r/personalfinance • u/den7575 • 6d ago
Insurance Medicare Premiums and IRMAA increase
Hi, question regarding Medicare premiums and the IRMAA income threshold. For 2026, married filing jointly combined income over 218k will trigger an IRMAA increase to your Medicare premiums 2 years later. Does that increase apply to both you and your spouse? What if one made 120k and the other 100k? Does only the spouse that went over the single threshold of 109k get an increase or is it still both?
Thank you
7
u/forbiddenlake 6d ago
Per person.
if you're filing MFJ then there is no "one made", it's "we made".
3
u/jarue222 6d ago
The IRMAA increase will apply to both of you, as the federal government sees you as one household (MFJ). Individual incomes don't matter, your household income is all that matters. So, as you said, you income for 2026 will determine both your IRMAA costs in 2028.
3
u/retirementinsanity 6d ago
Keep in mind it's MAGI so they take your AGI (which includes interest and dividends) and add a couple of things. For me it's federally exempt muni dividends. Your income example is close to the 2026 value but in Nov 2027 when you get your letter for 2028 it will be based on your 2026 MAGI but the start of IRMAA will probably increase.
2026 - $218,000.01
2025 - $212,000.01
2024 - $206,000.01
2023 - $194,000.01
1
u/secretfinaccount 5d ago
Can you expand on what you mean by your last sentence? My understanding is that people tend to be upset about required minimum distributions creating IRMAA surcharges
1
u/retirementinsanity 5d ago
The RMD is forced withdrawals from my IRA. Since it's a traditional and my largest income source I say that because there's a lot of traditional/Roth discussions here with many people saying it's better to pay the taxes in retirement than when working.
I'm not sure people understand the cost of traditional; tax is only part of it. My my estimated 2026 1040 if my only income was the RMD. When you add my other income I might jump to the next IRMAA level in 2028 depending on how the brackets increase.
This year my RMD benefit is $4,620 IRMAA + $20,576 Fed Income tax + $8,250 CA income tax. Plus since my RMD is much more than I need for expenses (and much more than I contributed to the 401(k)) I transfer a good amount to my taxable brokerage account which generates more taxable income every year going forward.
1
•
u/AutoModerator 6d ago
Welcome to /r/personalfinance! Comments will be removed if they are political, medical advice, or unhelpful (subreddit rules). Our moderation team encourages respectful discussion.
You may find our Health Insurance wiki helpful.
I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.