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How much does Medicare cost?
Old 08-10-2014, 09:15 PM   #1
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How much does Medicare cost?

At 62 my husband will be able to collect SS in the amount of $1,628 per month. How much in taxes will be taken out on that and is there any way I can figure out how much Medicare is going to cost him?

Thank you.
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Old 08-10-2014, 09:18 PM   #2
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Most people go on Medicare at age 65. Here's a webpage that details the costs.

Medicare 2014 costs at a glance | Medicare.gov

This webpage from Social Security may be helpful regarding how they handle tax withholding:

Benefits Planner: Withholding Income Tax From Your Social Security Benefits
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Old 08-10-2014, 10:00 PM   #3
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W2R is right. He is not eligible for Medicare until he is 65. His full retirement age is 66. If he starts collecting a 75% benefit early he will not have to pay medicare until he is 65. That amount for part A (hospital) is now around $100 a month.( more if your household income is over $200k.)
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Old 08-10-2014, 10:03 PM   #4
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Medicare starts at 65. Right? Taking SS earlier does not change that. Right?
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Old 08-10-2014, 11:38 PM   #5
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Medicare starts at 65. Right? Taking SS earlier does not change that. Right?
Correct!
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Old 08-11-2014, 06:34 AM   #6
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That amount for part A (hospital) is now around $100 a month.( more if your household income is over $200k.)
Actually, part A is "free". The $104.90 taken out of SS each month is for part B.
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Old 08-11-2014, 07:52 AM   #7
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oh rats I knew that-don't know why I got it backwards
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Old 08-11-2014, 09:08 AM   #8
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Additional cost over and above standard medicare.
You are probably also going to want a medicare supplement,if so also need
medicare part D drug plan,or part C medicare advantage plan.
Part D plans anywhere from about 18/month to 100/month depending on how good you want the formulary. The supplements cost between about 69-150/month depending which plan, where you live and how many plans are available, cost may/will rise with age.
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Old 08-11-2014, 03:31 PM   #9
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Quote:
Originally Posted by lemming View Post
W2R is right. He is not eligible for Medicare until he is 65. His full retirement age is 66. If he starts collecting a 75% benefit early he will not have to pay medicare until he is 65. That amount for part A (hospital) is now around $100 a month.( more if your household income is over $200k.)
This is one of those things where your mileage will not vary. Here are the premiums at various income levels, per SSA.

Part B premiums by income

If your yearly income in 2012 (for what you pay in 2014) was You pay (in 2014) File individual tax return File joint tax return File married & separate tax return $85,000 or less $170,000 or less $85,000 or less $104.90 above $85,000 up to $107,000 above $170,000 up to $214,000 Not applicable $146.90 above $107,000 up to $160,000 above $214,000 up to $320,000 Not applicable $209.80 above $160,000 up to $214,000 above $320,000 up to $428,000 above $85,000 and up to $129,000 $272.70 above $214,000 above $428,000 above $129,000 $335.70
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Old 08-11-2014, 07:15 PM   #10
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Additional cost over and above standard medicare.
You are probably also going to want a medicare supplement,if so also need
medicare part D drug plan,or part C medicare advantage plan.
Part D plans anywhere from about 18/month to 100/month depending on how good you want the formulary. The supplements cost between about 69-150/month depending which plan, where you live and how many plans are available, cost may/will rise with age.
Old Mike

Correction on the supplement plans. They can go higher than $260 a month. I pay $259 for my F plan. Rates are different in each state.
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Old 08-11-2014, 07:24 PM   #11
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Correction on the supplement plans. They can go higher than $260 a month. I pay $259 for my F plan. Rates are different in each state.
They can also go lower than the $69/mo mentioned. DW is currently paying $45/mo for a high deductible Plan F.
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Old 08-12-2014, 05:43 AM   #12
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Wow big variation in supplement plans, I pay 69/mo for F HD and thought that was
cheap, while 260/mo for regular plan F is pretty high. Regardless of plan, medicare picks up 80% so what you are paying for is the other 20% with F,plus the plans may extend some longer term hosp stays,over and above medicare.
So far the plan F HD is working out well,but have not used any hosp care yet.
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Old 08-12-2014, 10:01 AM   #13
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This is one of those things where your mileage will not vary. Here are the premiums at various income levels, per SSA.

