If you’re on Medicare and have a higher income, your premiums for Medicare Part B and Part D may include an Income-Related Monthly Adjustment Amount (IRMAA). These surcharges can add hundreds of dollars to your monthly premiums, so it’s important to be aware of this additional expense. The 2026 Medicare IRMAA Calculator is here to help you estimate these surcharges quickly and easily. By using this tool, you can get a clear picture of how much more you may need to budget for your Medicare premiums in 2026.
What is IRMAA?
IRMAA stands for Income-Related Monthly Adjustment Amount. It’s an extra amount you might need to pay in addition to your standard Medicare premiums. If your modified adjusted gross income (MAGI) is above certain thresholds, you’ll be required to pay this surcharge for both Medicare Part B and Part D coverage.
You’re affected by IRMAA if your income exceeds specific limits set by the Social Security Administration (SSA). The SSA reviews your tax returns from two years prior to determine if you’ll need to pay these additional amounts. For example, your 2026 IRMAA will be based on your 2024 tax return information.
Understanding IRMAA is important because it affects how much you’ll pay for Medicare each month. Whether you’re newly retired or still earning income, knowing how your income impacts your premiums can help you budget for your healthcare expenses more effectively.
How is IRMAA Calculated?
Your IRMAA determination follows a straightforward process based on your Modified Adjusted Gross Income (MAGI). The Social Security Administration looks at your tax returns from two years ago, which means your 2026 IRMAA will be based on your 2024 income. Your MAGI is calculated by taking your adjusted gross income and adding back certain deductions, including tax-exempt interest, excluded foreign income, and specific Series EE bond interest used for education.
The calculation process uses income brackets to determine your surcharge amount. As your income increases and crosses into higher brackets, your IRMAA surcharge increases accordingly. You’ll notice that these brackets are structured in tiers, with each tier corresponding to a specific additional amount you’ll need to pay on top of your standard Medicare premiums.
If you’re married and file taxes jointly, the income thresholds are different than if you file individually. The SSA combines both you and your spouse’s income when determining your IRMAA tier, even if only one of you receives Medicare benefits. This means your total household income could push you into a higher bracket than if you were single.
2026 IRMAA Brackets and Thresholds
For 2026, the income brackets used to determine your IRMAA surcharge have increased compared to prior years due to inflation adjustments. If you’re single and your MAGI is $109,000 or less (or $218,000 or less if married filing jointly), you won’t pay any IRMAA surcharge. Once your income exceeds these base thresholds, incremental increases are applied to your Medicare premiums.
When your MAGI falls between $109,001 and $137,000 (or $218,001 to $274,000 for joint filers), you’ll pay the first tier of IRMAA surcharges. As your income rises through each subsequent bracket, your surcharge amount increases. The highest bracket applies to those with MAGI above $500,000 for single filers or $750,000 for joint filers, resulting in the maximum IRMAA charges for Medicare Part B and Part D.
It’s important to note that your IRMAA tier isn’t permanently fixed. It can change from year to year based on your income fluctuations. For instance, if you’ve recently retired or experienced a significant life event that reduced your income, you might move to a lower bracket. Conversely, if you’ve had a substantial increase in income, such as from selling property or receiving a large bonus, you could find yourself in a higher bracket for that particular year.
Can You Appeal an IRMAA Determination?
Yes, you can appeal if you believe the IRMAA determination for your Medicare premiums is incorrect. The Social Security Administration calculates IRMAA based on your income from two years ago, but sometimes that information doesn’t reflect your current financial situation. Major life events like retirement, marriage, divorce, the death of a spouse, or a significant loss of income can qualify you for a reassessment of your IRMAA charges.
To request an appeal, you’ll need to file a form called SSA-44, which allows you to explain the change in your circumstances. Along with the form, you’ll have to provide documentation that supports your claim, such as a tax return, a retirement statement, or proof of a life event that impacted your income. Once submitted, the Social Security Administration will review your case and determine if your IRMAA should be reduced.
Filing an appeal doesn’t guarantee a change, but it’s worth pursuing if your income has dropped significantly and you’re being charged more than what aligns with your current financial standing. Even if your appeal isn’t approved, you have the right to request further review if you believe an error was made. Keeping your financial records organized and up to date will make the process smoother and help ensure that any corrections to your IRMAA are handled accurately.
Conclusion
Understanding IRMAA and how it affects your Medicare premiums is an important part of managing your healthcare costs, especially if your income exceeds the standard thresholds. With the 2026 Medicare IRMAA Calculator, you can quickly estimate how much more you’ll pay for Medicare Part B and Part D, giving you a clear idea of what to expect.
If you find that IRMAA applies to you, knowing how it’s calculated and whether you’re in the right bracket can help you prepare for the additional expense. And if you’ve had a major life change that lowers your income, don’t hesitate to appeal the determination to ensure your premiums reflect your current situation.
Your healthcare costs significantly impact your retirement budget. That’s why it’s important to understand and prepare for any potential IRMAA surcharges. For personalized Medicare guidance, call 866-633-4427 to speak with a Senior Healthcare Solutions Medicare expert today. We’d love to hear from you and help maximize your Medicare benefits.
