As you may know, CalPERS automatically reimburses the basic Medicare Part B monthly premium (which will be $170.10 for 2022) for its retirees who are in Medicare. What you may not know is that if you are subject to the Income-Related Monthly Medicare Adjustment Amount (the IRMAA) because your annual total adjusted income exceeds certain limits, you may be eligible to have part or all of the IRMAA reimbursed by CalPERS as well.
The amount of additional reimbursement will depend on how much excess money is available from the monthly health insurance contribution made by the CSU for CSU retirees. This will vary depending on how many of your dependents, if any, are enrolled in CalPERS basic or supplemental health plans.
CalPERS mails a letter about the IRMAA to members who previously have received the additional reimbursement in December. This letter will include a cover sheet that should be included when you request additional reimbursement. However if you are new to Medicare or if 2022 will be the first year that you have to pay the IRMAA, you may not receive this letter.
If you think you may be eligible for reimbursement for all or part of your IRMAA, you have to notify CalPERS in writing. Include in your letter to CalPERS a copy of your annual letter from the Social Security Administration describing your benefits for the coming calendar year. This will include the amount of your IRMAA. (The letter for 2022 was sent to Social Security recipients in late November 2021. Be sure to include a copy of this ENTIRE letter.)
Mail your request to
CalPERS Member Account Management Division
Attention: Medicare Administration
P.O. Box 942715
Sacramento, CA 94229-2715
You also can submit the necessary information by faxing it to (800) 959-6545, or online using your myCalPERS account.
If you use your myCalPERS account go to the Health Deduction section and click on the Health and Health Plan Summary tab, then scroll down the page to find the Submit Documents link.
Within a few weeks you should receive a response from CalPERS, which indicates the amount of additional Part B reimbursement you will receive for 2022. Note that it can take from 30 to 90 days before the additional reimbursement begins to appear in your retirement check or deposit. The reimbursement will cover the entire year, so you may also see a lump sum payment for the prior months.
While there is no specific deadline for submitting your IRMAA request, the sooner that you submit your documents, they sooner the reimbursement will start showing up in your monthly retirement check or direct deposit.
Note that state law prevents CalPERS from providing any additional reimbursement for the Part D (drug benefit) IRMAA.