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Is IRMAA Progressive?
Old 11-03-2017, 02:19 PM   #1
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Is IRMAA Progressive?

DH and I are new to Medicare and I'm trying to determine what we should do tax wise next year to get our future Medicare premiums down. DH pays approx. $304/mo now so it appears that the IRMAA is progressive if I look at the charts. I'm unable to determine if it's progressive or if you fall off the cliff.
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Old 11-03-2017, 03:03 PM   #2
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IRMAA la not-so-douce has thresholds, and for each MAGI threshold you cross, you pay more.

For example, if your MAGI goes over the first threshold ($170K for MFJ), you pay 140% of the basic Medicare cost. Over the second threshold ($214K for MFJ), you pay 200% of the basic cost.

The good news is that it's adjusted every year, so if your MAGI can be lowered, you can get back to lower cost again.
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Old 11-03-2017, 05:09 PM   #3
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But there's a two-year "lookback", so you need two years of lower MAGI in order to lower (or eliminate) IRMAA.
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Old 11-03-2017, 05:44 PM   #4
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But there's a two-year "lookback", so you need two years of lower MAGI in order to lower (or eliminate) IRMAA.
That's not my impression.........got a link? My thought it looks back 2 yrs because you haven't filed the next yrs tax yet.
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Old 11-03-2017, 06:11 PM   #5
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That's not my impression.........got a link? My thought it looks back 2 yrs because you haven't filed the next yrs tax yet.
You are correct. For example, the 2015 AGI affects the 2017 Medicare Parts B & D premiums. If your 2016 AGI drops below the threshold, your 2018 Medicare premiums will drop back as well.
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Old 11-03-2017, 06:16 PM   #6
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If your MAGI recently dipped, or you expect it to, due to one of a short list of significant events, such as voluntary or involuntary job loss, you can file with SSA to have your IRMAA correspondingly adjusted downward sooner than it would otherwise.
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Old 11-03-2017, 06:47 PM   #7
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Thanks all. My confusion with this was that the $302/mo included Part D + its IRMAA. He is paying exactly 200% of base for Part B.
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Old 11-04-2017, 04:24 AM   #8
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If your MAGI recently dipped, or you expect it to, due to one of a short list of significant events, such as voluntary or involuntary job loss, you can file with SSA to have your IRMAA correspondingly adjusted downward sooner than it would otherwise.
I did that this year. Went to the SS office with my latest tax return (just one year), waited my turn, took about 3 minutes at the window. A few weeks later got a letter in the mail and I was done.
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