Roth Conversions May Trigger Irreversible Medicare Surcharge, Warns Suze Orman
Retirees considering large Roth conversions are being warned about an unexpected and irreversible IRMAA surcharge that affects their Medicare premiums. The Income-Related Monthly Adjustment Amount (IRMAA) can significantly increase Part B and D costs if a conversion pushes income over certain thresholds, with the impact appearing two years later.
Topics: IRMAA surcharge Medicare premiums Roth conversions Tax strategy