The part B premium for 2022 is going to be $170.10, this the amount most everyone who is on Medicare will pay. This is the largest increase in Medicare part B we have seen, (nearly 14%). Some people don’t even realize they are paying this amount because generally it is deducted straight out of your social security payment. For those that pay more then this fall into what is called IRMAA.
IRMAA stands for Income-Related Monthly Adjusted Amount. It represents an increase to Medicare Part B and Part D standard monthly premiums and is determined by the Social Security Administration.
IRMAA is based on your Modified Adjusted Gross Income (MAGI) from two years ago.
In other words, the 2022 IRMAA brackets are based on your MAGI from 2020.
If the 2020 amount is not available, your 2019 MAGI is used.
If you have an IRMAA this is not necessarily a bad thing, just means you made a significant amount of money, and the government feels you should pay more for your Medicare. IRMAA effects both you part B premium and your part D premium. The chart above shows the cost breakdown for IRMAA part B and below for part D.
There are exceptions to the having to pay the IRMAA, if it was a onetime bump in income with the sale of a property, business or cashing out a retirement account that gave you a higher then normal income just for one year there is away to file for an exception. If you feel you may qualify for this do contact us and we’ll help you with the process.
