IRMAA question

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jhawktx
Posts: 133
Joined: Thu May 19, 2011 8:15 am

IRMAA question

Post by jhawktx » Sat Jan 12, 2019 1:02 pm

I just want to make sure I understand this correctly. I see that for MFJ the 2019 first MAGI tier income limit is $170,000. If I understand correctly, since the system looks back 2 years what this really means is that for the year 2019 the income limit is $170,000 as calculated from your 2017 tax return. Is that correct?

This creates a bit of a planning problem since your 2019 tax year tax return will determine what tier you are in for 2021 but you won't know the tier income limit cutoffs for 2021 until well after you have filed your 2019 tax return.

mhalley
Posts: 7262
Joined: Tue Nov 20, 2007 6:02 am

Re: IRMAA question

Post by mhalley » Sat Jan 12, 2019 1:17 pm

I believe that is correct.
Kitces discusses Irma’s here

https://www.kitces.com/blog/irmaa-medic ... hresholds/
Irmaa has had many changes since it first went into effect, making future predictions very difficult.
As a 64 yo paying over 2800 a month for lousy high deductible health insurance, I look forward to paying Medicare plus Irmaa.

neilpilot
Posts: 2663
Joined: Fri Dec 04, 2015 1:46 pm
Location: Memphis area

Re: IRMAA question

Post by neilpilot » Sat Jan 12, 2019 1:23 pm

jhawktx, you are correct.

However, if you exceed $170k MAGI in 2017 but your 2018 or projected 2019 income is below the $170k IRMAA limit and you've incurred a recognized Medicare life change event such as retirement, then there's a very simple appeal process to get around that IRMAA look-back.

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