Medicare Part D

Yuma retirees and IRMAA: how income thresholds shape Part B and Part D bills for 2027

YUMA, Ariz. — For most people on Medicare here in Yuma County, the standard Part B premium is the number that shows up on the monthly statement. But for a smaller group of higher earners, 2027 brings a second charge on top of that premium — and on top of the Part D drug plan premium too. It is called IRMAA, short for the Income-Related Monthly Adjustment Amount, and the income line where it starts moves a little each year.

Medicare Part DYuma, AZ

If you filed taxes as a single person and your 2024 income was above $109,000 — or above $218,000 filing jointly — Social Security will add IRMAA to your 2026 Medicare bills. Here is what that looks like, and what to do if the letter shows up in your mailbox.

What IRMAA actually is

IRMAA is not a separate plan or a penalty for signing up late. It is an extra monthly amount that higher-income Medicare beneficiaries pay for Part B (doctor visits and outpatient care) and Part D (prescription drugs). Everyone on Medicare pays the standard Part B premium. People above the income thresholds pay that standard premium plus an IRMAA add-on.

The Part D piece works a little differently. Your drug plan sets its own premium, and IRMAA is billed separately by Medicare on top of it — usually deducted from your Social Security check or billed directly.

The income thresholds for 2027

For 2026, IRMAA starts once your modified adjusted gross income (MAGI) from your 2024 tax return crosses these lines:

• Single filer: above $109,000
• Married filing jointly: above $218,000
• Married filing separately: a much lower threshold applies, and the surcharge climbs quickly

There are several brackets above those starting points. The higher your income, the higher the IRMAA amount for both Part B and Part D. The exact dollar figures for each bracket are posted at medicare.gov once CMS finalizes them for the year.

Why the IRS looks back two years

This trips up a lot of new retirees in Yuma. Social Security uses the most recent tax return the IRS has on file, which is generally from two years earlier. So your 2027 Medicare premiums will be based on what you earned in 2025 — a year many people were still working full time.

If you retired, cut back your hours, lost a pension, or your spouse passed away, your current income may be much lower than what the 2024 return shows. In that case, you can file Form SSA-44 with Social Security and ask them to use a more recent year. Qualifying life-changing events include work stoppage, work reduction, marriage, divorce, death of a spouse, and a few others.

What to do if you get an IRMAA letter

Social Security mails a determination notice explaining the extra amount and how it was calculated. If you believe the figure is wrong — or your situation has changed — you have the right to appeal. Do not ignore the letter. The steps:

1. Read the notice carefully and check the tax year it references. 2. If a life-changing event applies, download Form SSA-44 from ssa.gov and gather supporting documents (a retirement letter, a death certificate, a divorce decree). 3. Submit the form to your local Social Security office or by mail. 4. If you simply disagree with the calculation, you can request a formal reconsideration.

How this fits with other 2027 Medicare changes

IRMAA is not the only Part D number worth knowing. In 2027, the out-of-pocket cap on covered prescription drugs is $2,400, and the maximum Part D deductible is $700. For comparison, the 2026 cap is $2,100 and the 2026 maximum deductible is $615. The coverage gap — the old "donut hole" — has been eliminated since 2025, so Part D now has three phases instead of four. Anyone who wants to spread drug costs across the year can also opt into the Medicare Prescription Payment Plan through their drug plan.

None of these caps or program features change how IRMAA is calculated. But they do shape the full picture of what a Yuma household will pay for coverage in the coming year.

Where Yuma residents can get help

Yuma is in Yuma County, and the Annual Enrollment Period runs from October 15 through December 7 each year. If you also have Medicare Advantage, the Medicare Advantage Open Enrollment Period runs January 1 through March 31.

For personalized help — including IRMAA appeals — Arizonans can contact the State Health Insurance Assistance Program (SHIP), known locally as SHIP Arizona, for free one-on-one counseling. You can also call 1-800-MEDICARE or visit medicare.gov.