In this article, I’m sharing everything you need to know about the Medicare IRMAA brackets 2024.
I’m also sharing:
- What is IRMAA for Medicare
- How IRMAA is calculated
- How to avoid IRMAA
If you want to learn how to use the IRMAA 2024 brackets to navigate (and avoid) this surcharge, you will enjoy this article.
Key Takeways
- IRMAA is a pesky monthly fee that affects high-earning Medicare members.
- Your 2024 IRMAA is based on your Modified Adjusted Gross Income (MAGI) from 2022.
- The Medicare Part B 2024 standard monthly premium is $174.70.
- The 2024 IRMAA brackets can increase Medicare Part B monthly premiums by as much as $419.30.
- The 2024 IRMAA brackets can increase Medicare Part D monthly premiums by as much as $81.00.
- To appeal IRMAA in 2024, you must file Form SSA-44.
- From 2007 to 2024, IRMAA bracket increases ranged from 4.73% to 8.02%.
- The 2025 IRMAA brackets will be based on your 2023 Modified Adjusted Gross Income (MAGI).
- Reducing your Modified Adjusted Gross Income (MAGI) will help you avoid IRMAA (or reduce it) in future years.
What Is IRMAA for Medicare
IRMAA stands for Income Related Monthly Adjustment Amount. It is determined by the Social Security Administration and represents an increase to Medicare Part B and Part D standard monthly premiums.
Put simply, IRMAA is a pesky monthly surcharge that Medicare members must pay if they make too much money.
What income is IRMAA based on?
An Income Related Monthly Adjustment Amount (IRMAA) is based on your Modified Adjusted Gross Income (MAGI) from two years ago.
In other words, the 2024 IRMAA brackets are based on your MAGI from 2022.
If the 2022 amount is not available, your 2021 MAGI is used to calculate IRMAA.
How is IRMAA calculated?
An Income Related Monthly Adjustment Amount (IRMAA) calculation is based on a Medicare-specific form of a beneficiary’s Modified Adjusted Gross Income (MAGI).
To calculate your MAGI for the 2024 IRMAA brackets, grab your 2022 tax return and locate your Adjusted Gross Income (AGI).
Then, add any tax-exempt interest earned or accrued (e.g., municipal bonds) and interest from U.S. Savings Bonds used to pay for higher education.
You must also add earned income while living abroad and income from specific sources not included in your AGI (Puerto Rico, American Samoa, Gaum, and Northern Mariana Islands).
The total amount will represent your 2022 Modified Adjusted Gross Income (MAGI), specific to the Medicare IRMAA brackets 2024.
What Are the 2024 IRMAA Brackets
Your 2024 IRMAA bracket is determined by your tax filing status and Modified Adjusted Gross Income (MAGI) in 2022.
Here is how it breaks down. 👇
Medicare Part B and Part D IRMAA
In 2024, the standard monthly premium for Medicare Part B increased to $174.70. This is a 5.9% increase from 2023, reminding us that medical costs often exceed the inflation rate.
On the other hand, the average standard monthly for Medicare Part D will decrease slightly to $55.50 this year. (Note: Medicare Part D premiums vary by state and plan selection, and your premium may be higher than the standard published rate.)
Medicare recipients who reported 2022 income of $103,000+ (individual tax return) or $206,000+ (joint tax return) will face higher Medicare Part B and D monthly premiums in 2024 due to an Income Related Monthly Adjustment Amount (IRMAA).
More specifically, due to IRMAA, Medicare Part B monthly premiums can increase by as much as $419.30 and Part D monthly premiums by as much as $81.00 in 2024.
The table below will help you determine exactly where you land in the 2024 Medicare IRMAA brackets.
to $129,000 | to $258,000 | |||
to $161,000 | to $322,000 | |||
to $193,000 | to $386,000 | |||
and less than $500,000 | and less than $750,000 | and less than $397,000 | ||
IRMAA Case Studies
Below are two hypothetical IRMAA case studies showing how the Medicare IRMAA brackets 2024 work in practice.
Case Study#1: Mary (Individual Tax Payer)
- Mary’s MAGI was $102,500 in 2022.
- She will not be subject to IRMAA in 2024 because her income is below the $103,000 threshold.
- Her 2024 Medicare Part B premium will be $174.70/month (no IRMAA surcharge).
- Her 2024 Medicare Part D premium will be based on what her plan charges (no IRMAA surcharge).
Case Study #2: Bill and Barbara (Married Filing Jointly)
- Their MAGI was $207,000 in 2022.
- They will be subject to IRMAA in 2024 because their income exceeded the $206,000 threshold.
- Their 2024 Medicare Part B total premium will be $244.60 per month (base premium of $174.70 + IRMAA surcharge of $69.90).
- Their 2024 Medicare Part D total premium will be the base policy cost (a.k.a. “Plan Premium”) + a surcharge of $12.90 per month.
How to Avoid IRMAA
Lowering your Modified Adjusted Gross Income (MAGI) is the best way to avoid IRMAA (or reduce it).
For example, donating appreciated assets directly to charity will avoid capital gains taxes and, in turn, lower your MAGI.
Also, if you’re still working and have earned income, making tax-deductible contributions to a retirement account will reduce your Modified Adjusted Gross Income (MAGI) and potentially reduce or avoid IRMAA.
