Should your earnings exceed a predefined threshold, you could be subject to an extra charge known as the “Medicare Income-Related Monthly Adjustment Amount (IRMAA).” This surcharge is appended to your premiums for Part B or Part D.
The Social Security Administration delineates four tiers of income that are evaluated to ascertain whether an IRMAA should be levied upon you. The determination hinges upon your reported earnings to the IRS over the past two years.
You will receive communication from the SSA if you are subject to an elevated premium for Part B.
Moreover, you possess the prerogative to petition the SSA for a reduction or removal of your premium hike if you contend that the IRMAA should not be applicable to your situation, if there has been a significant change in your financial status, or if you have grounds to believe that the SSA erroneously calculated your IRMAA.
