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HomeRetirement & TaxMedicare Planner — IEP, Part B/D, IRMAA & Penalties

Medicare Planner — IEP, Part B/D, IRMAA & Penalties

Plan Medicare enrollment: see your Initial Enrollment Period, projected Part B + D premiums with IRMAA, Medigap range, and any late-enrollment penalty.

Auto-updated May 1, 2026 · Verified daily against IRS, Fed & Treasury sources

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Medicare Planner — IEP, Part B/D, IRMAA & Penalties

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$

Assumptions

  • ·Inflation-adjusted real returns (default 5% real, 7% nominal − 2% inflation)
  • ·Pre-tax contributions assumed until withdrawal phase
  • ·Constant annual contribution amounts
  • ·Compound growth at end-of-year convention
When this is wrong
  • ·Social Security benefit calculation (use SSA.gov estimator)
  • ·Medicare IRMAA income surcharge thresholds
  • ·Sequence-of-returns risk (use FIRE / sensitivity calcs)
  • ·Required Minimum Distribution (RMD) forced withdrawals
Assumptions▾
  • ·Inflation-adjusted real returns (default 5% real, 7% nominal − 2% inflation)
  • ·Pre-tax contributions assumed until withdrawal phase
  • ·Constant annual contribution amounts
  • ·Compound growth at end-of-year convention
When this is wrong
  • ·Social Security benefit calculation (use SSA.gov estimator)
  • ·Medicare IRMAA income surcharge thresholds
  • ·Sequence-of-returns risk (use FIRE / sensitivity calcs)
  • ·Required Minimum Distribution (RMD) forced withdrawals

Related Calculators

Medicare IRMAA Calculator 2026 →Social Security Tax Calculator 2026: Are You Taxed? →
Your Results

Based on your inputs

ℹ️Demo numbers — replace inputs to see yours
Monthly Premium
$221.78
Annual Cost
$2,661
IRMAA Tier
None

Initial Enrollment Period (IEP)

Sign up between 2030-03 and 2030-09. You turn 65 in 2030-06. Enroll before your birthday month to avoid coverage start delays.

IEP Start2030-03
IEP End2030-09
Standard Part B (2026)$185/mo
IRMAA Part B Surcharge+$0.00/mo
Part B Late Penalty+$0.00/mo
Total Part B$185.00/mo
Part D Base + IRMAA + Penalty$36.78/mo
Total Monthly Premium$221.78/mo
Annual Total$2,661
Medigap Plan G (state-varies)$110-$250/mo
Medigap Plan N (state-varies)$90-$200/mo
Age at Planned Retirement65

Educational only. Verify enrollment + premiums at Medicare.gov. IRMAA tiers and Medigap pricing change annually and vary by state.

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Key Takeaways

  • Your Initial Enrollment Period is a 7-month window centered on your 65th birthday month
  • 2026 standard Part B premium is ~$185/month; IRMAA can push it to $629/month at the top tier
  • Late Part B penalty is 10% per year missed — for life. Part D is 1% per month missed.
  • If you have qualifying active employer coverage at a 20+ employee company, you can delay Part B penalty-free
  • Medigap Plan G is typically $110-$250/month at age 65; price varies by state and carrier

The 7-Month Initial Enrollment Period

You can first sign up for Medicare during the IEP — the 3 months before your 65th birthday month, your birthday month, and the 3 months after. Sign up before your birthday month to avoid a coverage start delay.

IRMAA and Roth Conversion Planning

IRMAA uses your tax return from 2 years prior. Large income events (Roth conversions, asset sales) in the years leading up to age 63 can spike your Medicare premiums. Use the Roth Conversion Window calculator to model timing.

Medigap vs. Medicare Advantage

Original Medicare + Medigap + Part D gives nationwide access to any doctor accepting Medicare. Medicare Advantage (Part C) bundles everything but usually with network restrictions. Plan G is the most comprehensive Medigap; Plan N is cheaper with small copays.

The IEP is a 7-month window: the 3 months before the month you turn 65, your birthday month, and the 3 months after.

The standard Part B premium for 2026 is approximately $185/month. Higher-income beneficiaries pay an IRMAA surcharge.

10% added to the premium for every full 12 months you could have had Part B but didn't enroll. It's a lifelong penalty.

1% of the national base premium per month without creditable drug coverage. The penalty lasts as long as you have Part D.

Yes, if you have qualifying active employer coverage at a 20+ employee company, you can delay Part B without penalty via a Special Enrollment Period.

Plan G typically runs $110-$250/month at age 65; Plan N is usually $90-$200/month. Prices vary by state, carrier, age, gender, and tobacco use.

Part B = $185 (2026 base) + IRMAA tier surcharge + late penalty

IEP = 3 months before birthday month → 3 months after (7 months total).

Late penalty: Part B 10% per year missed (lifelong). Part D 1% per month missed (lifelong).

IRMAA uses MAGI from 2 years prior — 2026 premiums based on 2024 MAGI.

Published byJere Salmisto· Founder, CalcFiReviewed byCalcFi EditorialEditorial standardsMethodologyLast updated May 2, 2026

Primary sources & authoritative references

Every formula on this page traces to a federal agency, central bank, or peer-reviewed institution. We cite the rule-makers, not secondhand blogs.

  • IRS — Retirement Plans resources — Internal Revenue Service (opens in new tab)
  • SSA — Retirement Benefits — Social Security Administration (opens in new tab)

Found an error in a formula or source? Report it →

Calculations are for educational purposes only. Consult a qualified financial advisor for personalized advice.