What Is an IRMAA in Medicare?

When you turn 65 years old, you have the opportunity to put the taxes that you have paid throughout your career to work for you by enrolling in Medicare.

Regardless of your income level at age 65, the Medicare program uses tax proceeds that you and your peers paid over the years to reduce your out-of-pocket costs for healthcare coverage.

Some people with limited income may get an even bigger reduction. Some people with significant income may be asked to pay a little more.

That’s where IRMAA enters the equation.

Short for income-related monthly adjustment amount, IRMAA is the amount you might be asked to pay in addition to Medicare’s standard premiums for your coverage. The numbers can change every year, but as of 2025, you are required to pay Medicare IRMAA:

• If you file taxes individually and your annual income is more than $106,000

or

• If you file taxes jointly with your spouse and your annual household income is more than $212,000

The Centers for Medicare & Medicaid Services (CMS) estimates that about 8 percent of people on Medicare must pay IRMAA. If you are in that category, you could benefit from knowing the details of the program and whether you can avoid any extra expenses.