2022 IRMAA Brackets for Medicare Premiums
Medicare IRMAA is a monthly adjustment amount that higher income earners must pay more for Part B and D premiums. It’s how it works!
As you’re probably aware, the standard premium for Medicare Part B is $170.10 in 2022 and that’s just a one-time charge! However some people may receive an IRMAA (Income related Monthly Adjustment Amount) notice along with their bill telling them how much more they need to pay each month based on you Income – What is your Medicare Cost?
What is IRMAA?
IRMAA is the additional amount that some people might have to pay for their Medicare Part B or D coverage.
IRMAA represents the additional amount that some people might have to pay for their Medicare Part B (medical insurance) or Part D (Medicare prescription drug plans) coverage.
How is IRMAA calculated?
Your Medicare Part B and Part D premiums are based on your modified adjusted gross income (MAGI) that is reported on your IRS tax return from two years prior. For example, your 2022 Medicare Part B premiums will be based on your reported income from 2020.
If your MAGI is $91,000 or less when filed individually (or married and filing separately), or $182,000 or less when filed jointly, you will pay the standard Part B premium of $170.10 per month in 2022, and you won’t pay a Part B IRMAA.
If you are enrolled in a Part D plan and your MAGI is in the above range, you would pay only the standard premium cost of your Part D plan in 2022, and you won’t pay a Part D IRMAA.
But if your modified adjusted gross income from 2020 is more than those amounts, you will pay more than the standard Part B and Part D premiums in 2022, because you will pay an IRMAA.
The full breakdown is as follows:
Medicare Part B & Part D IRMAA
| 2020 Individual tax return | 2020 Joint tax return | 2020 Married and separate tax return | 2022 Part B premium | 2022 Part D premium |
|---|---|---|---|---|
| $91,000 or less | $182,000 or less | $91,000 or less | $170.10 | Your plan premium |
| More than $91,000 and up to $114,000 | More than $182,000 and up to $228,000 | N/A | $238.10 | Your plan premium + $12.40 |
| More than $114,000 up to $142,000 | More than $228,000 up to $284,000 | N/A | $340.20 | Your plan premium + $32.10 |
| More than $142,000 up to $170,000 | More than $284,000 up to $340,000 | N/A | $442.30 | Your plan premium + $51.70 |
| More than $170,000 up to $500,000 | More than $340,000 up to $750,000 | More than $91,000 up to $409,000 | $544.30 | Your plan premium + $71.30 |
| More than or equal to $500,000 | More than or equal to $750,000 | More than or equal to $409,000 | $578.30 | Your plan premium + $77.90 |
You will also generally pay the standard Part B premium if:
- You enrolled in Part B for the first time in 2022
- You do not receive Social Security benefits
- You receive Social Security benefits, but your Part B premiums are not directly deducted from your Social Security benefits
Because IRMAA is based on your reported income from two years prior, the amount you have to pay for a Medicare IRMAA is subject to change every year.
Are you looking for Medicare prescription drug coverage?
You can compare Part D plans available where you live and enroll in a Medicare prescription drug plan online in as little as 10 minutes when you visit MyRxPlans.com.1
Why is there a Medicare IRMAA?
If you’re among the people paying more for Part B or Part D Medicare coverage because of IRMAA, you may be wondering why the adjusted amounts exist.
IRMAA was enacted for Medicare Part B premiums in 2003 as a provision of the Medicare Modernization Act. It was then expanded to Part D coverage in 2011 as part of the Affordable Care Act (ACA, also called Obamacare).
IRMAA was developed by the federal government as a means of strengthening the financial stability of the Medicare program. The government pays a majority share (around 75 percent) of the costs for Part B and Part D benefits, while beneficiaries contribute roughly 25 percent.
With the future of Medicare on uncertain ground, cost-sharing measures like IRMAA have the potential to help prolong the financial stability of the largest health care program for seniors in the U.S.
If you are subject to paying higher Medicare premiums because of IRMAA, you will be notified by the Social Security Administration.
What are my Medicare plan options?
Have more questions about IRMAA or other costs associated with Medicare? Looking for ways to save money on your Medicare coverage?
You can learn more about your Medicare plan options and find a plan that may be able to help you save money. Speak with a licensed insurance agent to find out more.
