A non-government resource for the Medicare community
Powered by Q1Group LLC
A non-government Medicare community resource
  • Menu
  • Home
  • Contact
  • MAPD
  • PDP
  • 2024
  • 2025
  • FAQs
  • Articles
  • Search
  • Contact
  • 2024
  • 2025
  • FAQs
  • Articles
  • Latest Medicare News
  • Search

Roughly a 4.5% increase in the 2017 Income Related Monthly Adjustment Amounts (IRMAA) for Medicare beneficiaries with higher annual incomes.

Category: IRMAA - for Higher Incomes
Published: Jul, 31 2016 01:07:16


Medicare beneficiaries who earn over a certain amount will pay an additional premium for their Medicare Part B (out-patient coverage) and Medicare Part D prescription drug plan coverage (whether received through a stand-alone Medicare Part D plan (PDP) or a Medicare Advantage plan that includes prescription drug coverage (MAPD)) - or Income-Related Monthly Adjustment Amount (IRMAA).

The amount of the IRMAA payment will depend on the Medicare beneficiary's income level (see charts below).  More specifically, Medicare beneficiaries who have a modified adjusted gross income (MAGI) of more than $85,000 for individuals or $170,000 for married couples filing jointly pay an additional Medicare Part B and Medicare Part D Income-Related Monthly Adjustment Amount (IRMAA) based on their income level.

Medicare Part D IRMAA payments can change every year and are calculated using the annually-released standard base Medicare Part D premium.  The 2017 standard base premium is $35.63, an increase of $1.53 (4.49%) or roughly 4.5% over the 2016 standard base premium. (The 2017 Medicare Part B IRMAA payments and corresponding income levels are listed below in this same blog.)

Change in the Medicare Part D Base Premium
2017 2016 2015 2014 2013 2012 2011
$35.63 $34.10 $33.13 $32.42 $31.17 $31.08 $32.34

The 2017 Medicare Part D IRMAA amounts are shown in the charts below.

Beneficiaries who file individual tax returns with income that is: Beneficiaries who file joint tax returns with income that is: Medicare Part D Income Related Monthly Adjustment Amount
2017 2016 2015 2014 2013 2012 2011
Less than or equal to $85,000 Less than or equal to $170,000 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Greater than $85,000 and less than or equal to $107,000 Greater than $170,000 and less than or equal to $214,000 $13.30 $12.70 $12.30 $12.10 $11.60 $11.60 $12.00
Greater than $107,000 and less than or equal to $160,000 Greater than $214,000 and less than or equal to $320,000 $34.20 $32.80 $31.80 $31.10 $29.90 $29.90 $31.10
Greater than $160,000 and less than or equal to $214,000 Greater than $320,000 and less than or equal to $428,000 $55.20 $52.80 $51.30 $50.20 $48.30 $48.10 $50.10
Greater than $214,000 Greater than $428,000 $76.20 $72.90 $70.80 $69.30 $66.60 $66.40 $69.10

As noted, all higher-earning beneficiaries in the IRMAA paying brackets will see a slight increase in their payments -- roughly, a 4.5% increase, see below.

Beneficiaries who file individual tax returns with income that is: Beneficiaries who file joint tax returns with income that is: Medicare Part D Income Related Monthly Adjustment Amount
2017 2016 $
Increase
%
Increase
Less than or equal to $85,000 Less than or equal to $170,000 $0.00 $0.00 $0.00 0%
Greater than $85,000 and less than or equal to $107,000 Greater than $170,000 and less than or equal to $214,000 $13.30 $12.70 $0.60 4.72%
Greater than $107,000 and less than or equal to $160,000 Greater than $214,000 and less than or equal to $320,000 $34.20 $32.80 $1.40 4.27%
Greater than $160,000 and less than or equal to $214,000 Greater than $320,000 and less than or equal to $428,000 $55.20 $52.80 $2.40 4.55%
Greater than $214,000 Greater than $428,000 $76.20 $72.90 $3.30 4.53%




In addition, the monthly IRMAA rates to be paid by beneficiaries who are married and lived with their spouse at any time during the taxable year, but filed a separate tax return from their spouse, are as follows:

Beneficiaries who are married but file separate tax returns with income that is: Medicare Part D Income Related Monthly Adjustment Amount
2017 2016 2015 2014 2013 2012 2011
Less than or equal to $85,000 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Greater than $85,000 and less than or equal to $129,000 $55.20 $52.80 $51.30 $50.20 $48.30 $48.10 $50.00
Greater than $129,000 $76.20 $72.90 $70.80 $69.30 $66.60 $66.40 $69.10

Please note:
  • The additional monthly Part D income-related adjustment amount is not collected by the Medicare Part D plans, but instead paid directly to the Federal government.

