Join Early Retirement Today
View Poll Results: Does your Public Retirement System pay for Retirees' Health Insurance?
Retirees have fully paid health insurance in addition to pension 3 10.00%
Retirees have partly paid health insurance in addition to pension 21 70.00%
Retirees pay for health insurance, but at lower rates than an individual policy 4 13.33%
Retirees receive neither paid health coverage nor preferred rates 2 6.67%
Other 0 0%
Voters: 30. You may not vote on this poll

Reply
 
Thread Tools Search this Thread Display Modes
Public Retiree Health Benefits
Old 10-23-2010, 12:36 PM   #1
Thinks s/he gets paid by the post
kyounge1956's Avatar
 
Join Date: Sep 2008
Posts: 2,171
Public Retiree Health Benefits

Public employees and retirees, does your retirement system pay for your health coverage after you retire?

I'm going to have to call the benefits office before I can vote in my own poll.

Seattle retirees pay for health insurance or self-insure, but I think we are considered part of the same group as active employees, which I think would mean we pay less than if buying an individual policy. I also don't know if I can continue my long-term care insurance after retirement at the same rate I'm paying as an employee.

I forgot to mention another health-related benefit. Seattle retirees can receive a tax-free rollover of 35% of the value of our unpaid sick leave in what's called a VEBA account, which is sort of like an HSA, except you can't add to it after retiring. As I understand it this gets voted on each time there is a new contract. If it passes, everyone who retires while the contract is in effect gets the VEBA. If it doesn't, I think each retiree can choose between getting 25% of the balance in (immediately taxable) cash, or roll over 25% tax free into your 457 plan. I believe under the current contract, the VEBA option was approved. Since I've got over 1000 hours of unused sick leave, that will be a nice little addition. I plan to use it to pay for my dental care out of pocket. I haven't had a cavity since I was 11, so I don't plan to get dental insurance, since the premiums are (I think) more than what it would cost just to pay the dentist for my periodic clean & polish.
__________________

__________________
kyounge1956 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 10-23-2010, 12:44 PM   #2
Administrator
W2R's Avatar
 
Join Date: Jan 2007
Location: New Orleans
Posts: 38,860
I voted, "Retirees have partly paid health insurance in addition to pension"

Federal employees retired under FERS (such as me) get the same deal as active employees. Right now I am paying $175.09/month for my part of the health insurance payments on my individual BCBS Standard policy. In 2011 I believe it is going up to almost $190/month. I am still glad that I worked the extra two years beyond FI to earn it, since this is much less than I would otherwise pay.

I don't have LTC insurance, but I am pretty sure that those who do, can keep it for the same payment amount as well.
__________________

__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities.

- - H. Melville, 1851
W2R is offline   Reply With Quote
Old 10-23-2010, 12:49 PM   #3
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,384
Quote:
Originally Posted by kyounge1956 View Post
Public employees and retirees, does your retirement system pay for your health coverage after you retire?

I'm going to have to call the benefits office before I can vote in my own poll.

Seattle retirees pay for health insurance or self-insure, but I think we are considered part of the same group as active employees, which I think would mean we pay less than if buying an individual policy. I also don't know if I can continue my long-term care insurance after retirement at the same rate I'm paying as an employee.
I have a friend who was employed by KC Metro. He retired, and he does not get any health insurance. He has a private high deductible policy to tide him over to Medicare. I am not sure if this is typical, or if it is something about his individual job or funding that denies him retiree medical.

Ha
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Old 10-23-2010, 12:53 PM   #4
Thinks s/he gets paid by the post
martyb's Avatar
 
Join Date: Nov 2006
Location: Bossier City
Posts: 2,182
Quote:
Originally Posted by W2R View Post
I voted, "Retirees have partly paid health insurance in addition to pension"

Federal employees retired under FERS (such as me) get the same deal as active employees. Right now I am paying $175.09/month for my part of the health insurance payments on my individual BCBS Standard policy. In 2011 I believe it is going up to almost $190/month. I am still glad that I worked the extra two years beyond FI to earn it, since this is much less than I would otherwise pay.

