Any IRMAA experts out there?
Client retired in late 2021 and successfully requested reconsideration of IRMAA for 2022, estimating their income at $180K. They are currently paying the minimum rate. My understanding is that this is subject to review when the 2022 return is filed.
Looking at the estimated pension and social security, it appears that they will have an AGI of about $183K, pushing them into the first tier of increased rates. The difference between the initial estimate and current one is that a pension payment due 12-1-21 was not made until 2022 due to processing delays. This will result in them receiving 13 months of pension payments in 2022.
Assuming I am correct that they will be billed for the difference, being over the limit could cost them over $1,600. Ouch.
Is it possible to request reconsideration based on the fact that $4K of 2022 income was actually due to be paid in 2021, but was not? I know that would work for vacation payouts or wages attributable to 2021, but not sure about pension.