For example, in 2023, Social Security will calculate your Parts B and D premiums based on your 2021 income. Individuals earning more than $97,000 filing individually or $194,000 filing jointly can expect to pay more than the standard base Part B premium. The items that contribute to your MAGI include things like money earned through wages, interest, required minimum distributions from investments, and capital gains. It also includes Social Security benefits and tax-deferred pensions.
The cost of Part B is actually based on income.
