2026 irmaa brackets - Understanding Medicare IRMAA in 2026 and Surcharges for Parts B and D

Worried about higher Medicare costs in 2026? If your 2024 income was over $109,000 (single) or $218,000 (married), you’ll likely face IRMAA the Income-Related Monthly Adjustment Amount. For 2026, projected IRMAA surcharges for Part B could add up to $448.60/month, and for Part D, up to $91/month, on top of your base premium.

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These costs are tied to your 2024 tax return, inflation, and recent Medicare projections. In this guide, we break down the 2026 IRMAA brackets, surcharges, and smart ways federal retirees can reduce their exposure.

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Key Factors That Determine Your 2026 IRMAA Liability

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To understand what you’ll pay in IRMAA for 2026, it’s important to grasp the key components driving these projections:

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1. Modified Adjusted Gross Income (MAGI) from 2024

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Your 2026 IRMAA is based on your income from two years prior. That means your 2024 MAGI as reported on your tax return determines what you’ll pay in Medicare surcharges in 2026.

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2. Inflation (CPI-U)

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IRMAA brackets are indexed for inflation based on the Consumer Price Index for All Urban Consumers (CPI-U). Current forecasts estimate a modest 1.02% increase in IRMAA thresholds for 2026 if inflation continues at today’s pace.

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3. Medicare Trustees’ Report

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According to the Medicare Trustees’ 2025 report:

• Part B surcharges are expected to rise by an average of 1.04%
  
  
• Part D surcharges may increase by over 6%
  

These changes can affect your overall Medicare premium, even if your base premium remains relatively stable.

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Projected 2026 IRMAA Brackets and Surcharges

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Medicare will officially determine the irmaa 2026 update charges in Q4 of 2025, using your 2024 tax filing as the reference. The first four IRMAA brackets are inflation-indexed annually, while the fifth bracket remains frozen until 2028.

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Why IRMAA Matters for Federal Retirees?

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IRMAA adds a significant extra cost to your Medicare premiums if you cross certain income thresholds. Unfortunately, many federal retirees may find themselves pushed into higher brackets due to:

• TSP withdrawals
  
  
• Annuity payments
  
  
• Required minimum distributions (RMDs)

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How to Lower or Avoid IRMAA?

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Many retirees can reduce their IRMAA exposure with careful planning:

1. Roth Conversions – Convert traditional IRA funds to Roth before hitting IRMAA thresholds.
   
   
2. Manage Capital Gains – Time the sale of appreciated assets to control MAGI.
   
   
3. Avoid RMD Surprises – Plan Required Minimum Distributions (RMDs) in advance.
   
   
4. Tax-efficient Withdrawal Strategies – Balance withdrawals from taxable, tax-deferred, and Roth accounts.
   
   
5. Report Life-Changing Events – If your income dropped due to retirement, divorce, death of a spouse, or other major event, you can request a reconsideration of your IRMAA via Form SSA-44.
   
   

IRMAA Appeals: Can You Avoid Higher Premiums

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If your income has dropped due to a qualifying life event such as retirement, divorce, or death of a spouse you can file Form SSA-44 to appeal your IRMAA determination. Be sure to provide supporting documentation.

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How Federal Pension Advisors Can Help?

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Planning for Medicare costs is more than just checking a premium table. We specialise in helping federal employees:

• Project future Medicare expenses
  
  
• Optimise TSP and annuity withdrawals
  
  
• Lower IRMAA exposure legally and efficiently
  
  
• Free Pension & Benefits Review
• IRMAA Planning & Tax Strategy
• Medicare Education for Retirees

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Take control of your Medicare premiums before they control your retirement.

Ready to protect your retirement from IRMAA surprises?

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Schedule your free review today at Federal Pension Advisors and get clarity on your Medicare future.

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FAQs

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What is IRMAA for Medicare?

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IRMAA is a surcharge added to Medicare premiums for high-income earners. It applies to Parts B and D.

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How is IRMAA calculated?

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IRMAA is based on your Modified Adjusted Gross Income (MAGI) from two years prior, as reported by the IRS.

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How do I appeal an IRMAA decision?

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File SSA-44 with Social Security if you had a qualifying life-changing event. Include proper documentation.

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Can I avoid IRMAA?

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You can plan strategically to reduce income or manage MAGI through tax planning, but the surcharge cannot be avoided once your income exceeds certain limits.

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