Medicare Part D

Sunrise FL Medicare IRMAA Guide for 2027

SUNRISE, Fla. — As Medicare's Annual Enrollment Period runs through Dec. 7, higher-earning retirees along the Broward County coast are getting a fresh look at something many didn't plan for in retirement: the income-related monthly adjustment amount, better known as IRMAA.

Sunrise retirees, take note: higher-income surcharges are back in focus for 2027

IRMAA is the surcharge tacked onto Medicare Part B and Part D premiums for people whose income sits above certain thresholds. For 2027, the tax return Medicare uses to decide who pays extra is your 2025 return. CMS publishes the 2027 brackets and surcharge amounts later this fall, usually in November. That two-year lookback catches a lot of people by surprise — especially anyone who had a one-time bump in income from a home sale, Roth conversion, or the year they retired.

Here's what Sunrise readers need to understand before the calendar flips.

What IRMAA actually is

IRMAA isn't a separate bill or a new program. It's an add-on to your standard Part B premium and, if you have Part D drug coverage, to your Part D premium as well. The Social Security Administration determines whether you owe it based on your modified adjusted gross income (MAGI) from two years earlier.

For 2027 premiums, Medicare looks at your 2025 tax return. If your MAGI is under the first threshold, you pay the standard premium. Above it, you move into one of five higher tiers.

The 2027 income thresholds

For 2026, IRMAA surcharges begin above $109,000 in income for a single filer and above $218,000 for a married couple filing jointly. From there, the surcharge steps up through five brackets, with the highest tier reserved for single filers with income at or above roughly $500,000 (and married couples at or above $750,000).

Both Part B and Part D surcharges use the same income brackets, but the dollar amounts of the surcharges differ. The Part B add-on is a set amount published by CMS each year; the Part D add-on is added on top of whatever your drug plan's premium already is.

CMS publishes the 2027 dollar figures at each tier later this fall. For the official amounts once released, check the Medicare costs page at medicare.gov/basics/costs.

The two-year lookback trips people up

This is the single biggest mistake we see in South Florida: retirees assume Medicare uses their current income. It doesn't.

If you retired in 2025 and your income dropped sharply in 2026, Medicare will still use your 2025 return to set 2027 premiums. The good news — there's a formal way to fix that.

Life-changing events: how to appeal

If you had a qualifying "life-changing event," you can ask Social Security to recalculate using more recent income. Qualifying events include:

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

You file Form SSA-44 with documentation. If approved, Social Security adjusts your surcharge — sometimes eliminating it entirely. This form is free, and you don't need to pay anyone to file it for you.

What it means during Annual Enrollment

IRMAA doesn't change which plans you can join, and it isn't something a plan can waive. But it does affect your true monthly cost of Medicare, so it's worth factoring in when you compare drug coverage during AEP (Oct. 15 – Dec. 7) or Medicare Advantage Open Enrollment (Jan. 1 – March 31).

A few things to keep in mind:

• The Part D surcharge applies whether your drug coverage is stand-alone or built into a Medicare Advantage plan.
• The Part D out-of-pocket cap is $2,100 in 2026 and $2,400 in 2027, and the maximum deductible is $615 in 2026 and $700 in 2027. These apply to everyone, including people paying IRMAA.
• The optional Medicare Prescription Payment Plan lets you spread drug costs across the year — helpful if you hit the cap early.

Sunrise is in Broward County, where there are many Medicare Advantage and Part D plan options during AEP. County-level availability doesn't change your IRMAA — but comparing plans is still the right move if your drug list or doctors have changed.