Part B premiums by income

If your yearly income in 2012 (for what you pay in 2014) was You pay (in 2014) File individual tax return File joint tax return File married & separate tax return $85,000 or less $170,000 or less $85,000 or less $104.90 above $85,000 up to $107,000 above $170,000 up to $214,000 Not applicable $146.90 above $107,000 up to $160,000 above $214,000 up to $320,000 Not applicable $209.80 above $160,000 up to $214,000 above $320,000 up to $428,000 above $85,000 and up to $129,000 $272.70 above $214,000 above $428,000 above $129,000 $335.70
Ha
Here's what I don't understand: I have two friends who have told me "...Medicare is far from inexpensive; my mother is paying over $400 a month for Medicare..."

I know for a fact that these ladies are in the low end of the income scale. The only thing I can think of is that perhaps they didn't/never worked outside the home (?). Otherwise, I can't figure out how they must pay so much.
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Old 08-12-2014, 10:21 AM   #14
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Here's what I don't understand: I have two friends who have told me "...Medicare is far from inexpensive; my mother is paying over $400 a month for Medicare..."

....I can't figure out how they must pay so much.
Not hard to end up with $400/mo or more when you combine the cost of Medicare Part B ($105) + Medicare Part D + a Medicare Supplement Plan.
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Old 08-12-2014, 10:34 AM   #15
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Not hard to end up with $400/mo or more when you combine the cost of Medicare Part B ($105) + Medicare Part D + a Medicare Supplement Plan.
But you have very good coverage. With a plan F supplement, there is no deductible or copay for covered procedures. The only copays are for the part D drug coverage.
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Old 08-12-2014, 10:59 AM   #16
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Wow big variation in supplement plans, I pay 69/mo for F HD and thought that was
cheap, while 260/mo for regular plan F is pretty high. Regardless of plan, medicare picks up 80% so what you are paying for is the other 20% with F,plus the plans may extend some longer term hosp stays,over and above medicare.
So far the plan F HD is working out well,but have not used any hosp care yet.
Old Mike
Plan F (not F HD) has been a godsend for us. DW has spent 3 stays in the hospital in 2013 and two (so far) in 2014 for bouts with COPD and each stay is over a week. So far, all we have paid beyond Medicare/insurance premiums is $0. Her Part D cost for medications (inhalers, steroids,etc) are significant as we hit the "doughnut hole" each year by August.

Her Plan F cost is $180/month and Part D $35/month. My Plan F cost is $225/month and Part D $22.80/month. Both of us pay $104/month for Medicare.

For me, I lose on Plan F as I have had no big issues and I take one inexpensive prescription.

So back to the OP's question of how much dies Medicare cost? it's a flat rate and has additional insurance options.

My advice: get smart ahead of time in knowing your options to change insurance plans AFTER you have signed on to Medicare. As an example, You don't want to put yourself in a position of wanting to switch from a Medicare Advantage plan into a Medigap Supplemental plan having known pre-existing health conditions. You may not get accepted into a Supplemental Plan at that time.
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Old 08-12-2014, 11:05 AM   #17
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Not hard to end up with $400/mo or more when you combine the cost of Medicare Part B ($105) + Medicare Part D + a Medicare Supplement Plan.
The key to the $400/mo puzzle is that zero deductible/copay Medicare Supplemental Plans can get very pricey as you age. Like you, I recently turned 67 and my BCBS plan F supplemental plan went up to $174/mo. I'm informed that I can look forward to continuing increases as I age.

Currently for me: Part B = 104, Supplement = 174, Part D = 49, Total = 327. I'm planning on the Supplement going up significantly with age so it's just a matter of a few more years until I reach the $400 amount being discussed.

I'm glad for Medicare coverage and, so far, it seems to be working fine. But I can see where someone living on a modest retirement income would describe it as "expensive." An elderly couple living on, say, $40k/yr sounds like a satisfactory situation until you factor in $800/mo (combined) for Medicare. Then, at least to me, the situation sounds pretty tight.
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Old 08-12-2014, 11:09 AM   #18
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For me, I lose on Plan F as I have had no big issues and I take one inexpensive prescription.
Maybe you should opt for the high deductible version?

Both DW and I have HD Plan F (we each pay the first $2,140 out of pocket before it kicks in), but we are both (thankfully) relatively healthy. Assuming I still have my wits about me at the time, we may switch to a standard Plan F version if (when?) we become more aggressive consumers of health care services...
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Old 08-12-2014, 11:16 AM   #19
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Assuming I still have my wits about me at the time, we may switch to a standard Plan F version if (when?) we become more aggressive consumers of health care services...
I believe you have to go through underwriting to do this.
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Old 08-12-2014, 11:21 AM   #20
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The key to the $400/mo puzzle is that zero deductible/copay Medicare Supplemental Plans can get very pricey as you age.
This varies from state to state. In my state, everyone who has a Plan F, for example, pays the same regardless of age.


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