Medicare Part D

IRMAA & Medicare costs for Conway, Ark. in 2027

Conway, Ark. — As Medicare's Annual Enrollment Period runs through Dec. 7, higher-income retirees in Faulkner County are getting a closer look at a part of Medicare that often catches people off guard: the income-related surcharges on Part B and Part D.

These extra charges, known as IRMAA (Income-Related Monthly Adjustment Amount), aren't new. But with the 2027 Part D changes ahead and CMS set to publish the 2027 income thresholds later this fall, this is a good moment to understand how your tax return from two years ago can quietly raise your monthly Medicare bill.

What IRMAA is, in plain terms

Most people pay the standard Part B premium and whatever their Part D plan charges. But if your income is above a certain level, Medicare adds a surcharge on top of both. That surcharge is IRMAA.

Two important things to know:

• IRMAA is based on your modified adjusted gross income (MAGI) from your tax return two years ago. For 2027, that means your 2025 return.
• It applies to both Part B and Part D — even if you get your drug coverage through a Medicare Advantage plan that includes drugs.

Social Security notifies you by mail if IRMAA applies. The Part B portion is usually taken out of your Social Security check. The Part D portion is billed separately, even if your plan premium itself is paid another way.

The IRMAA income thresholds

For 2026, IRMAA kicks in above $109,000 for a single filer and $218,000 for a married couple filing jointly. Income above those levels moves you into higher tiers, and each tier adds a larger surcharge to both Part B and Part D.

There are five IRMAA tiers in all, with the top tier reserved for the highest incomes (roughly $500,000+ single, $750,000+ joint). The exact dollar amounts of the standard Part B premium and each surcharge tier are posted at medicare.gov, which is the authoritative source as figures are confirmed each year.

If your income sits just below a threshold, even a modest bump — a Roth conversion, a capital gain, a large IRA withdrawal — can push you into the next tier for a full year.

Why 2027 matters more than usual

Part D is going through its biggest overhaul in years, and that changes the stakes of the Part D IRMAA surcharge:

• The Part D out-of-pocket cap on covered prescriptions is $2,100 in 2026 and $2,400 in 2027.
• The maximum Part D deductible is $615 for 2026 and $700 for 2027.
• The old "donut hole" coverage gap is gone, replaced by a simpler three-phase design.
• The Medicare Prescription Payment Plan lets you spread your drug costs across the year in monthly installments instead of paying large amounts at the pharmacy counter.

For higher-income enrollees, the Part D IRMAA is added to whatever their drug plan already charges. So the surcharge is worth planning around, especially if you're comparing coverage during Open Enrollment.

What you can do if your income has dropped

Because IRMAA looks back two years, it can feel unfair when your current income is much lower — say, after retirement, the death of a spouse, or a business closing.

Social Security allows you to request a reconsideration if you've had a life-changing event, including:

• Marriage, divorce, or death of a spouse
• You or your spouse stopped working or reduced hours
• Loss of income-producing property
• Loss of pension income
• An employer settlement payment

You do this by filing Form SSA-44 with Social Security and providing documentation. If approved, your surcharge is recalculated using your more recent income. This is one of the most useful — and most overlooked — tools available to newly retired enrollees.

Conway-area context

Conway is in Faulkner County, where Medicare beneficiaries choose among Original Medicare, a range of Medicare Advantage plans, and stand-alone Part D drug plans during Annual Enrollment (Oct. 15 – Dec. 7). Availability is set at the county level, so two neighbors on the same street generally see the same plan options.

IRMAA works the same way in every ZIP code — it's a federal calculation, not a local one — but the choice you make during AEP affects which Part D premium the surcharge is added to.

A quick FAQ

Does IRMAA apply if I have a Medicare Advantage plan with drug coverage? Yes. The Part D surcharge still applies, even though your drug coverage is bundled into the Advantage plan.

Will IRMAA go away on its own if my income falls? Eventually, yes — once your lower income shows up on the tax return Medicare uses (two years later). If the drop was caused by a life-changing event, don't wait; file Form SSA-44.

Is the surcharge based on gross income or taxable income? Neither exactly. It's based on MAGI, which is your adjusted gross income plus tax-exempt interest. Municipal bond income counts here even though it's not taxed federally.

Can I appeal an IRMAA decision I disagree with? Yes. Social Security handles IRMAA appeals. You can request a reconsideration in writing, and if a qualifying life event applies, use Form SSA-44.

Where to get answers you can trust

For the confirmed 2027 Part B premium and IRMAA tiers — which CMS typically announces in November — and the current income brackets, go straight to medicare.gov. For questions about your own situation, call 1-800-MEDICARE (1-800-633-4227), TTY 1-877-486-2048.

Arkansas residents can also get free, unbiased help from the state's SHIIP program (Senior Health Insurance Information Program), part of the national SHIP network. Counselors don't sell plans and can walk you through how IRMAA, Part D changes, and enrollment deadlines apply to your specific numbers.