Reply To: Why are my 2021 Medicare premiums based on 2018 MAGI, rather than 2019 MAGI?

Home Fairmark Forum Other Tax Topics Why are my 2021 Medicare premiums based on 2018 MAGI, rather than 2019 MAGI? Reply To: Why are my 2021 Medicare premiums based on 2018 MAGI, rather than 2019 MAGI?

#13951
Kaye Thomas
Moderator

The Social Security Administration says they use the most recent return information they’ve received from the IRS. Normally that’s the return filed in the previous year for the year before that, but for reasons that remain mysterious, it can go back an additional year.

If you paid higher premiums in 2020 based on the 2018 income, you shouldn’t have to do that again in 2021, having filed a return with lower income. They say you can call them to get them to update their records. For more information:

Medicare Premiums: Rules For Higher-Income Beneficiaries