What you'll learn
- IRMAA is an extra amount added to Part B and Part D premiums for people with higher incomes.
- For 2026, Social Security generally uses your 2024 tax return. Surcharges start above $109,000 for individuals and $218,000 for joint filers.
- If a life-changing event like retirement lowered your income, you can request a new decision using form SSA-44.
- If an amended tax return changed your income, or you disagree with the decision, you can contact Social Security or file an appeal.
It's a common story: you retire, your paycheck stops, and then a letter arrives saying you owe hundreds of dollars a month extra for Part B. The reason is a two-year lag in how Medicare sets premiums. The good news is that you can ask Social Security to use more recent income.
What IRMAA is
The Income-Related Monthly Adjustment Amount (IRMAA) is an extra amount added to your Part B premium, and to your Part D premium, when your income is above certain limits. Social Security looks at your modified adjusted gross income: your adjusted gross income plus any tax-exempt interest.
For 2026, Social Security generally uses your 2024 tax return.
| 2024 income (individual) | 2024 income (joint) | 2026 Part B premium |
|---|---|---|
| $109,000 or less | $218,000 or less | $202.90 |
| $109,001–$137,000 | $218,001–$274,000 | $284.10 |
| $137,001–$171,000 | $274,001–$342,000 | $405.80 |
| $171,001–$205,000 | $342,001–$410,000 | $527.50 |
| $205,001–$499,999 | $410,001–$749,999 | $649.20 |
| $500,000 or more | $750,000 or more | $689.90 |
Married and filing separately? Different brackets apply, so check your notice. These are 2026 amounts. CMS announces 2027 premiums and brackets each fall.
Why retirees get caught
Your last full year of work is often your highest-income year. A final bonus, a vacation payout, or selling a business or ranch land can push it even higher. Two years later, that number sets your Medicare premium, even if your income has since dropped sharply.
Option 1: Report a life-changing event (form SSA-44)
Form SSA-44 lists these qualifying events:
- Marriage
- Divorce or annulment
- Death of your spouse
- Work stoppage or work reduction
- Loss of income-producing property
- Loss of pension income
- Employer settlement payment
How to do it:
- Fill out form SSA-44. Enter your actual or estimated income for a more recent year than the one Social Security used.
- Attach proof of the event. For retirement, that can be a signed statement from your employer or copies of pay stubs.
- Include income proof. If you've filed taxes for that year, send a signed copy of your return. If you estimated, send the return once it's filed.
- Submit it online through your my Social Security account, by fax or mail to a local office, or at an appointment.
You can also call Social Security at 1-800-772-1213 (TTY 1-800-325-0778) and say you want to lower your IRMAA because of a life-changing event. Help is available in English, Spanish, and other languages.
Option 2: Fix wrong or outdated information
- Amended tax return: If you filed an amended return that changes your income, give Social Security a copy along with the IRS acknowledgment.
- Disagree with the decision: You can appeal, online or with form SSA-561-U2 (Request for Reconsideration). If you think the income the IRS reported is wrong, that needs to be corrected with the IRS.
Planning ahead
Texas has no state income tax, but IRMAA is based on your federal return, so moving here doesn't change how it's figured. If you're nearing 65 or planning a big financial move, a tax professional can help you think about timing. For more on Part B costs, see Medicare Part B explained, and if you're relocating, our guide to moving to Texas on Medicare.
Common questions
What counts as a life-changing event?
Form SSA-44 lists marriage, divorce or annulment, death of a spouse, work stoppage, work reduction, loss of income-producing property, loss of pension income, and an employer settlement payment.
Is retirement a reason to ask for a lower IRMAA?
Yes. Stopping work or reducing your hours are both listed life-changing events. You'll need proof, such as a signed statement from your employer or pay stubs.
Does IRMAA apply if I have Medicare Advantage?
Yes. Medicare Advantage members still pay the Part B premium, including any IRMAA. IRMAA can also apply to Part D drug coverage, and that amount is the same no matter which plan you choose.
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