A few other strategies to avoid IRMAA (or reduce it) include:
- Adopting a tax-smart retirement withdrawal strategy
- Allocating to tax-efficient investments
- Utilizing a Medicare Savings Account (MSA)
- Tax-Gain Harvesting
- Processing Roth conversions
- Requesting a recalculation of IRMAA due to a “life-changing event” using Form SSA-44
While it may not be possible to avoid an Income Related Monthly Adjustment Amount (IRMAA) in 2024, it’s smart to evaluate how you can reduce your Modified Adjusted Gross Income (MAGI) every year.
Just like your personal situation, tax laws can (and do!) change, potentially leading to new ways to reduce taxable income and avoid IRMAA.
» Learn about the 9 Best Ways to Avoid IRMAA and Lower Medicare Costs
IRMAA Appeal Form (and How to Appeal IRMAA)
To appeal IRMAA, you must complete and submit the IRMAA appeal form known as Form SSA-44.
In addition to the life-changing events, you can appeal your IRMAA adjustment if you think incorrect data was used to calculate the Income Related Monthly Adjustment Amount (IRMAA).
For example, the Social Security Administration might have overlooked an amended tax return, incorrectly pushing you into a higher Medicare IRMAA bracket in 2024.
Here are three different ways to appeal an IRMAA:
- Request a new “initial determination” from Social Security.
- Submit Form SSA-44.
- Call the Social Security Administration directly at (800) 772-1213.
If an IRMAA appeal is denied, don’t panic. Multiple levels of the appeal process provide additional opportunities to make your case.
Lastly, here are the important deadlines for appealing IRMAA:
- You’re only given 60 days to request an appeal.
- The 60-day clock begins when you receive your Part D IRMAA letter.
- The Social Security Administration assumes you will receive your letter five days after it’s time-stamped.
If you are in a position to appeal your Income Related Monthly Adjustment Amount (IRMAA), read and understand the entire process upfront so you don’t miss a key deadline.
What Are the 2026 IRMAA Brackets
The official IRMAA 2026 brackets will be announced in the fall of 2025.
Since your 2024 Modified Adjusted Gross Income (MAGI) will determine your IRMAA adjustments for 2026, you will need to estimate the 2026 IRMAA brackets.
Thankfully, in 2020, the Medicare Board of Trustees provided us with a framework for estimating future IRMAA brackets when they announced their 2021-2028 projected IRMAA adjustments.
The adjustments implied a 6.20% inflation rate for Part B and a 6.58% inflation rate for Part D.
Using this information, below is an estimate of the 2026 IRMAA brackets assuming 0% inflation.
If inflation exceeds 0%, the IRMAA brackets in 2026 will likely be higher.
And, if inflation is less than 0% (unlikely!), the IRMAA 2026 brackets will be lower.
to $134,000 | to $268,000 | ||
to $167,000 | to $334,000 | ||
to $200,000 | to $400,000 | ||
$500,000 | |||
History of IRMAA
While origin stories are interesting, learning the history of an Income Related Monthly Adjustment Amount (IRMAA) can also help us make educated decisions about future adjustments (e.g., 2025 IRMAA brackets and beyond).
When did IRMAA start?
IRMAA was initially enacted in 2003 as a part of the Medicare Modernization Act and only applied to Medicare enrollees with higher incomes. It wasn’t until 2007 that Income Related Monthly Adjustment Amount (IRMAA) brackets were implemented.
What changes have been made to IRMAA brackets since 2007?
There have been two big changes to Income Related Monthly Adjustment Amount (IRMAA) brackets since they were introduced:
- In 2011, the Affordable Care Act (ACA) expanded IRMAA to include higher-income enrollees in Medicare Part D.
- In 2018, the Bi-Partisan Budget Act created a 5th IRMAA bracket. The stipulation was that this new bracket would not be increased for inflation until at least 2028.
For the last 14 years (2007-2021), IRMAA surcharges have grown steadily. The various Income Related Monthly Adjustment Amount (IRMAA) brackets have increased from 4.73% to 8.02%.
Bottom Line
An Income Related Monthly Adjustment Amount (IRMAA) increases Medicare Part B and Part D premiums for high earners. Medicare beneficiaries can employ several strategies to reduce MAGI and reduce or avoid IRMAA adjustments.
If you only take one thing from this article, it’s that your income this year will affect your IRMAA bracket two years from now.
Beyond managing your income appropriately, understanding the basics of Medicare and periodically reviewing your Part D plan (or Medicare Advantage Plan) can also help you save money on your premiums and future out-of-pocket costs.
Additional Medicare IRMAA Resources
- IRMAA Fees in Retirement and How To Avoid Them (Peter Lazaroff, Retirement Podcast Network Member)
- What You Need to Know About Medicare With Ashby Daniels (Stay Wealthy)
- Will I Avoid IRMAA Surcharges (PDF Flowchart)
- What to Know About Medicare Surcharges (Fortune)
While IRMAA surcharges are pesky, understanding if and when they might apply to you can put you in a significantly better financial position.
At the end of the day, it might be worth accepting IRMAA for a few years in exchange for reducing your long-term tax bill by six or seven figures via other planning strategies.
Hey there! I’m the founder of Define Financial, a commission-free retirement planning firm ranked #2 in the U.S. by Investopedia. We specialize in helping people aged 50+ reduce taxes, invest smarter, and create a retirement paycheck. I’m also the host of the Stay Wealthy Retirement Show, a Forbes Top 10 podcast and member of the Retirement Podcast Network. When I’m not helping retirees reduce taxes, you can find me traveling with my family, searching for the next best carne asada burrito, or trying to master Adam Scott’s golf swing.