IRMAA Medicare Premium unwelcome surprise

Editor,

Have you heard of the IRMAA Premium? Most people haven’t but if you are a middle-income or even low-income person and withdraw a substantial amount from a retirement account or experience a one-time windfall income which brings your income for that year over $85,000 and are on Medicare, you will be subject to an IRMAA Premium over and above your current Medicare Premium. This could double your Medicare Premium deductible from your Social Security Benefits for an upcoming year.

For example, the 2017 IRMAA Premium is based on your 2015 adjusted gross income on your federal income tax report. If you withdrew enough from your retirement fund to cover some deeded expense in 2015 or you made a planned or unexpected income in 2015 and it raised your income above $85,000 in that year, you are subject to an IRMAA Premium tacked on to your Medicare Premium for 2017. You can appeal this decision; however, it would be more acceptable to be aware of this additional tax/premium in order to avoid experiencing it in the first place.

I received this unwelcome letter from Social Security this past week. Having never heard of this IRMAA Premium, I investigated my options. If I had been aware of this premium, I would have taken a different course in 2015 and withdrawn less retirement funds in order to stay under the $85,000 limit. They say, “ignorance is no excuse for the law,” but with all the new regulations, how can the average person stay on top of it all.

I am appealing my case, but have no option but to pay double my Medicare Premium for 2017 if the appeal is denied. Medicare recipients beware!

Charlotte Faust

Havre