The income-related monthly adjustment amount (IRMAA) is one of the most significant and stealthy retirement taxes, effectively raising the cost of Medicare Part B and Part D premiums for those with higher incomes. Since the penalty is based on your tax return from two years prior, effective IRMAA management requires a proactive, long-term strategy.
The IRMAA is one of the highest costs retirees face and is a crucial part of retirement income planning. IRMAA is an extra charge added to your standard monthly premiums for Medicare Part B medical insurance and Medicare Part D prescription drug coverage.
