Medicare Part D

How IRMAA Adds to Medicare Part B and Part D in Bear

BEAR, Del. — If you're on Medicare and your income has crept up in recent years, the letter you get from Social Security this fall could include a surprise. It's called IRMAA — the Income-Related Monthly Adjustment Amount — and it's an extra charge added to your Part B and Part D premiums when your income is above certain limits.

A quick heads-up for higher-income households in Bear

For 2026, the first IRMAA bracket kicks in above $109,000 in income for a single filer (and above $218,000 for a married couple filing jointly), according to CMS. If you're near those numbers, this is the season to pay attention.

What IRMAA actually is

IRMAA is not a penalty. It's a surcharge Medicare adds on top of the standard Part B premium and your Part D premium when your income sits above the thresholds. Two things to know up front:

• It's based on your tax return from two years ago. Your 2027 IRMAA is calculated from your 2025 IRS return (specifically, your modified adjusted gross income, or MAGI).
• Social Security decides and notifies you. You'll get a letter — called an "initial determination" — if you're affected.

The surcharge applies to each person on Medicare in the household who is over the threshold. So a married couple both on Medicare could each pay it.

The 2026 income thresholds (2027 figures pending) (2027 figures pending)

Here are the income tiers CMS used for 2026. CMS typically publishes the 2027 IRMAA brackets and surcharge amounts later in the fall, alongside the Part B figures.

Single filers (2024 MAGI):

• $109,000 or less — no IRMAA
• Above $109,000 up to $137,000
• Above $137,000 up to $171,000
• Above $171,000 up to $205,000
• Above $205,000 up to $500,000
• Above $500,000 — top tier

Married filing jointly (2024 MAGI):

• $218,000 or less — no IRMAA
• Above $218,000 up to $274,000
• Above $274,000 up to $342,000
• Above $342,000 up to $410,000
• Above $410,000 up to $750,000
• Above $750,000 — top tier

Married filing separately has its own, narrower set of brackets — most people in that filing status hit IRMAA at a much lower income. If that's you, check medicare.gov for the exact figures.

Why the timing matters for Bear this fall

Bear is in New Castle County, where retirees are choosing coverage for 2027 during the Annual Enrollment Period, Oct. 15 through Dec. 7. IRMAA doesn't change which plans are available to you, but it does change what you'll pay:

• The Part B surcharge is added to your monthly Part B premium (usually taken out of your Social Security check).
• The Part D surcharge is charged separately, even if you have a Medicare Advantage plan that includes drug coverage. It's billed on top of whatever the plan itself charges.

So when you compare plans this fall, remember: for higher-income households, the premium listed on Medicare Plan Finder is not the whole picture. The IRMAA surcharge is added on top.

What to do if your income has dropped

This is the part a lot of people miss. Because IRMAA uses a tax return from two years back, life events since then can leave you paying a surcharge based on income you no longer have.

Social Security allows you to request a new determination if you had a qualifying life-changing event, including:

• Marriage, divorce, or death of a spouse
• You or your spouse stopped working or reduced hours
• Loss of pension income
• Loss of income-producing property (not from a sale)

You'll file Form SSA-44 with documentation. If Social Security agrees, they'll recalculate — and in some cases remove the surcharge entirely.

Other program numbers worth remembering

While you're reviewing coverage, a few other program-level figures to keep in mind:

• Part D out-of-pocket cap: $2,100 in 2026 and $2,400 in 2027. Once your drug spending hits that amount, you pay nothing for covered drugs the rest of the year.
• Part D maximum deductible: $615 in 2026 and $700 in 2027.
• The coverage gap ("donut hole") is gone as of 2025. Part D now has three phases instead of four.
• The Medicare Prescription Payment Plan lets you spread your drug costs across the year in monthly installments instead of paying big bills at the pharmacy.