Forum Thread

What is difference between Gross Income and MAGI?

245 14 April 8, 2017 at 12:48 PM

Thread Details

0 Deal Score
I understand that gross income is total amount you made before any taxes or deductions taken and...

1.AGI = gross income - above the line deductions(like student loan interest,401k contributions,moving expenses, etc.)
2. Then MAGI is AGI without those above the line deductions so.. why is MAGI different than gross income?

Thanks in advance.



Sign up for a Slickdeals account to remove this ad.

This comment has been rated as unhelpful by Slickdeals users
Joined Dec 2011
L3: Novice
188 Posts
52 Reputation
Reply Helpful Comment? 0 0
This comment has been rated as unhelpful by Slickdeals users
Joined Apr 2006
L5: Journeyman
796 Posts
1,316 Reputation

This explanation misses the most used definition of MAGI. It is AGI plus non-taxable municipal bond interest. This is used to calculate the IRMAA or surcharge on Medicare Part B and D for high income people. The surcharges can be more than the nominal Medicare premiums.
Reply Helpful Comment? 0 0
Page 1 of 1
Join the Conversation
Add a Comment
Copyright 1999 - 2018. Slickdeals, LLC. All Rights Reserved. Copyright / Infringement Policy  •  Privacy Policy  •  Terms of Service  •  Acceptable Use Policy (Rules)  •  Interest-Based Ads
Link Copied to Clipboard