Content starts here
CLOSE ×

Search

Impact of inheritance and life insurance on Medicare B/D MAGI, IRMAA

Reply
Contributor

Impact of inheritance and life insurance on Medicare B/D MAGI, IRMAA

I will be inheriting money from the decedent estate and I'm also a beneficiary on his life insurance. 

I'm on Medicare Part A, B, D.

Will the inheritance or a life insurance proceeds increase my MAGI and IRMAA, which would mean an increase in my premiums for Part B and D?

thanks

0 Kudos
3,305 Views
3
Report
Contributor

I think no. Inheritance rarely has something to do with the insurance, so you can be calm about it. However my personal suggestion to people having harsh diseases in past generations of their family is to have life insurance just for a case. it is easier to have it and then use it, than need to buy it afterwards and pay a fortune for it. I knew that diabetes is common for my family, as my grandma and my dad have it, so I decided to get life and health insurance as soon as I discovered it at https://ibgportland.com . I try to eat less sugar but I still feel pretty safe. It is better to be safe than sorry

0 Kudos
2,987 Views
0
Report
Newbie

First of all the life insurance proceeds are not taxable. 
Inheritances are not considered income for federal tax purposes, whether you inherit cash, investments or property. However, any subsequent earnings on the inherited assets are taxable, unless it comes from a tax-free source.

0 Kudos
3,274 Views
1
Report
Contributor

I was asking about an impact on my Medicate premiums, not taxes. I do understand that IRMAA is based on MAGI, and MAGI is mostly adjusted gross income (AGI) but not the same. So I wanted to get a clear info on whether or not the inheritance or life insurance may be a part of MAGI, while they not taxable.

Would appreciate an answer with a reference to an official doc.

thanks

0 Kudos
3,247 Views
0
Report
cancel
Showing results for 
Show  only  | Search instead for 
Did you mean: 
Users
Need to Know

NEW: AARP Games Tournament Tuesdays! This week, achieve a top score in Space Adventure Pinball and you could win $100! Learn More.

AARP Games Tournament Tuesdays

More From AARP