--- title: High Income at 65? Why Your Medicare Premium May Cost More Than You Think description: Part B premiums are typically standard, but you may be eligible for income-related monthly adjustment amount (IRMAA) surcharges. authors: - name: Marc Guberti url: https://money.com/author/marc-guberti/ bio: Marc Guberti is a personal finance writer who hosts Breakthrough Success, a podcast where he teaches listeners how to grow their businesses and achieve personal transformations. at_money_since: 2024 articles: 455 covers: - Retirement - Banking - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Professional Services - Shopping - Taxes published: '2026-11-02T16:00:11.000Z' section: Retirement word_count: 468 canonical: https://money.com/high-income-medicare-premiums-irmaa/ type: Article source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Close-up of American Dollar banknotes with stethoscope](https://img.money.com/2026/10/Explainer-High-Income-Social-Security.jpg) When you turn 65, you can sign up for Medicare. But high earners in particular need to make sure they understand how much their premiums will cost so they’re not caught by surprise. Part B premiums are typically standard. But Medicare also uses a two-year lookback to determine if you are eligible for income-related monthly adjustment amount (IRMAA) surcharges. That means your highest-earning work year may briefly influence your premiums when you retire. ## What is IRMAA? The IRMAA adds a surcharge to Part B and Part D premiums if your modified adjusted gross income reaches a certain threshold. For a single filer in 2026, they kick in if your modified adjusted gross income (MAGI) exceeds $109,000. For a married couple filing jointly, the figure is $218,000 MAGI. Lower- and middle-income individuals typically do not encounter IRMAA fees. Keep in mind that Part B premiums have higher surcharges than Part D premiums. ## The IRMAA thresholds Although the MAGI thresholds for single and married couples filing jointly are $109,000 and $218,000 this year, those figures will go up in 2027. The projected figures are $112,000 for single filers and $224,000 for married couples filing jointly for 2027, but the MAGI is based on 2025 income. ## What to know about the two-year lookback The thresholds describe what your income had to be two years ago to avoid IRMAA surcharges. If you retire at 65 but still have a high-earning job at 63, you may be subject to IRMAA, even if your income has dropped significantly in retirement. It can catch people by surprise during the first two years of retirement since their full-time job salary is used in the calculation while their income sources are more limited. However, it smooths out more favorably deeper into your retirement years. A Roth conversion at 63 can also influence your IRMAA fee since all of the money converted into a Roth will count as ordinary income for that tax year. ## How to appeal and plan ahead The two-year lookback period catches people by surprise, but there are ways you can appeal. You can file Form SSA-44 if you have had a life-changing event that may make it difficult to keep up with IRMAA costs. Retirement, reduced work hours, divorce and the death of a spouse are some of the life-changing events that may qualify for an appeal. The entire appeal process can take 30 to 90 days. Planning in advance can keep your Medicare costs low. If you are still a few years away from retiring, it may be a good idea to plan ahead when it comes to receiving a large income. Roth conversions, a home sale and other major events can significantly increase your income on paper, resulting in a higher IRMAA surcharge if those events occurred within the two-year lookback window. ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/high-income-medicare-premiums-irmaa/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Retirement", "item": "https://money.com/retirement/" }, { "@type": "ListItem", "position": 3, "name": "Medicare", "item": "https://money.com/medicare/" }, { "@type": "ListItem", "position": 4, "name": "High Income at 65? 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