IRMAA Brackets for 2026 and How Retirees Stay Under Them

The 2026 IRMAA brackets start at $109,000 for single filers. Income below $109,000 avoids IRMAA surcharges in 2026 entirely. For married filing jointly, the threshold is $218,000. Both thresholds rose from 2025 levels ($106,000 and $212,000, respectively).

Here are the IRMAA income thresholds for 2026 by filing status:

• Tier 1 (no surcharge): MAGI at or below $109,000 single / $218,000 joint

• Tier 2: $109,001 to $137,000 single / $218,001 to $274,000 joint

• Tier 3: $137,001 to $171,000 single / $274,001 to $342,000 joint

• Tier 4: $171,001 to $205,000 single / $342,001 to $410,000 joint

• Tier 5: $205,001 to $499,999 single / $410,001 to $749,999 joint

• Tier 6 (maximum): $500,000 or more single / $750,000 or more joint

The highest IRMAA bracket starts at $500,000 for single filers and $750,000 for those married filing jointly. That top tier has been frozen since the Bipartisan Budget Act of 2018 and will not be indexed until 2028.

When you see terms like "Medicare income limits," "IRMAA thresholds," "income brackets," or "IRMAA tier," they all point to the same set of income limits above.

The standard Part B premium in 2026 is $202.90 per month. That is what Medicare enrollees below the first IRMAA bracket pay. It rose from $185.00 in 2025, an increase of $17.90 per month.

For each surcharge tier, the total Part B premium (base plus IRMAA surcharge) is:

The cliff effect is the critical detail. A single filer with MAGI of $109,000 pays $202.90 per month. A filer with MAGI of $109,001 pays $284.10 per month. That $1 difference in income creates an annual Part B premium increase of $974.40. IRMAA surcharges range from $1,148 to $6,936 per year when you combine Part B and Part D surcharge tiers.

Part D IRMAA is a separate surcharge added on top of whatever Part D plan premium you already pay for prescription drug coverage. Whether you have a standalone Part D plan or a Medicare Advantage plan with drug coverage, the IRMAA surcharge sits on top of your plan premium.

IRMAA surcharges for Part D range from $14.50 to $91.00 depending on income tier:

For a high-income couple both enrolled in Medicare at Tier 6, combined Part B and Part D premiums reach $780.90 per person per month. That is $18,741.60 per year for the household. 2026 IRMAA surcharges can add thousands of dollars to annual healthcare costs for high-income beneficiaries, and many of those Medicare beneficiaries do not see it coming until the bill arrives.

Your tax filing status controls which IRMAA income thresholds apply to you. Married filing jointly thresholds are roughly double the single thresholds ($218,000 vs. $109,000 for the first IRMAA bracket). Head of household and qualifying surviving spouse follow the single filer thresholds.

Married filing separately faces harsher IRMAA brackets starting at $109,000. If you lived with your spouse during the year and file separately with MAGI above $109,000, you jump directly into high surcharge tiers. Most married couples will pay less IRMAA filing jointly unless there is a specific legal or financial reason to file separately.

There is also what advisors call the "widow/widower IRMAA trap." When a spouse dies, the surviving spouse files jointly for the year of death, then switches to single filing the following year. The single filer threshold is half the joint threshold. Household income may not drop by half, but the threshold does. A surviving spouse can suddenly face higher IRMAA premiums even if current income has not changed.

Couples navigating this should discuss filing jointly vs. married filing separately with a tax professional and an advisor who understands how IRMAA and tax brackets interact.

IRMAA uses a two-year MAGI lookback for premium calculations. Your 2026 IRMAA determination is based on the adjusted gross income MAGI reported on your 2024 tax return, filed in 2025.

