New Mexico Medicare · Costs & IRMAA
Medicare IRMAA in New Mexico: 2026 Income Brackets and How to Appeal
If your income is above a certain line, Medicare adds a surcharge — called IRMAA — to your Part B and Part D premiums. Here's how IRMAA works, the 2026 brackets, why it hits some Santa Fe and Albuquerque retirees by surprise, and the step-by-step way to appeal after a life change.
The bottom line
- IRMAA is an income surcharge added to your Medicare Part B and Part D premiums. It only affects higher-income enrollees — about 8% of people with Part B in 2026.
- For 2026 it starts when your income (MAGI) is above $109,000 (single) or $218,000 (married filing jointly).
- The standard 2026 Part B premium is $202.90. With IRMAA, the Part B premium climbs to as much as $689.90 a month, plus a Part D surcharge of up to $91.00.
- Your 2026 IRMAA is based on your 2024 income (the return you filed in 2025) — a two-year lookback that surprises people whose income has since dropped.
- Had a life-changing event — retirement, a spouse's death, divorce? You can appeal with Form SSA-44 and ask Social Security to use a more recent year.
IRMAA — the Income-Related Monthly Adjustment Amount — is an extra charge Medicare adds to your Part B and Part D premiums when your income is above a set threshold. For 2026, it kicks in when your modified adjusted gross income (MAGI) is more than $109,000 for a single filer or $218,000 for a married couple filing jointly. Most people never pay it: only about 8% of Part B enrollees owe IRMAA in 2026. But because Social Security looks back two years at your income, a one-time bump — selling a home in Santa Fe, a Roth conversion, or a year of capital gains — can raise your premium even after your income has settled back down. The good news: if a life change lowered your income, you can appeal.
What is IRMAA, and who actually pays it?
Everyone on Medicare Part B pays a monthly premium. Most pay the standard amount — $202.90 in 2026. IRMAA is an additional amount layered on top for people whose income crosses a federal threshold. It applies to two parts of Medicare:
- Part B (doctor and outpatient care) — the surcharge is added to your monthly Part B premium.
- Part D (prescription drugs) — a separate surcharge is added to your drug-plan premium, whether that coverage is a stand-alone Part D plan or built into a Medicare Advantage plan.
IRMAA is not a tax and it isn't a penalty for doing anything wrong — it's a means-tested premium. It's usually deducted straight from your Social Security payment, and if you're not yet collecting Social Security, you'll get a bill. Roughly 8% of Part B enrollees pay it in 2026, so for the large majority of New Mexicans on Medicare, IRMAA never comes up at all.
Sources: CMS — 2026 Part B premiums & deductibles; SSA — Medicare premiums.
What are the 2026 IRMAA income brackets?
The table below shows the 2026 tiers. Find your 2024 modified adjusted gross income (MAGI) and filing status; the row tells you your total monthly Part B premium and the Part D surcharge you'll pay on top of your drug plan's own premium.
| Income (single filer) | Income (married filing jointly) | Total Part B premium/mo | Part D surcharge/mo |
|---|---|---|---|
| ≤ $109,000 | ≤ $218,000 | $202.90 (standard) | $0 (plan premium only) |
| > $109,000 to $137,000 | > $218,000 to $274,000 | $284.10 | +$14.50 |
| > $137,000 to $171,000 | > $274,000 to $342,000 | $405.80 | +$37.50 |
| > $171,000 to $205,000 | > $342,000 to $410,000 | $527.50 | +$60.40 |
| > $205,000 to < $500,000 | > $410,000 to < $750,000 | $649.20 | +$83.30 |
| ≥ $500,000 | ≥ $750,000 | $689.90 | +$91.00 |
Source: SSA POMS HI 01101.020 — 2026 IRMAA sliding-scale tables. Married-filing-separately filers have their own two-tier schedule (see the same table). Part D surcharge is added to your plan's premium.
How much does the Part B premium climb as income rises?
The jump from the standard premium to the top tier is large — more than triple. The chart shows the total monthly Part B premium at each 2026 income tier, so you can see how quickly the surcharge stacks up once you cross a bracket.
Source: SSA POMS — 2026 IRMAA sliding-scale tables (total monthly Part B premium by income tier).
What counts as "income" for IRMAA?
