Your 2023 Medicare Premium May Be Affected by Your 2021 Income Tax Return - Yahoo!
Since we’re right in the middle of income tax season, this article is timely because it explains how your income reported on this year’s tax filing (for the year 2021) may very well affect your Medicare premium next year. In the fall of each year, Medicare looks at your combined income from all sources, as shown on your most recent income tax return, to determine what your Medicare Part B (for outpatient services) and Part D (for prescription drug coverage) premium will be for next year. Depending on your tax filing status (single or married/jointly), if you exceed certain thresholds you will pay a higher Medicare premium. This is known as “IRMAA” (Income-Related Medicare Adjustment Amount). If you’re a single filer and your income from all sources is more than $91,000, or if you file as “married/jointly” and your combined income is more than $182,000, then you’ll pay a higher Medicare premium next year. This Yahoo! article by David Nadelle is primarily about income taxes, but emphasizes that the income you report this year may affect your Medicare premium next year. Click here to read more.