I don't have LTC insurance, but I am pretty sure that those who do, can keep it for the same payment amount as well.
Except...you're paying for your FEHB coverage with taxable money, while mine (still working) is with non-taxable money. Small difference, I know. Once I retire in 2 yrs, my FEHB deduction will be like yours, taxable. Also, I have family coverage BCBS, for which I pay $185 every 2 weeks. I believe mine's gonna go to $199+ after January.
__________________
“Change is the law of life. And those who look only to the past or present are certain to miss the future.”
-John F. Kennedy

“Hard work never killed anybody, but why take a chance?” - Edgar Bergen
martyb is online now   Reply With Quote
Old 10-23-2010, 01:08 PM   #5
Moderator Emeritus
Khan's Avatar
 
Join Date: Aug 2006
Location: Pine Island, Florida
Posts: 6,868
Send a message via AIM to Khan
Like W2R, retired federal employee.
__________________
"Knowin' no one nowhere's gonna miss us when we're gone..."
Khan is offline   Reply With Quote
Old 10-23-2010, 01:18 PM   #6
Thinks s/he gets paid by the post
kyounge1956's Avatar
 
Join Date: Sep 2008
Posts: 2,171
Quote:
Originally Posted by haha View Post
I have a friend who was employed by KC Metro. He retired, and he does not get any health insurance. He has a private high deductible policy to tide him over to Medicare. I am not sure if this is typical, or if it is something about his individual job or funding that denies him retiree medical.

Ha
I don't know anything about the King County system—maybe health insurance, even self-paid, just isn't part of their package. I'm rather surprised that the City of Seattle and King County systems are not AFAIK reciprocal with each other.
__________________
kyounge1956 is offline   Reply With Quote
Old 10-23-2010, 02:30 PM   #7
Thinks s/he gets paid by the post
GregLee's Avatar
 
Join Date: Oct 2010
Location: Waimanalo, HI
Posts: 1,881
Mine (Hawaii state) reimburses for Medicaid part B premiums and pays for supplementary medical, prescription drug, vision, dental, and life coverage.
__________________
Greg (retired in 2010 at age 68, state pension)
GregLee is offline   Reply With Quote
Old 10-23-2010, 02:54 PM   #8
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,384
Quote:
Originally Posted by GregLee View Post
Mine (Hawaii state) reimburses for Medicaid part B premiums and pays for supplementary medical, prescription drug, vision, dental, and life coverage.
This seems good, and it has the advantage from the POV of a typical Medicare recipient/taxpayer that the government worker is not being covered under a separate and often superior system. Your funding is subsidized, but Medicare is the basis for your benefits, if I understand correctly your post.

Ha
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Old 10-23-2010, 03:45 PM   #9
Thinks s/he gets paid by the post
 
Join Date: Nov 2006
Posts: 2,268
I'm not sure of the difference between choices 2 and 3.
__________________
utrecht is offline   Reply With Quote
Old 10-23-2010, 03:57 PM   #10
Thinks s/he gets paid by the post
kyounge1956's Avatar
 
Join Date: Sep 2008
Posts: 2,171
Quote:
Originally Posted by utrecht View Post
I'm not sure of the difference between choices 2 and 3.

Option 2: your retirement system pays for part of your health insurance coverage—a fixed amount, a percentage, or for some types of coverage, but not others—in addition to your pension benefit.

Option 3: health insurance is available through your retirement system (presumably at lower rates than an individual policy), but you pay for it out of your pension benefit.
__________________
kyounge1956 is offline   Reply With Quote
Old 10-23-2010, 04:03 PM   #11
Thinks s/he gets paid by the post
GregLee's Avatar
 
Join Date: Oct 2010
Location: Waimanalo, HI
Posts: 1,881
Quote:
Originally Posted by haha View Post
Your funding is subsidized, but Medicare is the basis for your benefits, if I understand correctly your post.
Medicare is my primary insurer. I'm not sure what "basis for your benefits" means. The doctor/hospital/pharmacy get whatever they can from Medicare, then get whatever else they can from HMSA (my supplemental insurer), then whatever of the bill is left over, I pay. Usually, I pay nothing. Well, I just retired August 1, so I don't have a lot of experience with this system personally, but I did have charge of my mother's affairs for several years, and she had a very similar deal with the Ohio PERS. Except for an occasional glitch, it was always just a matter of handing 2 or 3 insurance cards over, then letting the health provider figure out where to get the money from. A $100,000 hospital bill for recovering from pneumonia? No problem.
__________________
Greg (retired in 2010 at age 68, state pension)
GregLee is offline   Reply With Quote
Old 10-23-2010, 04:04 PM   #12
Thinks s/he gets paid by the post
 
Join Date: Nov 2006
Posts: 2,268
OK, I voted incorrectly then. I voted option 3, but I get no insurance benefits from my pension plan. I get subsidized retiree insurance from my employer just like most current workers do. The subsidies must not be a whole lot though because a single retiree currently pays about $450 per month for a 70/30 plan with $3000 deductible.
__________________
utrecht is offline   Reply With Quote
Old 10-24-2010, 06:55 AM   #13
Administrator
W2R's Avatar
 
Join Date: Jan 2007
Location: New Orleans
Posts: 38,860
Quote:
Originally Posted by utrecht View Post
OK, I voted incorrectly then. I voted option 3, but I get no insurance benefits from my pension plan. I get subsidized retiree insurance from my employer just like most current workers do. The subsidies must not be a whole lot though because a single retiree currently pays about $450 per month for a 70/30 plan with $3000 deductible.
OK, I moved your vote from option 3 to option 2 so it is corrected now.
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities.