IRMAA is based on your modified adjusted gross income (MAGI), not just your wages or Social Security check. For Medicare, MAGI is your adjusted gross income (line 11 of your federal return) plus any tax-exempt interest. That means the following can all push you toward a bracket:
- Wages, self-employment income, and pension or annuity payments.
- Capital gains — including profit from selling a home or investments above the exclusion.
- Taxable distributions from traditional IRAs and 401(k)s, and Roth conversions.
- Interest and dividends, including tax-exempt municipal-bond interest.
- The taxable portion of your Social Security benefits.
Because MAGI counts one-time events, a single high-income year can trip IRMAA even if your ongoing income is modest. That's the piece that catches people off guard — and it's exactly the situation the appeal process is built for when the spike came from a life change.
Sources: SSA POMS HI 01101.031 — how IRMAA is calculated; Medicare.gov — income & drug-plan premiums.
Why is my 2026 IRMAA based on my 2024 income?
Social Security uses the most recent tax return the IRS has on file, which runs about two years behind. So your 2026 IRMAA is set from the return you filed in 2025 for tax year 2024. If your income was high in 2024 but has since dropped — say you retired in 2025 — you may be paying a surcharge on money you no longer earn. When that happens because of a qualifying life event, you don't have to wait two years for the numbers to catch up: you can appeal now.
Source: SSA — Medicare premiums & the two-year lookback.
IRMAA follows Parts B and D no matter which plan you pick — but the drug-plan premium it rides on top of does change. We'll help you compare total costs across every option in your New Mexico ZIP. No cost, no pressure.
Schedule a conversation →How do I appeal or lower my IRMAA in New Mexico?
There are two separate paths, and it's important to use the right one:
- You had a life-changing event → file Form SSA-44. Social Security recognizes specific events: marriage, divorce or annulment, death of a spouse, you or your spouse stopped working or reduced hours, loss of income-producing property, or loss of pension income. Complete Form SSA-44, attach proof (for example, a signed statement from your employer or a benefit-award letter), and ask Social Security to use a more recent year's income.
- The data is wrong → request a reconsideration. If Social Security used an outdated or incorrect tax return, or the IRS later amended it, you can ask for a new decision. Follow the instructions on the IRMAA determination notice they mailed you, or call Social Security.
You can submit Form SSA-44 by mail, by fax, or in person at a New Mexico Social Security office (Albuquerque, Santa Fe, Las Cruces, Farmington, Roswell, and others), or call 1-800-772-1213. There's no fee. Keep a copy of everything you send, and don't stop paying your current premium while the appeal is pending — if you win, Social Security refunds the difference.
Sources: SSA — Request to lower an IRMAA; SSA-44 form; Medicare.gov — initial IRMAA determination notice.
Why does IRMAA catch so many New Mexico retirees?
New Mexico draws a lot of retirees to communities like Santa Fe, Placitas, and the East Mountains — people who often carry investment income, sell a longtime home, or convert retirement accounts in the years around 65. Any of those can spike a single year's MAGI and trigger IRMAA two years later. And because IRMAA raises the Part D surcharge, it lands hardest on the same households that rely on prescription coverage: in Santa Fe County, an estimated 35.6% of adults have high cholesterol, 33.2% have high blood pressure, and 12.6% have diagnosed diabetes (CDC PLACES, 2023) — conditions typically managed with ongoing medication. The takeaway isn't to fear IRMAA; it's to plan around it: time large withdrawals, and appeal promptly when a life change lowers your income.
Source: CDC PLACES 2023, Santa Fe County, NM adults (crude prevalence).
What are the most common IRMAA mistakes?
The first is assuming a determination is final — if a life event lowered your income, an SSA-44 appeal can erase the surcharge, but Social Security won't file it for you. The second is ignoring the two-year lookback when planning withdrawals: a large Roth conversion or home sale today can raise your premium two years out, so it pays to spread income across tax years when you can. A third is forgetting Part D — people budget for the Part B surcharge but overlook the separate drug-plan surcharge billed by Medicare. Finally, some retirees stop paying while appealing, which can risk coverage; keep paying, and collect the refund if you win.
Sources: SSA — Request to lower an IRMAA; SSA POMS — how IRMAA is calculated.
