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Old 10-12-2015, 11:41 AM   #21
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it's not just the COLA on SS, CPI is also used to change IRS benefit limitations
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Old 10-12-2015, 03:57 PM   #22
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Is that a plan D? That's crazy. DH just switched to Humana Walmart Rx and it's only $18 a month for 2016.
It's Caremark high option, part of my former employer's plan. I pay 30% of the total premium which is a lot less than many on the board here pay so perhaps I shouldn't moan too loudly. I'm a little fuzzy on whether it is actually a plan D or a substitute for one that qualifies by meeting the legal requirements.

The transition to Medicare was pretty simple for me since I kept the same insurance and it became secondary to Medicare A and B at age 65.
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Old 10-16-2015, 10:36 AM   #23
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Is inflation low? Depends on what you buy. As many noted, dropping fuel prices cancel out inflation of other commodities and services, so if you have an RV you would do well. If you do not drive much, you will not be happy as other items went up 1.9% in the last 12 months.

From a press release of the Bureau of Labor Statistics (BLS):
The energy index fell 4.7 percent in September... The indexes for fuel oil, electricity, and natural gas declined as well...

In contrast to the energy declines, the indexes for food and for all items less food and energy both accelerated in September...

The 18.4 percent decline in the energy index over the past year offset increases in the indexes for food (up 1.6 percent) and all items less food and energy (up 1.9 percent).
Read the entire article here: Consumer Price Index Summary.
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Old 10-16-2015, 02:56 PM   #24
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I picked up a copy of "Get What's Yours: the Secrets to Maxing Out Your Social Security" at the library today. A fun fact not discussed on the board here so far concerns spousal benefits.

Quote:
If you were convicted of the felonious and intentional homicide of the worker, you cannot become entitled to monthly benefits or the lump-sum death payment based on the deceased's Social Security earnings record.
So, tempting though it may be, don't murder your spouse or ex if you're planning on taking spousal benefits.
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Old 10-16-2015, 03:00 PM   #25
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Even without SS increases (I don't get SS at present anyway), I am really happy that healthcare costs are not galloping away at 7-10%. In the link in post #23 by NW-Bound, I saw medical care commodities inflation at 2.7% (I don't suppose that the same thing as total healthcare). What I have read elsewhere is that healthcare inflation over the last 2 years of Obamacare was 2.4% annually, whatever the actual causes may be. For me, healthcare inflation might be the one issue that could cause problems.
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Old 10-16-2015, 03:01 PM   #26
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I picked up a copy of "Get What's Yours: the Secrets to Maxing Out Your Social Security" at the library today. A fun fact not discussed on the board here so far concerns spousal benefits.



So, tempting though it may be, don't murder your spouse or ex if you're planning on taking spousal benefits.
Dang! the Gummint thinks of everything.
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Old 10-16-2015, 04:23 PM   #27
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Low gas price = less need/desirability for hybrid or electric car investment cost premium. Net, even more savings for seniors needing a replacement car.
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Old 10-16-2015, 04:26 PM   #28
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Even without SS increases (I don't get SS at present anyway), I am really happy that healthcare costs are not galloping away at 7-10%. In the link in post #23 by NW-Bound, I saw medical care commodities inflation at 2.7% (I don't suppose that the same thing as total healthcare). What I have read elsewhere is that healthcare inflation over the last 2 years of Obamacare was 2.4% annually, whatever the actual causes may be. For me, healthcare inflation might be the one issue that could cause problems.

Its all in the details 1982.... My individual healthcare plan of $5k deductible for previous 5 years ranged from $72-$88 a month. This year because of Obamacare it went from $88 to almost $300 for a $6500 deductible. So my Obamacare inflation was triple digit inflation! And from what I read next year from local newspaper the Act is ready to kick me hard in the privates again. BTW- 1982 was a good year!


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Old 10-16-2015, 05:02 PM   #29
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...So, tempting though it may be, don't murder your spouse or ex if you're planning on taking spousal benefits.
Yes. Go after the ex's boyfriend or girlfriend. Leave the ex alone.

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... my Obamacare inflation was triple digit inflation! And from what I read next year from local newspaper the Act is ready to kick me hard in the privates again...
Yet, if the overall healthcare inflation is not bad, then it means someone else is enjoying enhanced benefits.

My condolences, but in real life not everyone can win.
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Lower gas prices means no Social Security increase next year
Old 10-16-2015, 05:05 PM   #30
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Lower gas prices means no Social Security increase next year

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Yes. Go after the ex's boyfriend or girlfriend. Leave the ex alone.







Yet, if the overall healthcare inflation is not bad, then it means someone else is enjoying enhanced benefits.



My condolences, but in real life not everyone can win.

As long as I don't get banned from doing it on a semi frequent basis, complaining about it here makes the situation tolerable....Its therapeutic.


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Old 10-16-2015, 05:07 PM   #31
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I am not getting SS, but the negative inflation means that my I-bonds which have a 1.2% fixed rate are also paying 0.

