Today I received a letter from the Social Security Administration discussing a nasty little bit that our exalted legislators have sneaked in: If you make over $85K you have to pay a surcharge on your Medicare premiums that are taken out of your Social Security payments.
This one outlines the details:
This one tells you how to complain:
Broader guidance is at
For 2012 the standard Part B premium for 2012 is $99.90.
For 2013 it is $104.90 (five dollar increase).
If you make over $85K then there is a graduated surcharge. Per the letter received yesterday here is the table:
By correcting my status with them today I shall pay a $42 surcharge instead of a $230.80 surcharge, e.g., $146.90 total.
I did have a copy of the 2011 IRS-1040 with my dismal lowly AGI and presented it.
They use a figure called the MAGI (Modified AGI) comprising the AGI from IRS Form 1040 plus any tax-free interest (I have none).
The letter is long (seven pages), but clear and comprehensive. I'm impressed:
It turns out you don't need the form.
So I've saved $2265.60 with about four hours of research and communing with the local SSA office.
That's $566.40 an hour.
Not bad work if you can get it...