Understanding IRMAA: 2024 and 2025 Income Brackets Explained

Are you concerned about the potential impact of the Income-Related Monthly Adjustment Amount (IRMAA) on your Medicare premiums? IRMAA is a surcharge applied to Medicare Part B and Part D premiums for individuals with higher incomes. In this article, we will break down the IRMAA 2024 and 2025 income brackets and provide guidance on how to navigate these changes.

What is IRMAA?

IRMAA is a provision of the Medicare program that adjusts the monthly premiums for Medicare Part B and Part D based on an individual's income. The surcharge is designed to ensure that higher-income beneficiaries contribute more to the Medicare program. The IRMAA surcharge is calculated based on the beneficiary's modified adjusted gross income (MAGI) from two years prior.

2024 IRMAA Income Brackets

The 2024 IRMAA income brackets are as follows: Less than $97,000: No IRMAA surcharge applies $97,000 - $123,000: 40% surcharge $123,001 - $153,000: 60% surcharge $153,001 - $183,000: 80% surcharge $183,001 - $228,000: 100% surcharge More than $228,000: 150% surcharge For joint filers, the income brackets are: Less than $194,000: No IRMAA surcharge applies $194,000 - $246,000: 40% surcharge $246,001 - $306,000: 60% surcharge $306,001 - $366,000: 80% surcharge $366,001 - $456,000: 100% surcharge More than $456,000: 150% surcharge

2025 IRMAA Income Brackets

The 2025 IRMAA income brackets are expected to be: Less than $100,000: No IRMAA surcharge applies $100,000 - $127,000: 40% surcharge $127,001 - $159,000: 60% surcharge $159,001 - $191,000: 80% surcharge $191,001 - $238,000: 100% surcharge More than $238,000: 150% surcharge For joint filers, the income brackets are: Less than $200,000: No IRMAA surcharge applies $200,000 - $254,000: 40% surcharge $254,001 - $318,000: 60% surcharge $318,001 - $382,000: 80% surcharge $382,001 - $476,000: 100% surcharge More than $476,000: 150% surcharge Understanding the IRMAA 2024 and 2025 income brackets is crucial for individuals who want to plan their Medicare expenses. By knowing how the IRMAA surcharge is calculated and what income brackets apply, you can make informed decisions about your Medicare coverage. If you have any questions or concerns about IRMAA or Medicare, it's always best to consult with a licensed insurance professional or a Medicare expert. Remember, it's essential to review your income and Medicare premiums annually to ensure you're not overpaying for your coverage. Stay informed, and take control of your Medicare expenses.

Source: Healthline