  • The amount of your IRMAA will be directly deducted from your Social Security, Railroad Retirement Board, or Office of Personnel Management benefits.

  • If there are not sufficient funds in your government benefits, then Medicare will bill you directly.

  • Medicare Part D beneficiaries affected by the 2017 IRMAA will receive a letter from the Social Security Administration notifying them of their Medicare Part D plan premium increase.

  • If you do not pay your IRMAA, you will be involuntarily disenrolled from your Medicare Part D or Medicare Advantage plan - and may be without Medicare plan coverage for the remainder of the year.

2017 Medicare Part B Income-Related Monthly Adjustments Amounts (IRMAA)

As with the Medicare Part D program, people with Medicare who report taxable income above $85,000 a year ($170,000 for people filing jointly) are responsible to cover a larger portion of the cost of their Medicare Part B coverage.

These monthly Medicare Part B premium adjustments range from an additional $53.50 to an additional $294.60 (per month).

If Your Yearly Income Is Your Monthly
Medicare Part B
Premium
2017
Medicare
Part B
IRMAA
File Individual Tax Return File Joint Tax Return
$85,000 or below (held harmless) $170,000 or below $104.90, or $121.80* $0.00
$85,000 or below $170,000 or below $134.00 $0.00
$85,001 - $107,000 $170,000 - $214,000 $187.50 $53.50
$107,001 - $160,000 $214,000 - $320,000 $267.90 $133.90
$160,001 - $214,000 $320,000 - $428,000 $348.30 $214.30
above $214,000 above $428,000 $428.60 $294.60
* You pay the same premium amount that you paid last year.


Monthly Medicare Part B premiums for Medicare beneficiaries who are married and lived with their spouse at any time during the taxable year, but file separate tax returns, are:

Beneficiaries who are married and lived with their spouse at any time during the year, but file a separate tax return from their spouse: 2017
Medicare Part B premium amount
Medicare Part B IRMAA
Less than or equal to $85,000 (held harmless) $104.90 or $121.80* $0.00
Less than or equal to $85,000 $134.00 $0.00
Greater than $85,000 and less than or equal to $129,000 $348.30 $214.30
Greater than $129,000 $428.60 $294.60
* You pay the same premium amount that you paid last year.

According to CMS, IRMAA affects less than 5% of Medicare beneficiaries or around 2,450,000 people.

Appealing your IRMAA?
See our IRMAA FAQ: "How is the income-related monthly adjustment amount or IRMAA affected if my income goes down?" at: Q1FAQ.com/542







Medicare Supplements
fill the gaps in your
Original Medicare
1. Enter Your ZIP Code:
» Medicare Supplement FAQs




Prescription Discounts for Everyone
Prescription Discounts are
easy as 1-2-3
  1. Locate lowest price drug and pharmacy
  2. Show card at pharmacy
  3. Get instant savings!
Your drug discount card is available to you at no cost.




