When you are planning for your retirement years, it is important to understand what you can expect from Medicare and Social Security.
Many people go forward with the misconception that these two government programs provide a comprehensive, turnkey retirement solution, but this is simply not the case. There are premiums and deductibles that must be paid while you are participating in the Medicare program, so it is not truly free health care.
And, it should also be noted that Medicare will not pay for an extended stay in a nursing home or assisted living facility. Long-term care is extremely expensive and the prices are expected to continually rise into the foreseeable future.
Medicare Part B is the portion of the program that one utilizes to pay for visits to physicians, outpatient care, and other health care services. There is a monthly premium that must be paid when you have Medicare Part B and it is deducted from your Social Security direct deposit.
The exact amount of your premium depends on your level of income. The majority of American senior citizens who are enrolled in the Medicare program have been paying $99.90 per month throughout this year.
It has recently been announced that the Medicare Part B premiums are rising by approximately seven dollars per month next year.
The impact of this increase will be softened by the cost-of-living adjustment that Social Security recipients will receive in 2013. Payouts are going up by 1.7%, and this will result in a $21 per month bump up for someone who is receiving the average monthly Social Security benefit of $1,237 per month.
- The SECURE Act – the Gift That Keeps On Giving - September 28, 2023
- The Importance of Hiring a Probate Attorney (VIDEO) - September 27, 2023
- IRS Confirms Grantor Trust Status Alone Does Not Cause a Step-Up in Basis - September 14, 2023
