Medicare Costs in 2025: Income-Related Monthly Adjustment Amount (IRMAA) Tiers and Additional Payments for Parts B and D
In 2026, Medicare enrollees with higher income can expect to pay significantly increased Part B and Part D premiums. This is primarily due to standard premium hikes and stepped Income-Related Monthly Adjustment Amount (IRMAA) surcharges based on their Modified Adjusted Gross Income (MAGI) from 2024.
The IRMAA surcharge applies to Medicare enrollees with a MAGI of over $107,000 for single tax filers, $214,000 for joint filers, and $107,000 for married individuals filing separately in 2026. These thresholds are approximately 1.04% higher than the 2025 brackets.
The base Part B premium for 2026 will rise from $185 in 2025 to $206.50, representing an 11.6% increase. The surcharge for Part D in 2026 ranges from about $13.70 to $85.80 per month, depending on income level.
The IRMAA surcharges are calculated on a sliding scale with five income brackets. For instance, the first bracket has a surcharge of approximately $74 to $100, while the third bracket has surcharges ranging from $250 to $300. The highest surcharges are found in the fourth and fifth brackets, with Part D surcharges reaching as high as $85.80.
Total premiums for high-income beneficiaries combine the base premium plus IRMAA surcharges, which can significantly increase monthly costs. It's important to note that the IRMAA is a "cliff" surcharge, meaning if your MAGI exceeds the threshold by as little as a dollar, you will have to pay higher premiums.
Public sector retirees who received a raise might be concerned about the increase in benefits from the Social Security Fairness Act potentially triggering the IRMAA in 2026 or 2027. However, the Social Security Administration hasn't released any information about when the increases will be paid or when the IRMAA impact will be determined.
If Social Security determines that you should pay an IRMAA, they will mail you a notice called an initial determination, which includes information on how to request a new initial determination. If your request for a redetermination is denied, you can appeal the decision, with three additional levels of appeals available: to the Office of Medicare Hearings and Appeals, to the Medicare Appeals Council, and finally to the federal district court where you live.
Distributions from Roth accounts do not count toward your MAGI, which can help avoid the IRMAA. It's also worth noting that the IRMAA calculations have a two-year lag time, meaning the 2025 IRMAA brackets are based on your MAGI from 2023.
All Medicare bills are due on the 25th of the month, and premiums can be paid online through your secure Medicare account, by mail, or using your bank's online bill payment service.
CMS will officially publish finalized IRMAA brackets and exact surcharges for 2026 in fall 2025, but the above reflects current projections and prior year indexing patterns.
[1]: The exact MAGI brackets are indexed approximately 1.04% higher than 2025 brackets, so the single filer threshold of $106,000 for 2025 becomes about $107,000 in 2026. [2]: The Part B standard premium increase from $185 in 2025 to $206.50 in 2026 represents an 11.6% rise. [3]: The surcharge for Part D in 2026 ranges from about $13.70 to $85.80 per month, depending on income level. [4]: Total premiums for high-income beneficiaries combine the base premium plus IRMAA surcharges, which grow with income and can significantly increase monthly costs. [5]: CMS will officially publish finalized IRMAA brackets and exact surcharges for 2026 in fall 2025, but the above reflects current projections and prior year indexing patterns.
- The single filer threshold for Modified Adjusted Gross Income (MAGI) that triggers the Income-Related Monthly Adjustment Amount (IRMAA) surcharge in 2026 is approximately 1.04% higher than the 2025 threshold, making it approximately $107,000.
- The standard premium for Part B will increase from $185 in 2025 to $206.50 in 2026, representing an 11.6% rise.
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