MAGI for IRMAA purposes is your adjusted gross income plus tax-exempt interest income. That is AGI from IRS Form 1040 line 11, plus tax-exempt interest from line 2a. Key income sources that count toward MAGI include:

• IRA and 401(k) withdrawals

• Pension income and Social Security benefits (taxable portion)

• Capital gains and dividends

• Roth conversion amounts

• Rental income

• Tax-exempt interest (municipal bond interest counts here)

The Social Security Administration receives your tax data from the Internal Revenue Service, runs it against the income thresholds, and sends you an IRMAA determination letter. IRMAA is recalculated every year, so your premium levels can go up or down as income changes. That makes ongoing planning essential; a clean year in 2024 does not guarantee a clean year in 2025.

Surcharges are not marginal. Crossing an IRMAA threshold by even $1 incurs the full surcharge for that entire tier for the full year. Unlike income tax brackets, there is no gradual ramp.

Here is what that looks like in practice: a single filer with 2024 MAGI of $108,500 pays the standard Part B premium of $202.90 per month and zero Part D surcharge. If that person sells stock and realizes $5,000 in capital gains, pushing MAGI to $109,100, their 2026 Part B premium jumps to $284.10 and Part D adds $14.50 per month. That is $95.70 per month in extra Medicare costs, or about $1,148 per year, from a gain that was barely $5,000 before taxes.

IRMAA surcharges can increase by $1,162 to $3,473 per year depending on which tier you cross. IRMAA applies per person, doubling costs for married couples both enrolled in Medicare. A couple that crosses from Tier 1 to Tier 2 together pays roughly $2,300 more per year in combined premiums.

The concept of "IRMAA room" is useful. It is the gap between your current MAGI and the next threshold. Revolutionary Wealth models these cliff effects in multi-year projections so clients can see exactly how a Roth conversion, asset sale, or required minimum distribution affects future Medicare premiums.

This section covers concrete strategies for managing MAGI and IRMAA premiums. Income timing can help manage IRMAA surcharges effectively, but only if you plan ahead.

Withdrawal timing. Spreading IRA and 401(k) withdrawals across multiple years, rather than taking a lump sum, can keep household income below a bracket boundary. Coordinating pension start dates with other income sources matters here, too.

Capital gains management. Realized capital gains count toward MAGI. Selling appreciated stock or real estate in a year when other income is low keeps MAGI flatter. Tax-loss harvesting in brokerage accounts can offset gains.

Qualified Charitable Distributions** (QCDs).** If you are 70½ or older, directing IRA distributions to charity via a QCD satisfies required minimum distributions without adding to MAGI. The money goes straight to the charity and never hits your tax return as taxable income.

Roth conversion sizing. Converting enough traditional IRA dollars to fill the gap between current income and the next IRMAA threshold, and stopping there. The conversion raises MAGI in the conversion year, but the resulting Roth balance produces tax-free withdrawals later.

These tactics fit together as a system. Revolutionary Wealth coordinates them across tax planning and retirement income planning to avoid solving one problem while creating another.

The SECURE Act 2.0 pushed required minimum distributions to age 73 (and eventually 75). That delay sounds like a gift, but it also means larger traditional IRA balances at RMD age, which force larger taxable withdrawals that push MAGI higher and trigger IRMAA.

Converting to Roth IRAs before age 63 can reduce future IRMAA. The logic: convert portions of a traditional IRA in your late 50s and early 60s, pay the income tax at current rates, and shrink the balance that will generate required minimum distributions later. Roth withdrawals do not count toward future IRMAA calculations, so the money comes out clean.

The tradeoff is real. Roth conversions increase MAGI in the conversion year, which affects IRMAA two years later. A large Roth conversion can trigger higher IRMAA two years later. Converting before age 63 can minimize future IRMAA surcharges because those conversion years fall before Medicare enrollment at 65, so the two-year lookback hits years when you are not yet paying Medicare premiums.

The two-year lookback creates planning opportunities for Roth conversions. A multi-year Roth conversion ladder fills available room in each tax and IRMAA bracket without triggering avoidable surcharges. For example, if your MAGI is $90,000 and the first IRMAA threshold is $109,000, you could convert up to $19,000 in a given year without crossing the bracket. Do that for several years, and the cumulative reduction in future RMDs is substantial.

