Has any American here started Medicare, Stopped it, then started it again?

[gk10012001]

I am on US Medicare.  Crazy how they do the IRMAA and premiums so I am considering dis enrolling, spending a year or a bit more in THailand, then returning to the USA and restarting Medicare.  I know there may e a 10% surcharge for each year one doesn't get Part B when first eligible, but I got no firm answers today when chatting with Medicare about exact time frames, if part of a year is prorated, etc.  They just do not handle non standard questions well from their playbooks.   Any experience comments appreciated

[Pib]

It's my understanding the Part B penalty is based on "12 month periods (i.e., full year) " not enrolled; it's not based on fractional years.   So it would not be prorated.

 

Say for example you enrolled 12 months late during an authorized enrollment period....that's a 10% penalty.  If enrolling 24 months late then 20%.   But what about some period between 12 and 24 (or any fractional year period)?  Well, if by some Medicare enrollment provision that you could enroll/reenroll 13 to 23 months late since that did not equal the next "whole 12 month" period of 24 months" then the late enrollment fee would be 10% for only a 12 month/1 year period.

 

See calculators below for some examples.   And preaching to choir I'm sure when I say a person can only enroll/rerolled under during certain times/under certain conditions.  It's not like someone who is at least 65 wakes up one day and decides to enroll and calls up Medicare or visit a SSA office to enroll hoping they will be enrolled effective the beginning of the upcoming month....nope, when a person will be able to enroll/reenroll will depends on the open season/special enrollment period which would apply to the person which means he might not get enrolled until numerous months later which might effect the penalty percentage since it based on date the enrollment become effective vs the day someone applied for enrollment. 

 

https://themedicarefamily.com/calculators/part-b-penalty/

 

https://www.resourcemedicare.com/medicare-tools/penalty-calculators

 

[gk10012001]

1 hour ago, Pib said:

It's my understanding the Part B penalty is based on "12 month periods (i.e., full year) " not enrolled; it's not based on fractional years.   So it would not be prorated.

 

Say for example you enrolled 12 months late during an authorized enrollment period....that's a 10% penalty.  If enrolling 24 months late then 20%.   But what about some period between 12 and 24 (or any fractional year period)?  Well, if by some Medicare enrollment provision that you could enroll/reenroll 13 to 23 months late since that did not equal the next "whole 12 month" period of 24 months" then the late enrollment fee would be 10% for only a 12 month/1 year period.

 

See calculators below for some examples.   And preaching to choir I'm sure when I say a person can only enroll/rerolled under during certain times/under certain conditions.  It's not like someone who is at least 65 wakes up one day and decides to enroll and calls up Medicare or visit a SSA office to enroll hoping they will be enrolled effective the beginning of the upcoming month....nope, when a person will be able to enroll/reenroll will depends on the open season/special enrollment period which would apply to the person which means he might not get enrolled until numerous months later which might effect the penalty percentage since it based on date the enrollment become effective vs the day someone applied for enrollment. 

 

https://themedicarefamily.com/calculators/part-b-penalty/

 

https://www.resourcemedicare.com/medicare-tools/penalty-calculators

 

fantastically useful response.  Thank you very much.

[gk10012001]

Does Medicare/SSA automatically refund or give credit for overpayments?  For example, right now in 2025 I am paying 670 a month which is ridiculous but is based on past income years which were in the 350,000 range (slot machine jackpots and high engineer pay).  I understand that and I am trying to work with the SSA to get that reduced to a more reasonable level now since I just retired and my MAGI income this year will be in the 150,000 range at most.  I know this same situation happens to thousands of people every year.  They retire from a high paying job but are still paying high IRMAA.  I know people have gotten their IRMAA reduced but my first attempt with filing a SS-44 failed either I did it wrong of the SSA drones don't understand their own forms.  Anyway..

 

  So my question is after this year when my 2025 taxes are filed and also after 2026 when my taxes are filed the SSA will see my income for those years is in the 150,000 range which is much lower than the 350,000 years.  So for 2025 I would have paid way too much IRMAA.  Will the SSA automatically issue me refunds or credits for having over paid for this year?  Try as I might I can not find any official text about that on all my internet searches.  

[Pib]

It's my understanding that an IRMAA refund is automatic "only when you qualify under one of the life changing events on the SSA-44 form" (see snapshot below)  which you said you submitted but it was disapproved.  High income/jackpot winnings is not one of the accepted life changing events for IRMAA reduction....if anything, it just means you are more able to pay a higher rate.   

 

Unless you can get a a SSA-44 approved you have "not been overcharged" based on an accepted life changing event which would then require a refund....the refunded would be automatic with the SSA-44 approval for one of the accepted life changing events.

 

Now regarding the lowering/removal of IRMAS when you MAGI changes that is automatic but it does not result in the SSA refunding those tax years when your MAGI triggered IRMAA.   With the automatic change your IRMAA requirement either decreases (maybe to zero) or increases....all depends on MAGI for the tax year being looked at for IRMAA determination purposes.

 

So, unless you can get a SSA-44 approved for the IRMAA years you will not get a refund for those years.

 

 

 

 

[gk10012001]

8 hours ago, Pib said:

It's my understanding that an IRMAA refund is automatic "only when you qualify under one of the life changing events on the SSA-44 form" (see snapshot below)  which you said you submitted but it was disapproved.  High income/jackpot winnings is not one of the accepted life changing events for IRMAA reduction....if anything, it just means you are more able to pay a higher rate.   

 

Unless you can get a a SSA-44 approved you have "not been overcharged" based on an accepted life changing event which would then require a refund....the refunded would be automatic with the SSA-44 approval for one of the accepted life changing events.

 

Now regarding the lowering/removal of IRMAS when you MAGI changes that is automatic but it does not result in the SSA refunding those tax years when your MAGI triggered IRMAA.   With the automatic change your IRMAA requirement either decreases (maybe to zero) or increases....all depends on MAGI for the tax year being looked at for IRMAA determination purposes.

 

So, unless you can get a SSA-44 approved for the IRMAA years yM

 

 

My life changing event is that now this year I am not working and am not making much money.  Why SSA didn't understand my SS 44 is beyond me but I am working on that.  I clearly will not be making the income this year that I am paying IRMAA for due to previous years so it seems like a reduction should be clearly allowed.  Oh well, we shall see.

 

  But it does not seem that when the dust clears and if I do nothing that credit will be given for paying so much this year even though when the tax years are completed and filed it will be clear I was paying too much.  That does not seem right.

Thanks for the response

[Pib]

Seems like the key may be providing proof you are now "retired" like some documentation from your former employer saying you retired from your job.   Otherwise you may may have to wait until you file a tax return proving your reduced MAGI for the year the IRMAA is being charged...and then hope that might also qualify for a refund for the IRMAA.  Yea...seems the key may be in proving you are truly retired now and making a lower income.   Good luck...hope it works out.