Since the TRAIL prescription drug coverage includes a Medicare Part D benefit, Medicare requires that members of TRAIL whose annual income exceeds $85,000* for an individual or $170,000* for a couple will be subject to an additional premium, called IRMAA (Income-Related Monthly Adjustment Amount). The Social Security Administration will send members whose income is verified by the IRS to exceed these amounts a predetermination letter indicating whether or not IRMAA will apply to the Medicare beneficiary. If applicable, IRMAA applies to both Medicare Parts B and D; therefore, members who pay an additional premium for their Medicare Part B coverage are the same members who will be charged the Medicare Part D IRMAA amount. Specifically, the base premium for Part B is $121.80* – if you pay more than that amount for your Part B coverage, then you will most likely be charged the Part D IRMAA by Social Security. You will receive a quarterly bill in the mail from Social Security for these additional premiums. In order to remain in the Medicare Advantage plan, you must pay these additional premiums. Go to www.medicare.gov for IRMAA premium amounts.
*These amounts are for 2016 and may be different for the 2017 calendar year.