Tips & Disclaimers
  • Q1Medicare®, Q1Rx®, and Q1Group® are registered Service Marks of Q1Group LLC and may not be used in any advertising, publicity, or for commercial purposes without the express authorization of Q1Group.
  • The Medicare Advantage and Medicare Part D prescription drug plan data on our site comes directly from Medicare and is subject to change.
  • Medicare has neither reviewed nor endorsed the information on our site.
  • We provide our Q1Medicare.com site for educational purposes and strive to present unbiased and accurate information. However, Q1Medicare is not intended as a substitute for your lawyer, doctor, healthcare provider, financial advisor, or pharmacist. For more information on your Medicare coverage, please be sure to seek legal, medical, pharmaceutical, or financial advice from a licensed professional or telephone Medicare at 1-800-633-4227.
  • We are an independent education, research, and technology company. We are not affiliated with any Medicare plan, plan carrier, healthcare provider, or insurance company. We are not compensated for Medicare plan enrollments. We do not sell leads or share your personal information.
  • Benefits, formulary, pharmacy network, provider network, premium and/or co-payments/co-insurance may change on January 1 of each year. Our PDPCompare.com and MACompare.com provide highlights of annual plan benefit changes.
  • The benefit information provided is a brief summary, not a complete description of benefits. For more information contact the plan.
  • Limitations, copayments, and restrictions may apply.
  • We make every effort to show all available Medicare Part D or Medicare Advantage plans in your service area. However, since our data is provided by Medicare, it is possible that this may not be a complete listing of plans available in your service area. For a complete listing please contact 1-800-MEDICARE (TTY users should call 1-877-486-2048), 24 hours a day/7 days a week or consult www.medicare.gov.
    Statement required by Medicare:
    "We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options."
  • When enrolling in a Medicare Advantage plan, you must continue to pay your Medicare Part B premium.
  • Medicare beneficiaries with higher incomes may be required to pay both a Medicare Part B and Medicare Part D Income Related Monthly Adjustment Amount (IRMAA). Read more on IRMAA.
  • Medicare Advantage plans that include prescription drug coverage (MAPDs) are considered Medicare Part D plans and members with higher incomes may be subject to the Medicare Part D Income Related Monthly Adjustment Amount (IRMAA), just as members in stand-alone Part D plans. In certain situations, you can appeal IRMAA.
  • You must be enrolled in both Medicare Part A and Part B to enroll in a Medicare Advantage plan. Members may enroll in a Medicare Advantage plan only during specific times of the year. Contact the Medicare plan for more information.
  • If you are enrolled in a Medicare plan with Part D prescription drug coverage, you may be eligible for financial Extra Help to assist with the payment of your prescription drug premiums and drug purchases. To see if you qualify for Extra Help, call: 1-800-MEDICARE (1-800-633-4227). TTY users should call 1-877-486-2048, 24 hours a day/ 7 days a week or consult www.medicare.gov; the Social Security Office at 1-800-772-1213 between 7 a.m. and 7 p.m., Monday through Friday. TTY users should call, 1-800-325-0778; or your state Medicaid Office.
  • Medicare evaluates plans based on a 5-Star rating system. Star Ratings are calculated each year and may change from one year to the next.
  • A Medicare Advantage Private Fee-for-Service plan (PFFS) is not a Medicare supplement plan. Providers who do not contract with the plan are not required to see you except in an emergency.
  • Disclaimer for Institutional Special Needs Plan (SNP): This plan is available to anyone with Medicare who meets the Skilled Nursing Facility (SNF) level of care and resides in a nursing home.
  • Disclaimer for Dual Eligible (Medicare/Medicaid) Special Needs Plan (SNP): This plan is available to anyone who has both Medical Assistance from the State and Medicare. Premiums, co-pays, co-insurance, and deductibles may vary based on the level of Extra Help you receive. Please contact the plan for further details.
  • Disclaimer for Chronic Condition Special Needs Plan (SNP): This plan is available to anyone with Medicare who has been diagnosed with the plan specific Chronic Condition.
  • Medicare MSA Plans combine a high deductible Medicare Advantage Plan and a trust or custodial savings account (as defined and/or approved by the IRS). The plan deposits money from Medicare into the account. You can use this money to pay for your health care costs, but only Medicare-covered expenses count toward your deductible. The amount deposited is usually less than your deductible amount, so you generally have to pay out-of-pocket before your coverage begins.
  • Medicare MSA Plans do not cover prescription drugs. If you join a Medicare MSA Plan, you can also join any separate (stand-alone) Medicare Part D prescription drug plan
  • There are additional restrictions to join an MSA plan, and enrollment is generally for a full calendar year unless you meet certain exceptions. Those who disenroll during the calendar year will owe a portion of the account deposit back to the plan. Contact the plan provider for additional information.
  • Medicare beneficiaries may enroll through the CMS Medicare Online Enrollment Center located at www.medicare.gov.
  • Medicare beneficiaries can file a complaint with the Centers for Medicare & Medicaid Services by calling 1-800-MEDICARE 24 hours a day/7 days or using the medicare.gov site. Beneficiaries can appoint a representative by submitting CMS Form-1696.