Medicare IRMAA Wipes Out 2.8% 2026 COLA for Retirees After $140,000 MAGI Spike

3 articles · Updated · 24/7 Wall St. · Jun 4

$140,000 of 2024 MAGI can push a single retiree into IRMAA’s third tier in 2026, lifting Medicare costs by about $240 a month and turning a Social Security raise into a smaller net check.
A 2.8% COLA adds roughly $117 a month to a $4,200 benefit, but the 2026 Part B premium jumps from $202.90 to $405.80 in that tier and Part D adds $37.50, more than offsetting the increase.
The hit comes from Medicare’s two-year lookback: one-time Roth conversions, stock sales or oversized RMDs in 2024 set 2026 premiums, with surcharges applying for the full year once income crosses a threshold.
Frozen IRMAA thresholds near $109,000 and April 2026 inflation of 3.8% mean more retirees are being pulled over the line, even as the COLA already trails rising grocery and energy costs.
Planning moves such as spreading conversions across years, using SSA-44 after qualifying life-changing events, and making qualified charitable distributions can limit future MAGI spikes and preserve more of the benefit.