Medicare Part D

Marion, Ohio: 2027 IRMAA & Medicare Surcharges

MARION, Ohio — As Medicare's Annual Enrollment Period runs through Dec. 7, some Marion-area retirees are looking closely at their tax returns for a reason that has nothing to do with the IRS. In 2026, higher-income beneficiaries will again pay an added surcharge on top of their regular Medicare Part B and Part D premiums — and the first bracket starts at $109,000 in yearly income for a single filer.

That surcharge is called IRMAA, short for the Income-Related Monthly Adjustment Amount. It is not a penalty and it is not new, but the income cutoffs shift each year, and a small change in income can push a household into a higher tier.

What IRMAA is, in plain terms

Most people on Medicare pay the standard Part B premium. But if your income is above a certain level, you pay that standard premium plus an extra amount. The same idea applies to Part D prescription drug coverage — there is a separate IRMAA amount added to whatever your drug plan already charges.

Social Security, not Medicare, decides who owes IRMAA. They look at your Modified Adjusted Gross Income (MAGI) from two years ago. So the surcharge you would pay in 2027 is tied to what you reported on your 2025 federal tax return.

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

For 2026, the first IRMAA bracket kicks in above:

• $109,000 for a single filer
• $218,000 for a married couple filing jointly

From there, the surcharge climbs through several tiers, with the highest bracket reserved for individuals with income above roughly $500,000 (or $750,000 for joint filers). The higher your bracket, the larger the add-on to both your Part B and Part D premiums.

Because these thresholds move a little each year with inflation, an income level that was under the line one year can be over it the next. It's worth checking the current figures directly on medicare.gov before assuming last year's rules still apply.

Why this matters for Marion households

Marion is in Marion County, where retirees have a range of Original Medicare and Medicare Advantage options during the Oct. 15 – Dec. 7 Annual Enrollment Period. But IRMAA follows you no matter which path you choose. Whether you stay with Original Medicare and a stand-alone Part D plan, or enroll in a Medicare Advantage plan that includes drug coverage, the surcharge is billed the same way — usually deducted from your Social Security check.

That means a couple who sold a business, cashed in investments, or took a large IRA withdrawal in 2025 could see the impact on their 2027 Medicare costs, even if their income has since returned to normal.

What to do if your income has dropped

Life doesn't always match a two-year-old tax return. If you had a "life-changing event" — retirement, the death of a spouse, divorce, loss of pension income, or a work stoppage — you can ask Social Security to use more recent income instead.

The form is called SSA-44, Medicare Income-Related Monthly Adjustment Amount – Life-Changing Event. You can download it at ssa.gov, complete it, and submit it with documentation (like a letter from a former employer). If approved, your surcharge is recalculated.

A quick note on other Part D changes for 2027

Even if IRMAA doesn't apply to you, Part D itself continues to change. The annual out-of-pocket cap on covered prescription drugs is $2,100 for 2026 and $2,400 for 2027. The maximum plan deductible is $615 for 2026 and $700 for 2027. The old "donut hole" coverage gap is gone — replaced in 2025 by a simpler three-phase structure. Anyone struggling to spread drug costs across the year can also ask their plan about the Medicare Prescription Payment Plan, which smooths payments into monthly installments at no extra charge.