Medicare Part D
2026 IRMAA Brackets: When Higher Income Raises Medicare
Jersey City, N.J. — If your income has climbed in the last couple of years, your 2026 Medicare bill could climb with it. The income-related monthly adjustment amount, or IRMAA, is a surcharge added to Part B and Part D premiums for higher earners. For 2026, those extra charges kick in once a single filer's income tops $109,000, or $218,000 for a married couple filing jointly.
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Key takeaways
- For 2026, Medicare's IRMAA surcharge on Part B and Part D premiums starts once income tops $109,000 for a single filer or $218,000 for a married couple filing jointly.
- Social Security bases this surcharge on your most recent tax return on file, which for 2027 typically means your 2025 income, so a one-time income spike can raise your premium two years later.
- If your income has dropped due to a life-changing event, like retirement or losing a job, you can file Form SSA-44 to ask Social Security to recalculate your surcharge.
- The IRMAA surcharge is tied to your income, not to which plan you choose, and it applies on top of other Medicare details like the Part D out-of-pocket cap of $2,100 in 2026 and $2,400 in 2027, and the maximum Part D deductible of $615 in 2026 and $700 in 2027.
Here's what Jersey City readers should know before Annual Enrollment closes on Dec. 7.
What IRMAA Actually Is
IRMAA is not a separate bill or a penalty. It's an add-on to your standard Part B premium and, if you have drug coverage, your Part D premium. Social Security withholds the Part B piece from your monthly benefit, and the Part D piece is billed alongside your drug plan premium.
The surcharge is set by Social Security using your most recent tax return on file with the IRS — for 2027, that's typically your 2025 return. So a one-time bump in income two years ago can follow you into next year's premium.
The 2026 Income Thresholds
IRMAA works in tiers. Once your modified adjusted gross income (MAGI) crosses a threshold, you move up a bracket. CMS publishes the 2027 IRMAA brackets later in the fall, usually in November. The 2026 brackets are shown here for reference:
- More than $109,000 for single filers
- More than $218,000 for married couples filing jointly
- More than $109,000 for married filing separately (with a much steeper jump at higher amounts)
From there, the brackets step up several more times, with the highest surcharges reserved for incomes above roughly $500,000 single / $750,000 joint. The exact 2026 dollar amounts for each tier are published by CMS at Medicare.gov — check there for the current figures before you plan around them.
Why This Matters in Jersey City
Hudson County has a wide mix of retirees — public-sector pensioners, small-business owners, and folks who sold a home in a hot market. Any of those can push MAGI over an IRMAA line for a single year. A Roth conversion, a large capital gain, or an inherited IRA distribution can do the same.
The takeaway isn't to avoid earning income; it's to know the thresholds before you make a big financial move in the tax year that will drive your Medicare premium two years later.
What Counts Toward MAGI
For IRMAA, MAGI is your adjusted gross income plus any tax-exempt interest (think municipal bond interest). That surprises a lot of retirees who assumed tax-free income wouldn't count. It also includes:
- Wages, self-employment income, and pension payments
- Traditional IRA and 401(k) withdrawals
- Capital gains, dividends, and interest
- Social Security benefits that are taxable
Roth withdrawals and HSA distributions used for qualified expenses generally do not count.
If Your Income Has Dropped, You Can Appeal
If you were hit with an IRMAA surcharge but your income has since fallen because of a "life-changing event," you can ask Social Security to recalculate. Qualifying events include:
- Retirement or reduced work hours
- Death of a spouse
- Marriage or divorce
- Loss of pension income
- Loss of income-producing property (not due to a sale)
You file Form SSA-44 with documentation. This is one of the most under-used tools in Medicare — a lot of newly retired people pay a full year of surcharges they could have gotten reduced.
How This Fits Into 2027 Enrollment
Even if IRMAA applies to you, the rest of Medicare's 2027 changes still matter: the $2,400 out-of-pocket cap on Part D drug costs in 2027 (up from $2,100 in 2026), the $700 maximum Part D deductible in 2027 (up from $615 in 2026), and the ongoing option to spread drug costs across the year through the Medicare Prescription Payment Plan. Annual Enrollment runs Oct. 15 through Dec. 7, and Medicare Advantage Open Enrollment follows from Jan. 1 through March 31.
Jersey City is in Hudson County, where a range of stand-alone Part D and Medicare Advantage plans are offered each year. Your IRMAA surcharge is the same regardless of which plan you pick — it's tied to your income, not your plan choice.
By the numbers
Medicare Part B premium, 2006–2026
The standard monthly Part B premium has climbed from $88.50 in 2006 to $202.90 in 2026. Hover any point for that year’s premium.
Source: CMS. Standard premium shown; in some hold-harmless years many existing enrollees paid less. Confirm at Medicare.gov.
By the numbers
How people get Medicare in Hudson County
(MA penetration in Hudson County)
MA penetration from CMS enrollment data; Medigap share is an estimate. U.S. average is about 54% Medicare Advantage. These are area-level figures, not plan-specific.
Higher-income surcharges
2026 IRMAA income brackets
If your income is above a threshold, you pay an income-related surcharge (IRMAA) on top of your Part B and Part D premiums. Your 2027 surcharge is based on your 2025 tax return. CMS publishes the 2027 brackets and surcharge amounts later in the fall, usually in November.
| Income — single filer | Income — married, joint | Part B monthly premium | Part D surcharge |
|---|---|---|---|
| $109,000 or less | $218,000 or less | $202.90 | Plan premium only |
| $109,001 – $137,000 | $218,001 – $274,000 | $284.10 | + $14.50 |
| $137,001 – $171,000 | $274,001 – $342,000 | $405.80 | + $37.40 |
| $171,001 – $205,000 | $342,001 – $410,000 | $527.50 | + $60.40 |
| $205,001 – $500,000 | $410,001 – $750,000 | $649.30 | + $83.30 |
| Above $500,000 | Above $750,000 | $689.90 | + $91.00 |
Standard Part B premium is $202.90/month. Part D surcharges are added to your drug plan’s premium. Married-filing-separately uses a different, compressed schedule. Confirm current amounts at Medicare.gov.
Try it
Find your 2026 Medicare premium
Most people pay the standard Part B premium. If your 2024 income was higher, an income-related surcharge (IRMAA) applies. Enter your details to see your bracket.
Surcharges are added to your premiums and based on your 2024 tax return. Married-filing-separately uses a different schedule. Confirm at Medicare.gov.
Try it
How the 2026 Part D drug cap works
Slide to your estimated yearly prescription costs and see how the new $2,100 out-of-pocket cap protects you. This illustrates the standard Part D benefit; your plan may structure costs differently.
Once your out-of-pocket spending on covered drugs reaches $2,100, you pay nothing more for the rest of 2026. Confirm details at Medicare.gov.
Good to know
Frequently asked questions
Do I pay IRMAA if I only have Part B, not Part D?
Will my IRMAA go away if my income drops next year?
Does selling my house trigger IRMAA?
- CMS — Medicare costs & IRMAA (medicare.gov)
For personalized answers, contact Medicare.gov, 1-800-MEDICARE, or your local SHIP.