FINANCIaL
FIELd NOTES
Understanding the Medicare “Donut Hole” and Tips for Navigating It
In a recent meeting with a client, they voiced frustration over a recent trip to the pharmacy. They had met their prescription drug coverage deductible and expected to pay a co-pay of $90 for an expensive drug they were taking. Instead, they were charged over $500. He called his insurance agent and was told he had reached the dreaded “donut hole” or what is officially known as the Medicare Part D coverage gap.
The “Donut Hole” is a phase in prescription drug coverage where beneficiaries experience a temporary increase in out-of-pocket expenses for their medication…
Making Sense of Medicare, Part 2 – The Cost
Last week, in Part 1, I reviewed the 5 pieces to Medicare and the two main ways to get Medicare coverage. This week, in Part 2, I will outline the cost for the two routes to get Medicare. With Medicare open enrollment around the corner (starting October 15th), now is a good time to review your coverage and consider any changes…
Making Sense of Medicare, Part 1 – The 5 Pieces
Medicare is a confusing topic to navigate, in part because there are so many choices. In the first part of this series, I will discuss the various parts of Medicare. Next week I will discuss the cost of putting these pieces together.
There are 5 pieces to Medicare…
Medicare IRMAA Surcharges and 5 Ways to Avoid Them
IRMAA stands for Income-Related Monthly Adjusted Amount. It is an increase to the standard Medicare Part B and Part D monthly premiums that Medicare recipients have to pay each month if they make over a certain amount.
For 2023, the standard Part B premium is $164.90/month and Part D is $0 (plus your plan premium). Depending on your income, your Part B premiums can go up to $560/month and Part D can go up to $76/month…
How Much Does Private Healthcare Cost Before Medicare?
Retiring before 65 when Medicare begins can bring significant healthcare costs as early retirees are forced to find private healthcare plans.
When considering premiums and out-of-pocket health care expenses, $1,000/month per person is typically a good estimate, although it varies by the type of plan selected…
Should You Sign Up For Medicare If You Are Still Working?
When retirees turn 65, they typically sign up for Medicare unless they are covered by a federal or state government health care plan. However, if you are still working when you or a spouse turns 65, that becomes a bit trickier…