With the Bureau of Labor reporting that the Consumer Price Index for Urban Consumers (CPI-U) for August is 314.796 Medicare’s unofficial 2025 IRMAA Thresholds should increase by over 3.00%.
What is Medicare’s IRMAA?
IRMAA is short for Medicare’s Income Related Monthly Adjustment Amount.
The official definition of IRMAA, according to Social Security’s Program Operations Manual system (POMs) is:
“Medicare Beneficiaries in:
- Medicare Part B or
- Medicare Part B and a Medicare Advantage Plan with prescription drug coverage
- Medicare Part B and a Medicare prescription drug plan (Part D), or
- A Medicare prescription drug plan (Part D) and
Who have modified adjusted gross income (MAGI) above the threshold for their tax filing status pay an IRMAA in addition to the monthly premium.”
IRMAA is simply a surcharge or tax on your income through Medicare that is easily avoidable with proper financial planning.
How much income or MAGI do you need to reach IRMAA?
IRMAA is comprised of 5 different income levels that gradually increase in surcharges once the thresholds have been reached and they are:
In 2024 the IRMAA Thresholds are:
| Individual MAGI | Couples MAGI |
| < $103,000 | < $206,000 |
| $103,000 to $129,000 | $206,000 to $258,000 |
| $129,000 to $161,000 | $258,000 to $322,000 |
| $161,000 to $193,000 | $322,000 to $386,000 |
| $193,000 to $500,000 | $386,000 to $750,000 |
| > $500,000 | > $750,000 |
Do the IRMAA Thresholds ever change?
The IRMAA Thresholds, according to federal law, are supposed to change annually.
The change in the Threshold is supposed to reflect any increases in the Consumer Price Index for Urban Consumers(CPI-U) from the previous year.
If the CPI-U increases then the IRMAA Thresholds will increase, but if the CPI-U decreases then the IRMAA Thresholds will remain the same.
According to the Medicare Modernization Act of 2003 (MMA) the IRMAA Thresholds are to adjust annually based on:
“The percentage (if any) by which the average of the Consumer Price Index for all urban consumers (United States city average) for the 12-month period ending with August of the preceding calendar year exceeds such average for the 12-month period ending with August”.
Please note that Congress also specified that “if any dollar amount after being increased is not a multiple of $1,000, such dollar amount shall be rounded to the nearest multiple of $1,000”.
What are the Unofficial 2025 IRMAA Thresholds going to be?
According to the Bureau of Labor, the previous 12-month CPI-U average ending in August (2023) = 301.374 while the current 12-month CPI-U average ending in August (2024) = 310.785.
Ultimately, the CPI-U grew by 3.12% from last year which means the IRMAA Thresholds should increase by that much too.
BUT, remember the rule created by Congress, the IRMAA Thresholds are supposed to be “rounded to the nearest multiple of $1,000”.
The unofficial 2025 IRMAA Thresholds should be:
| Individual MAGI | Couple MAGI |
| < $106,000 | $212,000 |
| $106,000 to $133,000 | $212,000 to $266,000 |
| $133,000 to $166,000 | $266,000 to $332,000 |
| $166,000 to $199,000 | $332,000 to $398,000 |
| $199,000 to $500,000 | $398,000 to $750,000 |
| > $500,000 | > $750,000 |
Conclusion to the unofficial 2025 IRMAA Thresholds:
These unofficial IRMAA Thresholds 2025 are just that unofficial.
If the Centers for Medicare Services (CMS) follows current federal law the IRMAA Thresholds should increase by at least 3.00% (remember rounding).
Keep in mind that between now and the end of the year Congress can pass any type of legislation and simply alter what the Thresholds can be.
