My income fluctuates significantly year to year from investment distributions. How can I avoid IRMAA surcharges when I have an unusually high-income year?

Question

Diane Andree · Accepted Answer

IRMAA charges are calculated each year based on your tax return of two years ago. In any one year, you have a fluctuation, you can appeal an IRMAA by filling out an SSA-44 form. this can be found on and downloaded from the SSA.gov website.

Answered by Diane Andree on April 11, 2025

Agent Licensed in NY

Answered by Diane Andree Medicare Insurance Agent

Don Golding · Answer

To minimize IRMAA (Income-Related Monthly Adjustment Amount) surcharges on your Medicare Part B and Part D premiums when income changes, focus on strategies to reduce your Modified Adjusted Gross Income during years of high income. This includes making tax-deductible contributions to retirement accounts, donating appreciated assets to charity, and potentially delaying or timing Roth conversions to avoid unexpected income spikes.

Answered by Don Golding on April 14, 2025

Broker Licensed in TX, AL, AR & 5 other states

Answered by Don Golding Medicare Insurance Agent

Vachik Chakhbazian · Answer

focus on strategies to lower your Modified Adjusted Gross Income (MAGI), which is used to calculate IRMAA. This can include shifting from traditional to Roth IRAs, maximizing tax-deductible retirement account contributions, and utilizing tax-efficient withdrawal strategies. You can also consider appealing the surcharge if you have a life-changing event that significantly impacts your income

Answered by Vachik Chakhbazian on April 11, 2025

Agent Licensed in CA, AL, AR & 22 other states

Answered by Vachik Chakhbazian Medicare Insurance Agent

Robert Baez · Answer

If your income is above a certain limit 
(in 2025 $106,000 if you file individually or $212,000 if you’re married 
and file jointly), you’ll pay an extra amount in addition to your plan 
premium (sometimes called “Part D IRMAA”). You’ll also have to pay this 
extra amount if you’re in a Medicare Advantage Plan that includes drug 
coverage. This doesn’t affect everyone, so most people won’t pay an extra 
amount.

Kelly Linster · Answer

IRMAA looks back two years to determine your surtax. Consulting an account could help in smoothing out the IRMAA adjustments.

My income fluctuates significantly year to year from investment distributions. How can I avoid IRMAA surcharges when I have an unusually high-income year?

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My income fluctuates significantly year to year from investment distributions. How can I avoid IRMAA surcharges when I have an unusually high-income year?

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