For a deeper look at how Roth conversions interact with MAGI and IRMAA risk, Revolutionary Wealth has written separately on that topic. For help with IRA and 401(k) planning or investment management, those service pages outline how we approach this.

If your current income is lower than the 2024 tax return that triggered your IRMAA surcharge, you can appeal IRMAA through the Social Security Administration. A qualifying life event can reset the lookback for IRMAA.

Qualifying events include retirement, divorce, or death of a spouse. The full list also covers reduction in work hours, loss of income-producing property, loss of pension income, and certain employer settlement payment situations.

The process uses Form SSA-44, which is the form used for IRMAA appeals. You report the life changing event, estimate your current income, and attach supporting documents (retirement letter, death certificate, divorce decree). Social Security requires documentation for the appeal process. The appeal can adjust IRMAA based on current income rather than the two-year-old tax return. You can submit the appeal request anytime during the year.

One limitation: a one-time income spike (like capital gains from a home sale) generally does not count as a qualifying life changing event. If your income exceeds the threshold because of a stock sale and your ongoing retirement income is lower, you are still stuck with the higher premium for that year unless another qualifying event applies.

Revolutionary Wealth helps clients evaluate whether an appeal is likely to succeed and how to synchronize it with broader retirement and tax planning.

IRMAA should not be planned for in isolation. It connects directly to Social Security timing, tax brackets, required minimum distributions, portfolio withdrawals, and estate goals.

Revolutionary Wealth builds multi-year cash flow and tax projections that include estimated IRMAA premiums, Social Security benefits, and out of pocket costs in real-dollar terms. Different withdrawal sequences (taxable accounts first vs. IRAs vs. Roth) change MAGI and IRMAA outcomes over a 20 to 30 year retirement horizon. The right sequence depends on your tax return, your account balances, your age, and what Medicare pays vs. what you pay.

Business owners and high-income professionals face especially complex IRMAA planning. Fluctuating income, stock sales, and business exit events can push MAGI into high IRMAA tiers in unpredictable years. Building a retirement income plan that accounts for these variables is the difference between paying the standard premium and paying thousands more.

Book a discovery call with Revolutionary Wealth to see how this level of planning applies to your situation.

Ages 55 to 63: This is the window for Roth conversions before Medicare enrollment. Income in these years does not affect Medicare premiums unless you are already enrolled. Focus on reducing traditional IRA balances, structuring investment accounts for flexible withdrawals, and locking in lower future taxes.

Ages 63 to 65: Income in these years sets your initial Medicare premiums at 65 and 66 due to the two-year lookback. A bonus, stock sale, or large IRA distribution at age 63 directly raises your Part B premium at age 65. These are the years that demand the closest MAGI management.

Age 65 and beyond: Annual IRMAA checkups become part of the routine. Coordinate required minimum distributions, capital gains, and charitable strategies with the IRMAA thresholds. Watch for changes in filing status (widowhood, divorce) that shift your threshold downward.

Starting early with a firm like Revolutionary Wealth can save tens of thousands of dollars in lifetime Medicare premiums and taxes. The math is not theoretical; it is arithmetic.

Revolutionary Wealth is an independent financial advisory firm that focuses on tax-efficient retirement income planning for pre-retirees, retirees, and high-income business owners.

Core services relevant to IRMAA planning:

• Tax planning to project and reduce MAGI across multiple years

• Retirement income planning to sequence withdrawals and Social Security benefits

• Investment management to control capital gains and tax-efficient positioning

• IRA and 401(k) planning to size Roth conversions and manage required minimum distributions

The firm works regularly with individuals aged 59 to 67, including single, divorced, or widowed women who want clarity around IRMAA, Medicare costs, and retirement decisions. A licensed insurance agent on the team can also address Medicare Advantage and Part D plan premium questions alongside the broader financial plan.

The dollars you do not plan for are the dollars Medicare takes. Schedule a conversation with Revolutionary Wealth to review your 2024 income and map out a plan before your 2026 IRMAA premiums are locked in.