Right here's how a lot higher-income Medicare beneficiaries pays for protection in 2021

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Medicare beneficiaries paying additional coverage due to higher income should be aware that these monthly supplements will increase for 2021.

With the standard Part B premium (which covers outpatient care) set at $ 148.50 now next year, these so-called earnings-related monthly adjustment amounts (IRMAAs) will be about 8% or 5 million of Medicare's 62.8 million beneficiaries make up you pay between $ 207.90 and $ 504.90 for this coverage. (See table below.)

In 2021, the adjustments will take effect for those with a modified adjusted gross income greater than $ 88,000. For married couples filing a joint tax return, this amount is $ 176,000.

For Part D prescription drug coverage, the additional amounts are between $ 12.30 and $ 77.10 for the same income thresholds. This comes on top of any premium you pay, whether through a standalone plan (the premiums of which vary) or through a benefit plan that usually includes drug coverage.

Higher income beneficiaries have paid more for Part B since 2007 and for Part D since 2011. Generally, your tax return from two years ago will determine if you are subject to the surcharges as it is usually the most recent filing available. So for 2021 it would be your return in 2019 (which was due this year).

If your income has decreased and is not yet on a tax return, you can ask the social security authorities to double-check. Events considered to be justification for reducing or eliminating IRMAAs include marriage, the death of a spouse, divorce, loss of pension, or the fact that you stopped working or cut your hours.

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As long as you meet one of the qualifying reasons, it will be adjusted most of the time, said Elizabeth Gavino, founder of Lewin & Gavino and independent broker and general agent for Medicare plans.

You will also need to provide supporting documents to justify your appeal. Appropriate evidence may be a letter from your previous employer (if you no longer work) or something similar containing information about reduced income.

If your efforts don't work, you can appeal the decision to an administrative judge, although the process may take some time and you would keep paying these surcharges in the meantime.

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