Understanding IRMAA: Medicare Part B & Part D Surcharge Rules

If you're approaching Medicare eligibility, you may be surprised to learn that your income can directly impact your premiums. The Income-Related Monthly Adjustment Amount (IRMAA) is a surcharge added to Medicare Part B and Part D premiums for higher-income individuals. This visually engaging infographic, designed in an Art Deco aesthetic with warm tones and a clean layout, breaks down the essentials of IRMAA in an accessible, client-friendly format.

IRMAA is calculated based on your Modified Adjusted Gross Income (MAGI) from two years prior. If your income exceeds certain thresholds, you’ll pay more for your Medicare coverage. This surcharge can significantly affect your retirement healthcare budget if left unplanned.

The image is both decorative and educational, making it ideal for financial planners, retirement coaches, or Medicare advisors to share in client materials, email newsletters, or as part of a Medicare readiness toolkit. It offers a checklist-style format to help clients begin asking the right questions:

• Am I close to the IRMAA income thresholds?

• Can I reduce my income with strategic withdrawals or Roth conversions?

• Should I appeal an IRMAA decision due to a life-changing event?

Understanding IRMAA rules helps clients make smarter choices about Social Security timing, investment income, and tax strategies. When addressed proactively, IRMAA planning can reduce unnecessary costs and support a more predictable retirement budget.