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Old 08-17-2020, 07:08 AM   #21
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You would think healthcare would at least rate as high as vacations or something in annual expenses considering how important it is to living much we all complain about it.
fify

premiums about 5%, so actual expenses can push us up to 10 with our HD plans, varies per year depending on what's going on.
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Old 08-17-2020, 07:23 AM   #22
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about 2% for retiree insurance, will go up significantly when we go on medicare, opposite of what many folks experience, I think.
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Old 08-17-2020, 08:57 AM   #23
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I have a mega-corp sponsored retiree medical plan. I pay $7800 premium per year to cover wife and I. Company matches or pays a little more than that to complete the payment. So total maybe ~$15,600+ per year for me and wife. Family yearly deductible = $600, Max yearly out of pocket = $6000. Our yearly living expenses vary a lot but on average, premiums I pay as a % of our expenses ~~ 4.5%.
If I didn't have a good company plan, I would look into Heath Care Sharing plans to get a reasonable cost.... https://www.kitces.com/blog/healthca...h-share-plans/
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Old 08-17-2020, 09:01 AM   #24
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I have Federal Health insurance and Medicare Part A. Looking at itemized deductions over the years it looks like we average about 10-12% of our income after taxes (which is what we spend) for health expenses. We haven't itemized since 2017 and probably won't absent significant tax law changes. I keep meticulous records of medical bills to make sure we pay only what is required after insurance but I don't total up the sum anymore so for any given year now it's a guess.
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Old 08-17-2020, 09:19 AM   #25
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11% of our annual spend was healthcare.
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Old 08-17-2020, 09:22 AM   #26
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0% - when I applied for ACA I didn't qualify because my income was below the threshold (I live off savings) so they pushed me into Medicaid which covers everything, including dental and vision. The thing is that once you're on it, and have no regular monthly income, you can seemingly keep it. I may or may not sell equities or do ROTH conversions at the end of the year (tbd) but if it's a one time lump sum that only counts as income in the month it is received, Medicaid eligibility doesn't change since they only care about regular monthly income. It's a little crazy but I didn't write the law - I just follow it.
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Old 08-17-2020, 09:33 AM   #27
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0% - I was supposed to come out of Medicaid this year, but with the COVID-19 emergency they say I stay in until the emergency is over.
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Old 08-17-2020, 10:17 AM   #28
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15% Now I am on Medicare (DW is on ACA) before that it was about 5% when we were both on ACA.
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Old 08-17-2020, 10:51 AM   #29
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My total healthcare costs are running about 11% of my average annual spending. The vast majority of that is from insurance premiums. I'm over the limit for any sort of premium subsidy, so I pay the full retail rate for a bronze-level ACA plan with a $6,900 out-of-pocket max.

I'm looking forward to the day when I can hop on my future DW's (currently, DGF) employer-sponsored plan. My current BCBS plan is so pitiful that I don't even use it to fill prescriptions. GoodRx actually gets me lower pricing 99% of the time. And I discovered recently that the "cash self-pay" option my dermatologist offers is actually cheaper than my insurance co-pay for routine office/telehealth appointments. It's truly mind boggling to comprehend just how bad the cost/benefit ratio is for unsubsidized individual-market medical insurance.
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Old 08-17-2020, 11:09 AM   #30
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What percentage of your annual expense is your health care premiums family plan or non - family plan? What are your out of pocket deductibles?
I am on Federal employee/retiree insurance, which converted to a Medicare supplement when I turned 65 and started paying for Medicare Part B. The reasons I chose a career as a federal employee, was this and other retirement benefits, as well as job security as I grew older.

With this combination of this (BCBS) insurance and Medicare, I have zero deductible, zero co-pays. I pay for my share of prescription drug costs, and for dental.

The combination of monthly premiums/fees for Medicare and for BCBS in 2019 came to about 9% of that year's spending totals. Like others here, I think this is fairly useless info since it depends on what you spent overall and that varies a lot from person to person.
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Old 08-17-2020, 01:13 PM   #31
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In 2019, we spent $47,230 on the two of us (couple, ages 71 and 72).
Our medical spending was $16,070, or 34%.

