IF you are a Social Security applicant who has lost income, you may be entitled to reduced Medicare payments.
This can be helpful because income-related changes can lead to higher monthly premiums for some Medicare beneficiaries.
Those who make more money may be subject to fees ranging from $59.40 to $356.40, according to the Social Security Administration (SSA).
But thanks to the means-tested adjustment amounts (IRMAA), some can appeal against these allowances. Below we explain how.
How to Lower Medicare Payments?
Each year, the Social Security Administration establishes IRMAA, taking into account the most recent tax return available.
However, for some, this may be from two years ago, when income was significantly higher, especially if they were not yet claiming Social Security benefits.
For individuals, IRMAAs come into effect with gross income over $88,000.
For couples filing jointly, the amount changes to $176,000.
In essence, the higher the income, the higher the allowance.
To appeal the high allowances, an SSA-44 form must be completed, asking the Social Security Administration to reconfigure the monthly allowance.
Proof of current lower income is required along with the form.
This could be recent pay stubs or even a letter from your last employer with proof of retirement.
What is Medicare?
Those age 65 and older are eligible for Medicare, a federal health insurance program.
The Medicare system is made up of multiple parts, including parts A, B, and D.
Part A is hospital insurance, Part B is medical insurance and Part D is for prescription drugs.
There is a law that requires Part B and Part D to have premium adjustments based on income, which is where the aforementioned allowances come from.
But even high-income earners cannot disqualify a person from the Medicare program.
Learn more about Medicare components and programs here.
Read more about the social security changes in January.
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