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Old 11-18-2018, 04:34 PM   #1
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I'm 59. My ESOP/401K is well funded. Health care options cause uncertainty. That's the main reason I joined - teach me how I can make the jump!
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Old 11-18-2018, 06:03 PM   #2
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Know your health care costs. It becomes the #1 cost if all other debts are paid off. If there are two of you and it will cost you $1,200+ per month can your budget handle that?
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Old 11-18-2018, 06:08 PM   #3
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Welcome to our wonderful site.
What are your current plans for medical coverage?
Are you familiar with the Healthcare Exchange Marketplace (ACA) offerings?
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Old 11-18-2018, 07:13 PM   #4
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My wife and I have been retired 10 years, but finally reached normal retirement age. We're on Medicare with a great supplement purchased through my ex-Megacorp. and we pay for an prescription insurance policy.

I'm a stable Type II diabetic on a pump, and my insulin and pump supplies are expensive. My wife seems to have an expensive medical procedure or surgery just about every year. This year it was a knee replacement.

Our Medicare and outside insurance premiums, co-payments and deductibles each of the last two years have run about $12K or just over. If your outside insurance premiums are close to that, we're in the same ballpark with you.
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Old 11-19-2018, 07:42 AM   #5
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I'm not retired yet (a little over a year left to go) so can't currently give you much advice, but welcome!
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Old 11-19-2018, 07:46 AM   #6
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I waited until DH got on Medicare, but I have ~3 years to go. Luckily I have retiree medical through my ex-employer. It's subsidized due to my length of service, but it's still $500+ a month for a high-deductible plan, which is still better than the ACA.

Visit the ACA enrollment website, create an account, and shop. Lot of folks here rely on after tax money to keep their income low so they can get the ACA subsidy.

http://www.healthcare.gov

Good luck to you!
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Old 11-19-2018, 09:41 AM   #7
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I am assuming from your post that there is not an employer retiree option? If so, you need to figure out if you are going to go ACA with subsidy based on income, or there are other plans you can buy. As suggested, figure $1200/mo for a couple as the low-end if you don't get any subsidy. You might also investigate the religious sharing type plans, sorry I don't have any knowledge of those, but it could help with lower costs with tighter restrictions.


Like SumDay, I am fortunate to have good health insurance available as part of my retirement, even though I pay approx $550/mo for myself coverage.
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Old 11-19-2018, 03:30 PM   #8
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Quote:
Originally Posted by Murph View Post
I'm 59. My ESOP/401K is well funded. Health care options cause uncertainty. That's the main reason I joined - teach me how I can make the jump!
Welcome!
  • What does well-funded mean?
  • Have you run FIRECALC?
  • Obtained a success rate at 3-4% annual withdrawals?
  • Evaluated your post-retirement budget?
  • You only have a question about health care options?

IMHO, if your ESOP/401(k) is adequately funded, and the ESOP funding is secure (and you've diversified your holdings), then health care costs, at ~$1K-$2K/month shouldn't actually be an issue! I've seen some on this forum that pay $30K/year for a couple due to limited options in thier state. For me in Hawaii, I can get decent Kaisper Permanente coverage for $12K/year for a couple, without ACA benefits.
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Old 11-23-2018, 12:54 PM   #9
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Originally Posted by Bir48die View Post
Know your health care costs. It becomes the #1 cost if all other debts are paid off. If there are two of you and it will cost you $1,200+ per month can your budget handle that?
Yes, but there's also my wife, and a granddaughter of 13 that we care for. Thanks!
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Old 11-23-2018, 12:56 PM   #10
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I have been reviewing plans on Healthsherpa. Are these accurate?
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Old 11-23-2018, 12:59 PM   #11
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Originally Posted by SumDay View Post
I waited until DH got on Medicare, but I have ~3 years to go. Luckily I have retiree medical through my ex-employer. It's subsidized due to my length of service, but it's still $500+ a month for a high-deductible plan, which is still better than the ACA.

