What do you pay for healthcare premiums

[Jaded salami]

Quote:

Originally Posted by pb4uski Dental insurance for us would be ~$900/year as I recall. Luckily we don't have any significant dental issues so we have cleanings/checkups which cost us ~$500/year. Even when we had dental when I was working the benefits were not all that great so we self insure and take our chances.

When I retired, like you we self insured for dental. Dental insurance is a racket, I've taken three companies to self insurance on dental. Many dental providers will negotiate with you for services at their "preferred'' (read insured) rate.

[BBQ-Nut]

$386/month, family coverage for medical, dental, & vision thru University of California employee benefits from DW.

Megacorp's coverage sucks, so I have opted out for years and pocketed the otherwise premium deduction from my paycheck.

DW has enough years of service for us to continue UC coverage when she FIREs.

[swakyaby]

Some people have wondered why I continue to enroll in a health insurance through my employer when the premiums that are deducted from my paycheck pre-tax seem so high, $1,691.00 per month for my spouse (57) and me (53) for Blue Shield PPO with a $500 deductible. They asked why don't I purchase health insurance on the open marketplace through the Affordable Care Act? In California, the ACA is known as Covered California. It is offered to those whose employer does not offer any health insurance. It is lower in cost because it is subsidized by other taxpayers(me!). And there are income limits. So I don't qualify for this. If I purchase health insurance outside of my employer, the premiums are paid with after-tax income. It comes out costlier, in my situation, but not enough to qualify me for any income tax deduction.

My other choices offered to me and my spouse are Blue Shield HMO for $2,266 a month, Kaiser HMO for $1,347 a month, and a Blue Shield High Deductible ($5,000? per person) with HSA for $1,146 a month.

Perhaps part of the problem is that I continue to work, and my earned income disqualifies me from the subsidies enjoyed by many.

[daylatedollarshort]

Quote:

Originally Posted by swakyaby Perhaps part of the problem is that I continue to work, and my earned income disqualifies me from the subsidies enjoyed by many.

Come over to the dark side. We have cookies (and ACA subsidies).

[swakyaby]

Quote:

Originally Posted by daylatedollarshort Come over to the dark side. We have cookies (and ACA subsidies).

Tempting, you devil you.

[pb4uski]

Quote:

Originally Posted by swakyaby Some people have wondered why I continue to enroll in a health insurance through my employer when the premiums that are deducted from my paycheck pre-tax seem so high, $1,691.00 per month for my spouse (57) and me (53) for Blue Shield PPO with a $500 deductible. They asked why don't I purchase health insurance on the open marketplace through the Affordable Care Act? In California, the ACA is known as Covered California. It is offered to those whose employer does not offer any health insurance. It is lower in cost because it is subsidized by other taxpayers(me!). And there are income limits. So I don't qualify for this. If I purchase health insurance outside of my employer, the premiums are paid with after-tax income. It comes out costlier, in my situation, but not enough to qualify me for any income tax deduction. My other choices offered to me and my spouse are Blue Shield HMO for $2,266 a month, Kaiser HMO for $1,347 a month, and a Blue Shield High Deductible ($5,000? per person) with HSA for $1,146 a month. Perhaps part of the problem is that I continue to work, and my earned income disqualifies me from the subsidies enjoyed by many.

It seems to me the HDHI policy is less costly if you are healthy. The HDHI policy would cost you $13,572 a year in premiums and assuming your marginal federal/state tax rate is 35% that would equate to $18,336 a year. Your employer policy costs you $20,292 a year. So you would save almost $2,000 a year in premium. If your medical costs are less than $2,500 a year you would be better off with the HDHI policy, if they are more than $2,500 a year then the employer policy is better. And if your total costs are more than 10% of your AGI you would get an itemized deduction benefit as well for the HDHI policy.

But to be honest, those costs are outrageous either way. I'd consider moving.

[MichaelB]

Quote:

Originally Posted by daylatedollarshort Come over to the dark side. We have cookies (and ACA subsidies).

