculate your premium.
- Complete SSA Form SSA-44: “Medicare Income-Related Monthly Adjustment Amount – Life-Changing Event.” The form includes instructions and acceptable documentation. https://www.ssa.gov/forms/ssa-44.pdf
- Submit quickly: You have 60 days from the date on your IRMAA notice to appeal.
- Where to send it: Fax or mail the completed SSA-44 (with proof of the life-changing event) to your local Social Security office, or hand-deliver it. https://www.ssa.gov/medicare/lower-irmaa
- Follow up: SSA will issue a new determination. If approved, the lower premium usually starts the next month and any overpayments are refunded.
Planning Tips to Avoid (or Minimize) IRMAA
- Mind the “cliffs.” A single extra dollar of MAGI can push you into the next bracket, raising premiums dramatically.
- Roth conversions & capital gains timing: Shift taxable income into low-income years to stay below the thresholds.
- Qualified Charitable Distributions (QCDs): After age 70½, QCDs reduce MAGI dollar-for-dollar.
- Tax-efficient withdrawals: Pull from Roth IRAs or cash reserves in high-income years to keep MAGI down.
- Appeal promptly: Don’t assume the surcharge is permanent; SSA’s life-changing-event process exists for a reason. https://www.ssa.gov/benefits/medicare/medicare-premiums.html
Bottom Line
IRMAA is effectively a means-tested premium that can add hundreds of dollars per month to your Medicare costs. Knowing the 2025 income thresholds, tracking your MAGI, and acting quickly when your income changes can prevent you from overpaying. If your circumstances qualify, use Form SSA-44 to request a reduction—every savings helps keep more of your retirement income where it belongs: with you.