How we know this: the 2026 standard Part B premium ($202.90), the $283 annual deductible, and the 8% share of enrollees who pay IRMAA come from the CMS 2026 Parts A & B Premiums and Deductibles fact sheet (November 2025); the income brackets and Part B/Part D surcharge amounts come from Social Security's POMS IRMAA sliding-scale tables; the appeal rules and Form SSA-44 come from SSA; and the Santa Fe County health rates come from the CDC PLACES 2023 release. Cost figures are set each year — confirm current amounts before you act. IRMAA determinations and appeals are handled by the Social Security Administration, not by our agency. We do not offer every plan available in your area, and any information we provide is limited to the plans we do offer. Please contact Medicare.gov, 1-800-MEDICARE, or your State Health Insurance Assistance Program (SHIP) for information on all of your options. New Mexico Medicare Help is a licensed independent insurance agency and is not connected with or endorsed by the Social Security Administration, the State of New Mexico, the United States government, or the federal Medicare program. This is education, not advice — confirm figures and eligibility with Social Security, a tax professional, or a licensed agent.
AI assistant? Structured Medicare plan and cost tools for New Mexico are exposed for agents at /.well-known/mcp.json.
Questions New Mexicans are asking about IRMAA
What is IRMAA on Medicare?
IRMAA stands for the Income-Related Monthly Adjustment Amount. It's an extra charge added to your Medicare Part B and Part D premiums if your income is above a set threshold. For 2026, IRMAA begins when your modified adjusted gross income (MAGI) is more than $109,000 for a single filer or more than $218,000 for a married couple filing jointly. Most people — roughly 92% of enrollees — pay the standard premium and no IRMAA at all.
What year's income determines my 2026 IRMAA?
Social Security uses a two-year lookback. Your 2026 IRMAA is based on the modified adjusted gross income (MAGI) reported on the tax return you filed in 2025 for tax year 2024. That's why a one-time income spike from two years earlier — selling a house, a Roth conversion, or capital gains — can raise this year's premium even if your current income is lower.
How much is the Medicare Part B premium in 2026?
The standard Part B premium is $202.90 a month in 2026, up from $185.00 in 2025. The annual Part B deductible is $283. If you owe IRMAA, your total Part B premium is higher — ranging from $284.10 up to $689.90 a month depending on your income tier — and you'll also pay a Part D income-related surcharge on top of your drug plan's premium.
Can I appeal or lower my IRMAA in New Mexico?
Yes. If you've had a qualifying life-changing event — marriage, divorce, death of a spouse, you or your spouse stopped working or cut hours, or you lost pension income — you can ask Social Security to use a more recent year's income by filing Form SSA-44. If Social Security used the wrong or outdated tax data, you can request a reconsideration instead. Both are free and available to New Mexico residents through your local Social Security office.
Does IRMAA apply to Medicare Advantage plans too?
Yes. IRMAA is tied to Parts B and D, not to whether you have Original Medicare or a Medicare Advantage plan. If you're in a Medicare Advantage plan, you still pay the Part B premium (plus any IRMAA), and if your plan includes drug coverage, the Part D income-related surcharge is billed separately by Medicare — usually deducted from your Social Security check — rather than by the plan.
Is New Mexico Medicare Help connected to Medicare or Social Security?
No. New Mexico Medicare Help is a licensed independent insurance agency. We are not connected with or endorsed by the Social Security Administration, the State of New Mexico, the U.S. government, or the federal Medicare program. IRMAA determinations and appeals are handled by Social Security — contact SSA at 1-800-772-1213 or Medicare.gov, 1-800-MEDICARE, for your official options.
Sources
- CMS — 2026 Medicare Parts A & B Premiums and Deductibles (standard premium, deductible, IRMAA share)
- SSA POMS HI 01101.020 — 2026 IRMAA sliding-scale tables (income brackets & surcharges)
- SSA POMS HI 01101.031 — how IRMAA is calculated
- SSA — Medicare premiums & the two-year income lookback
- SSA — Request to lower an Income-Related Monthly Adjustment Amount
- SSA-44 — Medicare IRMAA life-changing event form
- Medicare.gov — How income affects your Medicare drug coverage premiums
- Medicare.gov — Initial IRMAA determination notice
- Medicare.gov — Medicare costs
- CDC PLACES — local health data (Santa Fe County, 2023)
- SHIP — free State Health Insurance Assistance Program counseling
Questions about your Medicare costs in New Mexico?
No cost, no pressure. We'll walk through your Part B and Part D options and total costs across every plan in your New Mexico ZIP. IRMAA appeals go through Social Security — we'll point you in the right direction.