The Two-Year Medicare Ambush
This tax cliff blindsides many retirees...
You're planning for retirement and you've budgeted for monthly Medicare premiums. Then you find out you're on the hook for hundreds of dollars more per month than you expected, thanks to a Medicare surcharge you've never heard of – the Income-Related Monthly Adjustment Amount ("IRMAA").
Every year, your IRMAA costs get recalculated based on your modified adjusted gross income ("MAGI") from two years before.
So if you retire at 65, what you're paying in Medicare Part B and Part D premiums is based on your income when you were 63. The extra charge kicks in for any single filer who made more than $109,000 that year (or $218,000 for joint filers).
Everyone's circumstances are different... But if you're a single person with a MAGI above $109,000, and you take Medicare Part B and Part D, you'd pay at least $1,148 extra for coverage every year.
If you will owe IRMAA, you'll get an "Initial IRMAA Determination" notice letting you know you'll owe IRMAA. And with around 6 million seniors – nearly 10% of seniors on Medicare – there's a decent chance you'll get stuck paying this surcharge.
You can dispute it, and some changes will qualify for lowering or removing IRMAA. If you've had a "life-changing event," like a major change in income in the past two years, fill out form SSA-44. That will save you money that you can spend on actually taking care of yourself.
Millions of Americans don't consider healthcare expenses when planning for retirement. That's a mistake that could cost you money and peace of mind.
So take the time today to understand all your healthcare coverage options and how you can prevent medical issues from draining your retirement nest egg.
Failing to prepare for the IRMAA ambush is just one of the many mistakes I see folks making in retirement.
In a new video presentation, I walk through some of the other big mistakes – and how to set yourself up for a successful retirement.
Things like...
- Owning the highest-quality investments, including one that pays you nearly 10% in income
- How to generate income by yourself on stocks that you love... using a strategy I helped develop many decades ago during my time on Wall Street
- Ensuring you'll have some income for as long as you live through an investment vehicle most folks don't understand
- Knowing exactly what you should do with the dividends you receive
- Maximizing your Social Security
- Minimizing the taxes you pay
- Turning your old life insurance into ready cash
- And finally, how to reduce your medical expenses.
I detail all of this and more in my brand-new report, "Playbook for the Rich at 70."
If you'd like your own copy, along with two other new reports – "How to Play Gold in 2026" and "8 Ticking Time Bombs You Must Sell Now" – click here to get them today. Even if you don't order my reports, I'm confident you'll learn a lot from my free presentation, too.
If you already subscribe to Retirement Millionaire, you can access these reports right here... If you don't have access yet, this is the perfect time to claim a discounted subscription. Learn more here.
Now, let's get to this week's Q&A... And as always, keep sending your comments, questions, and topic suggestions to feedback@healthandwealthbulletin.com. My team and I read every e-mail.
The Benefits of Red-Light Therapy
Q: Hello Doc, I've been hearing a lot about red light therapy and would love to hear your take on it. And if you do agree it has benefits to improve health, I would like to know where you would advise to get the best ones.
Best regards. – S.L. (An avid reader of your advice!)
A: Thanks for your readership, S.L.
Red-light therapy ("RLT") involves using red and near-infrared light at specific wavelengths, usually between 630 and 940 nanometers.
The idea is that the light enhances the energy-generating capability of the tiny "engines," or mitochondria, present in each cell. More energy generation means better cell function, which has translated into proven benefits like faster wound healing, increased tissue repair and regeneration, and reduced inflammation.
RLT traces its roots to 1967, when mice undergoing low-level laser therapy ("LLLT") were found to have better hair regrowth and faster wound healing. It wasn't until the 1990s, however, that research on red light from LED bulbs (instead of from lasers) really kicked off.
A handful of small studies have found that LLLT and RLT reduce inflammation and pain from arthritis and fibromyalgia... pain in the jaw, neck, knee, and lower back... as well as postoperative pain from hip replacements.
Interestingly, emerging research is finding that RLT helps your mouth, too...
Like regrowing cells in connective tissue (which connects your tooth to your jawbone) destroyed by periodontitis (severe gum disease)... helping tooth sensitivity by boosting regeneration of dentin (the stuff under the enamel that makes up most of your tooth)... and even pain management for orthodontic-device wearers.
There are some caveats, though...
- For starters, the cost. RLT treatments cleared by the U.S. Food and Drug Administration ("FDA") will make a dent in your wallet, with the cheapest price starting at hundreds of dollars.
- There need to be bigger long-term studies to better assess the risks versus the benefits.
- Third, there's a lack of clear guidelines for RLT, such as how often you should use a device with a certain wavelength of red light.
Keep in mind that much of the research has taken place in clinical settings with LLLT – a stronger form of RLT versus the LED-based RLT devices you might have seen for sale. You can't be certain that all of these commercial products will provide the same kind of wavelengths that studies found to be useful.
One positive is that the RLT risks we know about so far are pretty minor...
Folks who are sensitive to light or are on meds that make them "photosensitive" should take caution. You'll also want to follow the device manufacturer's advice for protecting your eyes during use.
We haven't personally used any RLT devices. But if you want to try one, the first thing you should do is check its FDA status. Look for an FDA "Decision" of "SESE" – or "Substantially Equivalent" – which is the same thing as being FDA-cleared.
And as I've written before, there are easier ways to get many of RLT's claimed benefits... such as exercising, eating anti-inflammatory foods (such as fatty fish, leafy greens, nuts, berries, and extra-virgin olive oil), and keeping off extra weight.
What We're Reading...
- Did you miss it? The AI Bull and Bear Case.
- Something different: From a medieval latrine in Germany, archaeologists extracted a pristine leather notebook that preserved Latin cursive for centuries.
Here's to our health, wealth, and a great retirement,
Dr. David Eifrig and the Health & Wealth Bulletin Research Team
May 29, 2026