Visit the ACA enrollment website, create an account, and shop. Lot of folks here rely on after tax money to keep their income low so they can get the ACA subsidy.

http://www.healthcare.gov

Good luck to you!
That's a good idea!
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Old 11-23-2018, 01:03 PM   #12
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Originally Posted by HNL Bill View Post
Welcome!
  • What does well-funded mean?
  • Have you run FIRECALC?
  • Obtained a success rate at 3-4% annual withdrawals?
  • Evaluated your post-retirement budget?
  • You only have a question about health care options?

IMHO, if your ESOP/401(k) is adequately funded, and the ESOP funding is secure (and you've diversified your holdings), then health care costs, at ~$1K-$2K/month shouldn't actually be an issue! I've seen some on this forum that pay $30K/year for a couple due to limited options in thier state. For me in Hawaii, I can get decent Kaisper Permanente coverage for $12K/year for a couple, without ACA benefits.
Thanks for the info. Yes, I have plenty of retirement funding. Based on some of the responses, it seems I don't have too much to worry about right now with the health care plans. I will check out FIRECALC next.
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Old 11-23-2018, 01:50 PM   #13
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Quote:
Originally Posted by Murph View Post
I have been reviewing plans on Healthsherpa. Are these accurate?
Quote:
Originally Posted by SumDay View Post
Visit the ACA enrollment website, create an account, and shop. Lot of folks here rely on after tax money to keep their income low so they can get the ACA subsidy.

http://www.healthcare.gov

Recommend using the official healthcare.gov website instead of Healthsherpa. You don't have to register and login until you wish to purchase a plan. The option to explore plans (and subsidies based on income) is somewhat buried this year, but it w*rks very well. I've been on ACA through healthcare.gov for years and I usually play around with looking for plans and subsidies by entering hypothetical income levels. I only login when I want to finalize by choice.

If you are accustomed to employer subsidized group healthcare, you may be in for a bit of a shock. The premiums, deductible, and out of pocket can appear sky-high compared to what you may be accustomed. PPO plans are scarce, mabye even nonexistent in some areas. Less obvious, the few PPO typically have VERY restricted networks, unlike typical Megacorp PPO that basically included most providers.

Even worse, in my area, providers, even entire hospital complexes have dropped out of the PPO network in the MIDDLE of the plan year! Also, friends had to buy new insurance on healthcare.gov when their PPO insurer went bankrupt, wait for it.... in the middle of the plan year. We and our friends on ACA are now all on HMO as a result, and manage our income as much as possible to get subsidies.

Please don't let all this nonsense discourage you. It helps to keep informed. It helps to have a pot of $$$ and think of health insurance as medical bankrupcy prevention...

Some folks here fear the gap between Cadillac employer group healthcare and Medicare at 65. Fair enough, there are a few threads on this. On the other hand, keep in mind many of us retirees and small business owneres are living with ACA and getting along OK. For me it's kinda scary, but I realize that early retirement is not for those who are terribly fearful...

Oh, don't forget to consider keeping your existing health insurance for 18 months (?) with COBRA. But it too can be very expensive...
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Old 11-23-2018, 01:54 PM   #14
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Originally Posted by FreeBear View Post
Recommend using the official healthcare.gov website instead of Healthsherpa. You don't have to register and login until you wish to purchase a plan. The option to explore plans (and subsidies based on income) is somewhat buried this year, but it w*rks very well. I've been on ACA through healthcare.gov for years and I usually play around with looking for plans and subsidies by entering hypothetical income levels. I only login when I want to finalize by choice.

If you are accustomed to employer subsidized group healthcare, you may be in for a bit of a shock. The premiums, deductible, and out of pocket can appear sky-high compared to what you may be accustomed. PPO plans are scarce, mabye even nonexistent in some areas. Less obvious, the few PPO typically have VERY restricted networks, unlike typical Megacorp PPO that basically included most providers.

Even worse, in my area, providers, even entire hospital complexes have dropped out of the PPO network in the MIDDLE of the plan year! Also, friends had to buy new insurance on healthcare.gov when their PPO insurer went bankrupt, wait for it.... in the middle of the plan year. We and our friends on ACA are now all on HMO as a result, and manage our income as much as possible to get subsidies.

Please don't let all this nonsense discourage you. It helps to keep informed. It helps to have a pot of $$$ and think of health insurance as medical bankrupcy prevention...