[fh2000]

Quote:

Originally Posted by swakyaby Some people have wondered why I continue to enroll in a health insurance through my employer when the premiums that are deducted from my paycheck pre-tax seem so high, $1,691.00 per month for my spouse (57) and me (53) for Blue Shield PPO with a $500 deductible. They asked why don't I purchase health insurance on the open marketplace through the Affordable Care Act? In California, the ACA is known as Covered California. It is offered to those whose employer does not offer any health insurance. It is lower in cost because it is subsidized by other taxpayers(me!). And there are income limits. So I don't qualify for this. If I purchase health insurance outside of my employer, the premiums are paid with after-tax income. It comes out costlier, in my situation, but not enough to qualify me for any income tax deduction. My other choices offered to me and my spouse are Blue Shield HMO for $2,266 a month, Kaiser HMO for $1,347 a month, and a Blue Shield High Deductible ($5,000? per person) with HSA for $1,146 a month. Perhaps part of the problem is that I continue to work, and my earned income disqualifies me from the subsidies enjoyed by many.

I do not have experience paying the full price of group insurance. I did not even know that all my prior employers subsidized my group insurance premium until I started to do research on ACA.

So, yours is a small private company?

[swakyaby]

Quote:

Originally Posted by pb4uski It seems to me the HDHI policy is less costly if you are healthy. The HDHI policy would cost you $13,572 a year in premiums and assuming your marginal federal/state tax rate is 35% that would equate to $18,336 a year. Your employer policy costs you $20,292 a year. So you would save almost $2,000 a year in premium. If your medical costs are less than $2,500 a year you would be better off with the HDHI policy, if they are more than $2,500 a year then the employer policy is better. And if your total costs are more than 10% of your AGI you would get an itemized deduction benefit as well for the HDHI policy. But to be honest, those costs are outrageous either way. I'd consider moving.

I posted my insurance cost because the OP appeared to wonder if anybody else paid anything near what he does. The HDHI policy with HSA works better for young workers with little health care needs. But with my spouse and I in our 50's, the need for annual visits to continue our prescription medications and the cancer screening tests (colonoscopies--mine are now every 3 years, breast biopsies, prostate cancer detection). minor lumps and bumps like ganglion cyst removals, inguinal hernia procedures, the HDHI policy involves more record-keeping hassle without much financial benefit. And I consider ourselves relatively healthy!

Marginal federal tax 33%, California marginal tax 11.3%, Medicare tax 7%, Medicare surcharge 0.9% (to pay for the ACA subsidy for others), and a few other taxes.

Joining the dark side sounds better every day.

[swakyaby]

Quote:

Originally Posted by fh2000 I do not have experience paying the full price of group insurance. I did not even know that all my prior employers subsidized my group insurance premium until I started to do research on ACA. So, yours is a small private company?

Yes, I estimate just under 200 employees.

[dm]

My wife and I are paying $1440 month. This includes limited dental and vision. It's our highest expense.

[daylatedollarshort]

Quote:

Originally Posted by swakyaby Joining the dark side sounds better every day.

Between starting our pensions, lower SS and income taxes, ACA subsidies, qualifying for financial aid for college, part-time work, etc. we have been able to live the same basic lifestyle except a lot more free time and only with working minimal hours from home. We also no longer have to save for retirement or need disability or life insurance. Plus we had a lot of extra expenses in our budget we were able to trim with more free time - like cooking more with whole foods from scratch, cutting our energy bills in half and time to now buy groceries and gas mainly from Costco or other local warehouse stores.

[jkern]

Stanford retiree for 1: $322/month, no dental.

Stanford changed the rules on me several years ago prior to retirement, it would have been ZERO. I'm doing my part to keep Stanford wealthy.

[Spanky]

Still working - $270 / month + $110 spousal surcharge because spouse's employer offers health insurance. I am not sure how an employer can find out whether your spouse can be covered by another plan. Honesty, I presume, is prudent.