A big fat 0! Darn! I looked back, and as recently as in 2011, they were paying 5.83%. I know that the 5.83% is still only 1.2% after inflation, but, but, but it still hurts.

I hope the gas price stays low until next year travel season, so I can take my RV out for a long spin of several months to make up for other stuff that go up in prices. You've got to burn a lot of gas to save money.

If you do not have an RV, crank up the thermostat this winter to enjoy that low energy cost. You've got to spend money to save money, as they say.
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Old 10-16-2015, 05:14 PM   #32
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As long as I don't get banned from doing it on a semi frequent basis, complaining about it here makes the situation tolerable....Its therapeutic.
To quote that great American Statesman, "no problemo".

Another way to look at your situation is you enjoyed a nice subsidy for many years, now it's gone. I may soon find myself once again in your situation. The plan I have is dropped (again), the only equivalent option so far will cost 50% more, on a base of $1.4K per month.
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Lower gas prices means no Social Security increase next year
Old 10-16-2015, 05:32 PM   #33
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Lower gas prices means no Social Security increase next year

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To quote that great American Statesman, "no problemo".

Another way to look at your situation is you enjoyed a nice subsidy for many years, now it's gone. I may soon find myself once again in your situation. The plan I have is dropped (again), the only equivalent option so far will cost 50% more, on a base of $1.4K per month.

I sure hope the premium includes at least 2 people, Michael. I have to admit I knew about 5% as much about insurance pricing as I do today. I had an option to stay on a group plan until SS for $500 a month and $1k deductible. I thought that was outrageous. So I checked in the individual market and think....Why is anyone complaining about buying insurance? Write the $72 monthly check, fully fund an HSA, and tad da..... They are actually paying me to get insurance when figuring in the tax deduction. Well it was fun for 5 years anyways...


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Old 10-16-2015, 05:47 PM   #34
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Its one of those where the no COLA this year is bad news for those too close to the edge, but good for the overall market.. ie trying to factor in 3% inflation over 40+ years of retirement makes the #s crazy high.. so I'm happy about a break in inflation early on in retirement. Add to it that over half of companies were actually planning on giving a pay increase this year (sad that its no longer guaranteed).. means many will have more buying power (ie. good for the market).

I saw lots of posting of people very upset about no COLA and how EVERYTHING had gone up...so went over to BLS and looked up the #s. So gas is down (YEH saves me at least $100/month), Dairy is down, and pork is down while beef and chicken is up (so thats a toss up as I just buy whatevers on sale). Rent is up 2.4% for me which comes out to $20/month, and of course health care (which is unknown right now).. so on the big ticket items I'm probably $80 to the plus side so as long as my insurance doesn't go up by 25% I'll break even. Given I have been assuming 10-15%, we'll see as I may actually be on the plus side.
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Old 10-16-2015, 06:21 PM   #35
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I have to wonder what percentage of GDP is in health care, and how much the inflation numbers are weighted in health care costs. I suspect the first number is a lot higher than the second.
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Old 10-16-2015, 06:33 PM   #36
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I have to wonder what percentage of GDP is in health care, and how much the inflation numbers are weighted in health care costs. I suspect the first number is a lot higher than the second.
According to this site, 17.4% of the U.S. GDP is health spending.

https://www.cms.gov/research-statist...istorical.html
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Old 10-16-2015, 06:41 PM   #37
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I'm OK with no SS COLA this year. Should help SS stretch out a longer life, as I see it. It has been obvious for a while that it would be >1% this year anyway. I'll not miss the extra bump.
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Old 10-16-2015, 06:48 PM   #38
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What a bunch of #$%#%$. Rents are up, food is up, medical is up, and we have no inflation!
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Old 10-17-2015, 08:06 AM   #39
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Its all in the details 1982.... My individual healthcare plan of $5k deductible for previous 5 years ranged from $72-$88 a month. This year because of Obamacare it went from $88 to almost $300 for a $6500 deductible. So my Obamacare inflation was triple digit inflation! And from what I read next year from local newspaper the Act is ready to kick me hard in the privates again. BTW- 1982 was a good year!


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Sorry to hear about that; I knew there were winners and losers. Averages are just that - averages.
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Old 10-17-2015, 09:00 AM   #40
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I think DH and I are part of the group that will be picking up the tab for SS recipients who don't get an increase in Part B premiums. Ordinarily, they won't raise Medicare B premiums because of a law that says the net (monthly SS minus Part B) can't go up from year to year.


That doesn't apply to people who are subject to IRMA (Income-Related Monthly Adjustments) to their part B premium, which are based on your Adjusted Gross. Because we're married filing jointly, that includes my income even though I don't qualify for Medicare yet. I'm not looking forward to seeing the Part B increase- another punishment for saving responsibly.


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What a bunch of #$%#%$. Rents are up, food is up, medical is up, and we have no inflation!

Ah, but according to one article I read, airfares are down! And seniors fly everywhere right? Oh, well, except for the ones relying totally on SS and the ones who can't stand flying anymore because it's such an endurance contest and the ones who have the time to drive everywhere...;-)
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