Some folks here fear the gap between Cadillac employer group healthcare and Medicare at 65. Fair enough, there are a few threads on this. On the other hand, keep in mind many of us retirees and small business owneres are living with ACA and getting along OK. For me it's kinda scary, but I realize that early retirement is not for those who are terribly fearful...

Oh, don't forget to consider keeping your existing health insurance for 18 months (?) with COBRA. But it too can be very expensive...
+1
Yes use the official healthcare.gov site. Type in plans 2019 and you can take it from there.
You can play around with various incomes (MAGI) to see about your subsidies.
The ACA medical coverage can be fairly inexpensive depending which county/state one lives in conjunction with your income.
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Old 11-23-2018, 04:19 PM   #15
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I'm new here, just hope I can help. I did find out on my own healthcare/share journey that the greatest wealth I have and must protect is my health. I watched my husband succumb to a dreadful disease and if he had not had great coverage I would be broke.
I had to opt for a health-share plan from Aliera Healthcare because it (sort of) met my needs and was better than the only plan offered by the ACA for central Oregon... It does not cover preexisting (!)... But, if you are healthy and can jive with the 'religious-ity' of it, it is a low cost option. I also added a supplemental from United health that is an indemnity plan. Both these together do not add to half of the cost of the ACA for me. An HSA is brilliant for saving for unexpected, heck even expected, medical expense and adds peace of mind to cover deductible. It also acts as a tax free savings acct.
Self care is my dedicated investment to healthcare. Every day- exercise, eat healthy and nurture good relationships to lower cost by keeping healthy.
Although hopefully helpful, still must CYA!
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Old 12-14-2018, 07:08 PM   #16
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Originally Posted by FreeBear View Post
Recommend using the official healthcare.gov website instead of Healthsherpa. You don't have to register and login until you wish to purchase a plan. The option to explore plans (and subsidies based on income) is somewhat buried this year, but it w*rks very well. I've been on ACA through healthcare.gov for years and I usually play around with looking for plans and subsidies by entering hypothetical income levels. I only login when I want to finalize by choice.

If you are accustomed to employer subsidized group healthcare, you may be in for a bit of a shock. The premiums, deductible, and out of pocket can appear sky-high compared to what you may be accustomed. PPO plans are scarce, mabye even nonexistent in some areas. Less obvious, the few PPO typically have VERY restricted networks, unlike typical Megacorp PPO that basically included most providers.

Even worse, in my area, providers, even entire hospital complexes have dropped out of the PPO network in the MIDDLE of the plan year! Also, friends had to buy new insurance on healthcare.gov when their PPO insurer went bankrupt, wait for it.... in the middle of the plan year. We and our friends on ACA are now all on HMO as a result, and manage our income as much as possible to get subsidies.

Please don't let all this nonsense discourage you. It helps to keep informed. It helps to have a pot of $$$ and think of health insurance as medical bankrupcy prevention...

Some folks here fear the gap between Cadillac employer group healthcare and Medicare at 65. Fair enough, there are a few threads on this. On the other hand, keep in mind many of us retirees and small business owneres are living with ACA and getting along OK. For me it's kinda scary, but I realize that early retirement is not for those who are terribly fearful...

Oh, don't forget to consider keeping your existing health insurance for 18 months (?) with COBRA. But it too can be very expensive...
the healthcare.gov site is definitely better than healthsherpa. Thanks for the tip!
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Old 12-15-2018, 04:51 AM   #17
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What WR do you need to support the spending that you would prefer?
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Old 12-15-2018, 09:29 AM   #18
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Are you saying you are concerned abiut the cost of getting HI or that you are worried if it's available at any cost. It's not clear what your concern is. A little more info would be helpful both to you and the posters trying to answer your questions.
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Old 12-15-2018, 09:44 AM   #19
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And don't forget about Dental coverage.

Basic cleaning is affordable but anything else and the costs rise significantly.
Crown - $1500
Implant - $3750 (and that's just one tooth)
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Old 12-16-2018, 08:23 PM   #20
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What WR do you need to support the spending that you would prefer?
80k
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