Retirees whatcha living on?..........

[antelopedundee]

"Under Musk, the government may have the ability to stop Social Security Disability Insurance payments, as well as other benefits such as Medicaid or Meals on Wheels, according to the national committee."

How Elon Musk's access to Treasury system may impact Social Security, other government payments - AOL

News that Department of Government Efficiency led by Elon Musk now has access to a government payment system that is responsible for $6 trillion in annual federal payments — including Social Security and Medicare benefits — has prompted criticism from Democratic lawmakers and advocates.

www.aol.com

It's SSDI not SS itself. For now.

 

[Steiny77]

Just got on Medicare recently but prior to that we simply purchased ACA insurance. Anyone can do this and you can't be denied coverage.
It will vary state to state, but it's all income based. If you make more $$ you pay more.

Our first year on ACA (spouse and myself) it was running about $1800 per month based on about $120k income. Anyone making over about $70k didn't get any cost reductions.
When Covid hit, they raised that $7k threshold up substantially, I believe $250k. That helped a bunch and cut our insurance down to about $800 per month. I'm now on Medicare but still using ACA coverage for my spouse, and cost per month barely went down, so we'll be paying in that range next couple years until she hits Medicare age. It's rather high deductible insurance with no dental or vision, basically designed to keep you from going broke due to a medical issue.

If you are relatively low income this insurance is quite cheap.

MediShare mentioned above is a religious based organization, kind of an insurance CO-OP. We checked it out and not being a regular church goer, the first thing I would of had to do is lie to them.

 

[Bob-WY]

We are bridging the years til Medicare with aca. It varies by state and how they implemented it. We planned for this for years, we saved a significant amount in savings account and CDs. The only :"ncome" on this is interest. We then live on this for that majority of our budget. Augment this with a trickle from IRA which are not taxable and taxable income stays low enough for ACA to be very VERY cheap. When this runs out on this we can branch over to my companies insurance paying 50% until Medicare

It's all in the planning

 

[Bonasababy]

We are bridging the years til Medicare with aca. It varies by state and how they implemented it. We planned for this for years, we saved a significant amount in savings account and CDs. The only :"ncome" on this is interest. We then live on this for that majority of our budget. Augment this with a trickle from IRA which are not taxable and taxable income stays low enough for ACA to be very VERY cheap. When this runs out on this we can branch over to my companies insurance paying 50% until Medicare

It's all in the planning

Good plan! Our insurance through my employer is very good, just expensive after retirement until 65. We'd retire, go ACA then go back to the employer plan...but once you leave it you can't go back.

 

[BRI]

As I mentioned earlier, I underestimated the insurance cost by quite a bit (or at least what I think is quite a bit). Retired last year at 55, the wife and I went through healthcare dot gov. When I signed up, I only used our income from the pension and her income. Simply didn't even think about investment account income, since we haven't really needed to dip into that account, and that it was based on adjusted gross income (totally my F up). We're in a position to be able to afford it, which is great. But I'm paying near $8k/year for essentially major medical with a $15k deductible. In 2024, I never went to the doctor once. My wife went one time. I'm not risk averse and think all the time about taking the chance of not being covered, but one mishap negates that.

 

[antelopedundee]

"Under Musk, the government may have the ability to stop Social Security Disability Insurance payments, as well as other benefits such as Medicaid or Meals on Wheels, according to the national committee."

How Elon Musk's access to Treasury system may impact Social Security, other government payments - AOL

News that Department of Government Efficiency led by Elon Musk now has access to a government payment system that is responsible for $6 trillion in annual federal payments — including Social Security and Medicare benefits — has prompted criticism from Democratic lawmakers and advocates.

www.aol.com

It's SSDI not SS itself. For now.

Someone angry at me or the Guvmint?

 

[Bonasababy]

As I mentioned earlier, I underestimated the insurance cost by quite a bit (or at least what I think is quite a bit). Retired last year at 55, the wife and I went through healthcare dot gov. When I signed up, I only used our income from the pension and her income. Simply didn't even think about investment account income, since we haven't really needed to dip into that account, and that it was based on adjusted gross income (totally my F up). We're in a position to be able to afford it, which is great. But I'm paying near $8k/year for essentially major medical with a $15k deductible. In 2024, I never went to the doctor once. My wife went one time. I'm not risk averse and think all the time about taking the chance of not being covered, but one mishap negates that.

8k a year? 2400 a month for my wife and myself after retirement until we turn 65. It is more like a gold plan covers pretty much everything other than copays at the visit and a few k deductible, but still.

Have a lot on in my health care savings plan--it won't quite carry us to she hits 65--but saves enough to help us travel a bit early in retirement until I take SS.

 

[BRI]

8k a year? 2400 a month for my wife and myself after retirement until we turn 65. It is more like a gold plan covers pretty much everything other than copays at the visit and a few k deductible, but still.

Have a lot on in my health care savings plan--it won't quite carry us to she hits 65--but saves enough to help us travel a bit early in retirement until I take SS.

$2400/month on ACA or is that keeping employer insurance? Are you paying $28k/year out of pocket in just premiums? That sounds incredibly high to me

If so, and maybe I'm over-simplifying and I'm wrong but with my deductible and premium, the max I should be out of pocket would be $23K in a calendar year. Unless a mishap, I'll only be paying $8k

 

[JEL]

I self pay for health insurance through healthcare.gov. $725/month for high copays and deductibles. Luckily when I retired I rolled a large amount of sick and vacation payout into a HSA. It will pretty much cover my health care costs until I hit 65.

