Have you heard of IRMAA – the income related monthly adjustment amount for Medicare premiums if your income is over certain thresholds on prior year tax returns?

You can apply to Social Security to reduce the premium adjustment if you have had an intervening change in your financial circumstances by filing SSA-44. If you are a high-income (individuals who earn more than $87,000 single or $174,000 joint, including tax-exempt income) Medicare beneficiary who is paying a surcharge on your premiums and your income has changed due to a “life-changing event,” you can request a reduction with The Social Security Administration. Life-changing events include:

• A marriage, a divorce or the death of a spouse.
• Stopping or reducing work.
• Loss of an income-producing property for reasons beyond your control.
• A major change in or termination of your employer’s pension plan.
• A financial settlement with an employer (due to a company reorganization or bankruptcy, for example) that inflated your income one year but does not reflect your current financial situation.

Important notes:
– You will be required to provide evidence of the life-changing event in your application, as well as a copy of your most recent income tax return.

-The Social Security Administration uses income reported two years ago to determine beneficiary premiums. So, the income reported on your 2018 tax return is what you will be comparing to show a significant change. READ MORE AT AARP.COM