- - H. Melville, 1851
W2R is offline   Reply With Quote
Old 10-24-2010, 07:52 AM   #14
Thinks s/he gets paid by the post
 
Join Date: Nov 2006
Posts: 2,268
W2R...I dont think that correct either. The question asks "Does your Public Retirement System pay for Retirees' Health Insurance?" I dont receive any Health Insurance benefits at all from my Public Retirement System so shouldnt my answer by #4?
__________________
utrecht is offline   Reply With Quote
Old 10-24-2010, 08:36 AM   #15
Thinks s/he gets paid by the post
 
Join Date: Mar 2009
Location: Pittsburgh, PA suburbs
Posts: 1,769
In addition to receiving a pension, retirees where I work pay half of the group rate for health insurance until Medicare. My friend who retired in February told me she was paying $207.00 a month for her BC/BS plan.
Current employees pay nothing for health insurance beyond a $100.00 a year deductible (single) or $200.00 (family).
__________________
WhoDaresWins is offline   Reply With Quote
Old 10-24-2010, 08:42 AM   #16
Administrator
W2R's Avatar
 
Join Date: Jan 2007
Location: New Orleans
Posts: 38,860
Quote:
Originally Posted by utrecht View Post
W2R...I dont think that correct either. The question asks "Does your Public Retirement System pay for Retirees' Health Insurance?" I dont receive any Health Insurance benefits at all from my Public Retirement System so shouldnt my answer by #4?
OK, corrected further by moving your vote again, this time from option 2 to option 4.
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities.

- - H. Melville, 1851
W2R is offline   Reply With Quote
Old 10-24-2010, 09:27 AM   #17
Thinks s/he gets paid by the post
Rustic23's Avatar
 
Join Date: Dec 2005
Location: Lake Livingston, Tx
Posts: 3,624
Are you sure you got his vote and not mine?
__________________
If it is after 5:00 when I post I reserve the right to disavow anything I posted.
Rustic23 is offline   Reply With Quote
Old 10-24-2010, 09:28 AM   #18
Administrator
W2R's Avatar
 
Join Date: Jan 2007
Location: New Orleans
Posts: 38,860
Quote:
Originally Posted by Rustic23 View Post
Are you sure you got his vote and not mine?
I'm not telling!

(actually all I changed was the number of votes for each selection)
__________________
Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harbourless immensities.

- - H. Melville, 1851
W2R is offline   Reply With Quote
Old 10-24-2010, 09:35 AM   #19
Thinks s/he gets paid by the post
Rustic23's Avatar
 
Join Date: Dec 2005
Location: Lake Livingston, Tx
Posts: 3,624
Good Answer!
__________________
If it is after 5:00 when I post I reserve the right to disavow anything I posted.
Rustic23 is offline   Reply With Quote
Old 10-24-2010, 09:40 AM   #20
Moderator
ziggy29's Avatar
 
Join Date: Oct 2005
Location: Texas
Posts: 15,612
One other thought, though -- just because someone selected " Retirees receive neither paid health coverage nor preferred rates " - it doesn't mean they *necessarily* get nothing. They may also have the option to stay in the group plan if they pay the premiums -- something only rarely offered to private sector retirees. For someone with significant health problems or preexisting conditions that can be extremely valuable even if the group coverage isn't subsidized.
__________________

__________________
"Hey, for every ten dollars, that's another hour that I have to be in the work place. That's an hour of my life. And my life is a very finite thing. I have only 'x' number of hours left before I'm dead. So how do I want to use these hours of my life? Do I want to use them just spending it on more crap and more stuff, or do I want to start getting a handle on it and using my life more intelligently?" -- Joe Dominguez (1938 - 1997)

RIP to Reemy, my avatar dog (2003 - 9/16/2017)
ziggy29 is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Health Benefits Before Medicare davemartin88 FIRE and Money 8 11-12-2008 02:09 PM
GM Eliminates Retiree Health Benefits, Dividend Helena FIRE and Money 22 07-18-2008 04:38 AM
GM Retiree health benefits take a hit A854321 Health and Early Retirement 3 07-16-2008 04:20 PM
Interesting Ruling (on retiree health benefits) yesterday. newguy88 Health and Early Retirement 13 12-29-2007 09:44 AM
retiree health care and hippa uncledrz Life after FIRE 3 05-15-2006 06:20 AM

 

 
All times are GMT -6. The time now is 07:31 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.