 

[Bonasababy]

$2400/month on ACA or is that keeping employer insurance? Are you paying $28k/year out of pocket in just premiums? That sounds incredibly high to me

If so, and maybe I'm over-simplifying and I'm wrong but with my deductible and premium, the max I should be out of pocket would be $23K in a calendar year. Unless a mishap, I'll only be paying $8k

ACA would be a lot cheaper, it's employer insurance. It isn't nearly that bad while an employee--and it's much better after you are retired--they just hammer you between when you retire and 65. That is just premiums, but the copays for visits are cheap--like 30 bucks for most visits and anything preventative--annual check ups, vaccines etc.--are free-- and the annual deductible is small, couple of thousand I think.

So yes, 2400/month for both me and my wife together--drops to around 800 a month for both us after we both hit 65. And it's extensive then, we can travel anywhere and use it, picks up everything medicare doesn't pretty much.

Kind of shocking, most people think they would do anything to get our insurance bennies but it aint cheap when you retire before eligibility for medicare comes along!

 

[MNElkNut]

I self pay for health insurance through healthcare.gov. $725/month for high copays and deductibles. Luckily when I retired I rolled a large amount of sick and vacation payout into a HSA. It will pretty much cover my insurance costs until I hit 65.

I didnt think you could use HSA funds to pay for insurance premiums. Maybe I am mistaken?

 

[LopeHunter]

What did you do for healthcare? I assume you fully retired prior to 65. Can you shed some more light into that subject. Costs, practicality etc etc?

There are a lot of us that have or will have plenty of money to retire early but are trapped by the insurance dilemma.

Good questions. Is not peanuts as I will never qualify for a subsidy.

I am on ACA in AZ so for first time in my life am not on PPO but am HMO. Sucks. Why? I am in Colorado for a month currently and am supposed to have four blood draws done during that trip as part of treatment for an inherited problem that tricks my body to retain too much iron (and aluminum, etc...I am a Heavy Metal enthusiast) that then tries to kill all my organs. I began having blood draws at 27. 100s of draws over the past 36 years. I need to stay anemic. Sucks but I am sure a guy with Stage 4 cancer or dementia would say I have it good which is my attitude. Face it, we are all sometimes the hammer and sometimes the nail. I am usually the hammer but not with my health.

Anyway, the AZ HMO only pays for ER outside of AZ. All those decades with PPO meant I did not need to worry if needed medical attention such as a blood draw or sprained my ankle. You might think is an emergency as head to the ER but Mr. Insurance may beg to differ.

So, now I do need to worry about some things when travel outside AZ. Zero of the four needed draws can be done in a clinic for the 30 days while in Colorado. Is not an emergency. Catch-22. I can donate blood as my disease is not one that passes in blood but since I am anemic then a blood bank will flag me as not currently suitable to donate. More Catch-22. Maybe I am just not smart enough to work the HMO system since was PPO all those years.

My HMO medical "only valid in AZ" plan is $1200 per month and have a $7,000 deductible which I will hit in March due to all the blood draws. So, I am spending about $22,000 this year not counting nickels and dimes on a couple of Rx and I am a klutz so generally plan on two Urgent Care visits per year and maybe an ER visit if I get extra klutzy. Had some bad stuff cut out of my scalp last autumn but most covered since had hit the deductible.

All-in, I figure will spend about $30,000 medical/dental/vision a year though I start Medicare in 14 months at 65 but...Uncle Sam is less generous on what portion of Medicare premiums he pays if you have made more than about $180,000 a year in the prior two years. I know, boo hoo, look at Mr. Money Bags complaining that he has too much money and it is a burden to bare. I get that though his cool IRMAA "tax that is not a tax" is going to haunt me until around 2028 so my medical costs should fall at 65 but will probably be $15,000 or more for the first three or four years of Medicare.

 

[F250]

After reading some of these health insurance costs, I am counting my blessings and retirement decisions. We were able to keep a very good Blue Cross-Blue Shield health insurance when I retired from the state. I am on Medicare now and have BCBS for a secondary. My wife is still several years from Medicare and has full BCBS coverage with tiny co- pays. $442.00 per month.

 

[Addicting]

After reading some of these health insurance costs, I am counting my blessings and retirement decisions. We were able to keep a very good Blue Cross-Blue Shield health insurance when I retired from the state. I am on Medicare now and have BCBS for a secondary. My wife is still several years from Medicare and has full BCBS coverage with tiny co- pays. $442.00 per month.

Was having that same conversation with my wife last night. I can’t fathom what some of the posters are paying.

 

[Dave N]

Was having that same conversation with my wife last night. I can’t fathom what some of the posters are paying.

Yeah, some of those numbers are crazy! I was able to keep my insurance from work under the retiree plan. Premium for both of us was $450/mo and just for me now is $180 and the deductible and out of pocket is pretty low.

 

[JEL]

I didnt think you could use HSA funds to pay for insurance premiums. Maybe I am mistaken?

You are right. It should have said health care costs. I get a high deductible plan then cover the copays and deductibles with HSA.

 

[Addicting]

Yeah, some of those numbers are crazy! I was able to keep my insurance from work under the retiree plan. Premium for both of us was $450/mo and just for me now is $180 and the deductible and out of pocket is pretty low.

The military takes care of retirees, wish more kids were self aware of these costs. I never was and it’s just dumb luck I ended up here. I’m in group A and these are the yearly cost for a retiree. 364.92 for the family (no matter how many dependents) and a 300 out of pocket deductible before insurance kicks in.

 

[Jwill]

I didnt think you could use HSA funds to pay for insurance premiums. Maybe I am mistaken?

I didn’t realize that.

 

[Bonasababy]

I didn’t realize that.

Another reason to argue and ask for a Health Care Savings plan. Can pay premiums with them.

 

[westbranch]

I didnt think you could use HSA funds to pay for insurance premiums. Maybe I am mistaken?

HSA can be used for Medicare and Cobra premiums.