17 Jan Will my Medicare rates go up if I withdraw from my 401(k)?

Q. I have a question about drawing my 401(k) while collecting Medicare. I started collecting Social Security at 62 and I’m now 65. My husband is going to be 65 this month. Would our Medicare rates go up if we draw on our 401(k)? We have a small 401(k) and we’re not sure if it is wise to do so yet.
— Retiring

A. Congrats to you both for saving for your futures, even if the savings is “small.”

Something is better than nothing.

The amount of the Medicare premium is based on your Modified Adjusted Gross Income for the prior year, said Martin Hauptman, partner in the trust and estates and tax law practice groups at Mandelbaum Barrett, P.C. in Roseland.

To see where you would land, the Social Security Administration offers charts — at this link — to compare your income level and filing status.

It also offers an explanation for how to figure out your Modified Adjusted Gross Income.

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This story was originally published in January 2024.

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