(We also gave money away and paid taxes, those dollars are not in the total above.
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Old 08-17-2020, 01:38 PM   #32
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15% Now I am on Medicare (DW is on ACA) before that it was about 5% when we were both on ACA.
Yup, I expect my medical expenses to go up when eventually getting on Medicare vs. the ACA.
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Old 08-17-2020, 01:40 PM   #33
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In 2019, we spent $47,230 on the two of us (couple, ages 71 and 72).
Our medical spending was $16,070, or 34%.

(We also gave money away and paid taxes, those dollars are not in the total above.
Based on other medical cost posts, I believe there are many more examples similar to yours with a high % of medical; just not posting here.
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Old 08-17-2020, 01:44 PM   #34
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My "medical" spending category is fairly broad, since it includes dental and anything even remotely related to healthcare. Over the past 13 years it has averaged right around 5% of total spending.
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Old 08-17-2020, 04:42 PM   #35
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Ours is a fourth of our gross income. I can’t wait for my husband to be old enough for Medicare so we can get off our state retiree insurance.
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Old 08-17-2020, 04:55 PM   #36
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We are retired and now both on Medicare. Total OOP costs with Medicare A&B, Part D, and Part G medigap is about 9-10% of normal spend (including taxes). MegaCorp supplements a little, so that brings it closer to 7-8%. No complaints.
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Old 08-17-2020, 10:05 PM   #37
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I have Federal Health insurance and Medicare Part A. Looking at itemized deductions over the years it looks like we average about 10-12% of our income after taxes (which is what we spend) for health expenses. We haven't itemized since 2017 and probably won't absent significant tax law changes. I keep meticulous records of medical bills to make sure we pay only what is required after insurance but I don't total up the sum anymore so for any given year now it's a guess.


No Medicare Part B? I知 just starting to look into the combination of Medicare +FEHB for when I turn 65. I guess I知 a bit annoyed that the FEHB premium isn稚 reduced. Maybe I知 starting to understand why DB refused to sign up for Medicare but need to verify if he at least signed up for Part A.

I think we are ~8-12% with the higher percentage including some extraordinary dental expenses.
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Old 08-17-2020, 11:44 PM   #38
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I spend $10 a year. 5 for a physical and 5 to see the dermatologist.
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Old 08-18-2020, 05:13 AM   #39
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We are 71 & 73, with a gold plated FEHB(former Gov't employee) health plan which became supplemental at age 65 so premiums are for that plan plus Medicare B, and subsidized premiums for vision and dental. OOP is normally zero, except when dental extraordinary expense occurs such as this year with a dental implant and a root canal. The premiums alone, run 3.5% of total expenses including federal and state income taxes(our biggest expense). With OOP included in total cost, for the non covered excess dental, this year the total health care cost reached 5.8%. This cost also does not include premiums for LTC, which this year represented another 5% of total expenses. Starting in 2021, we will get wacked with IRMAA, so the premiums will be 5.7%, vs. the 3.5% current premium expense.
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Old 08-18-2020, 05:28 AM   #40
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No Medicare Part B? I知 just starting to look into the combination of Medicare +FEHB for when I turn 65. I guess I知 a bit annoyed that the FEHB premium isn稚 reduced. Maybe I知 starting to understand why DB refused to sign up for Medicare but need to verify if he at least signed up for Part A.

I think we are ~8-12% with the higher percentage including some extraordinary dental expenses.
Jazz; Look into Aetna Direct in your federal options once you are on Medicare, which is a plan offered in every state designed for Federal retirees. When you look for it, make sure you check in the HMO State by State plans rather than in the nationwide section of the plan offerings. The code is N61, N62, or N63.

The premium is less than BCBS or whatever you have now and there is an HRA which kicks back $900/pp, up to $1,800/year to offset your Part B premiums. AND there is a zero deductible and no copays, except for prescription copays, where the copays on most meds are $2 per prescription for a 90 day supply, as long as you are also covered by Part B..

We switched 3 years ago, from BCBS Basic and have been very happy. There are no limits on the physician network you choose, as long as the physician or provider accepts medicare. You file a claim monthly for reimbursement of the medicare premium, or you can choose to wait to file a claim until your monthly cumulative Part B premiums exceed the $900/$1,800 kick back and get a big fat check back within 30 days. Customer service is very good. No complaints at all.
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