Modified Adjusted Gross Income

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hulburt1
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Modified Adjusted Gross Income

Post by hulburt1 »

I'm trying to understand my Modified Adjusted Gross Income.
For Medicaid. The cut off for increase is 87000 for single. Does that count the 13850 deduction? (100,850)
I'm at 80000. I wanted to take 10000 from my IRA. Will that put me over?
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cowdogman
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Re: Modified Adjusted Gross Income

Post by cowdogman »

hulburt1 wrote: Sat Nov 07, 2020 10:34 am I'm trying to understand my Modified Adjusted Gross Income.
For Medicaid. The cut off for increase is 87000 for single. Does that count the 13850 deduction? (100,850)
I'm at 80000. I wanted to take 10000 from my IRA. Will that put me over?
The $12,400 standard deduction for single taxpayers is below (on the 1040) the calculation for AGI. So, if your AGI is currently $80,000, a $10,000 IRA withdrawal of pre-tax money will put you at an AGI of $90,000.
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FiveK
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Re: Modified Adjusted Gross Income

Post by FiveK »

See MAGI for Medicare premiums (IRMAA tiers).

For reference, your AGI (starting point for MAGI) can be found on line 8b of https://www.irs.gov/pub/irs-pdf/f1040.pdf (for 2019) and line 11 of https://www.irs.gov/pub/irs-dft/f1040--dft.pdf (draft 2020).
Dottie57
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Re: Modified Adjusted Gross Income

Post by Dottie57 »

hulburt1 wrote: Sat Nov 07, 2020 10:34 am I'm trying to understand my Modified Adjusted Gross Income.
For Medicaid. The cut off for increase is 87000 for single. Does that count the 13850 deduction? (100,850)
I'm at 80000. I wanted to take 10000 from my IRA. Will that put me over?
You mean Medicare (seniors) not Medicaid(very low income) - right?,
Topic Author
hulburt1
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Re: Modified Adjusted Gross Income

Post by hulburt1 »

right
capran
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Re: Modified Adjusted Gross Income

Post by capran »

I'll bet if you searched this topic under IRMAA and MAGI you will see the discussions from last year. I had similar questions last year and believe I got great answers to clarify in my simple minded understanding. MAGI is all of your taxable income including the taxable portion of SS if any plus all non taxable interest (I have assumed that includes non taxable dividends). so for my planning, I use my AGI from line 8b and add to it my tax exempt interest from line 2A,which then is my MAGI used to determine IRMAA. Last year mid December I received notice one of my bonds was being involuntarily redeemed which added several thousand of Capital Gains, so I was glad I gave myself a little wiggle room (although I didn't need the margin because last year I INCORRECTLY included all my SS instead of just the taxable amount. This message board gives me the confidence to fix that in this years computations and conversions.
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cheese_breath
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Re: Modified Adjusted Gross Income

Post by cheese_breath »

hulburt1 wrote: Sat Nov 07, 2020 10:34 am I'm trying to understand my Modified Adjusted Gross Income.
For Medicaid.
You mean Medicare.
The surest way to know the future is when it becomes the past.
Topic Author
hulburt1
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Re: Modified Adjusted Gross Income

Post by hulburt1 »

Thanks everyone :sharebeer
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