Guessing at Medicare Costs in 2035

[ivinsfan]

Because we are in the top IRMAA tier. They didn’t indicate their number was at the top of a range.

I don't think a lot of people know about this until they get caught by higher IRMAA costs.

 

[MasterBlaster]

The wildcard with Medicare is prescription drugs

The wildcard with Medicare is prescription drugs.

Should you be in a position where you could really benefit from some of the newer (non-formulary) drugs then you just may find that medicare just doesn't cover such. Then it's do without and suffer on the covered but older in-effective medications or pay out-of pocket for something that actually works. There is a reason you have to sign up for (part D) drug prescription plans. And for those plans there is quite alot that is not covered.

This situation is more common than you think.

 

[Koolau]

The wildcard with Medicare is prescription drugs.

Should you be in a position where you could really benefit from some of the newer (non-formulary) drugs then you just may find that medicare just doesn't cover such. Then it's do without and suffer on the covered but older in-effective medications or pay out-of pocket for something that actually works. There is a reason you have to sign up for (part D) drug prescription plans. And for those plans there is quite alot that is not covered.

This situation is more common than you think.

I've gotten caught on the non-formulary drug merry-go-round. Doc going to bat for me didn't help. Even with part D, costs are still potentially quite considerable. BUT, what better could you spend your money on? For those of us with some means, it's an irritant to be spending hundreds of dollars for a script - but not devastating to the plan. I feel sorry for those for whom a life-saving drug is a real financial challenge. I can't imagine choosing between meds and food. YMMV

 

[pc95]

I've been living on less than 14k a year for 3 of the 5 years I've been retired. I have never hit 17k. I am living the same way I always lived pre retirement. Will probably go up to 20k with inflation lol. The 2 years that were over 14k were because I moved one year and had hernia surgery another year. I traveled 365 miles to have the hernia surgery since I have a 8k deductible/max out of pocket and the total for everything including motel and $60 in tolls came to $2400. My total spending that year was under 16k.

It helps to keep spending down since I pay $0 state and federal income tax. Well this year I had to pay for the 1st time to federal, $21.00 since a little of my dividends were not qualified. But I figured out how to not have to pay that $21, I will just covert $500 less a year to a Roth. I've been converting over 14k a year since I retired, and still paid no tax.

I do not own my own home. I rent in a big city. And I am not a cord cutter.

I dont know what city you're in, but rent alone in San Diego Area unless you have some hookup, or amount of roommates, or small living area, exceeds $16,000/year especially of late.

 

[marko]

I dont know what city you're in, but rent alone in San Diego Area unless you have some hookup, or amount of roommates, or small living area, exceeds $16,000/year especially of late.

Rents here in the Boston area are hitting $3k a month for anything approaching decent.

But at least the traffic is easy, the weather is always nice and the people are friendly. So we have that going for us.

 

[swakyaby]

A recent T Rowe price article suggests that a 90th percentile cost for Medicare parts A,B, and D as well as Medigap and out of pocket expenses is currently $11,500 per individual.

We must be in the 90th percentile because for this year, the cost for DH’s Medicare and out-of-pocket runs pretty close to this, I think. He does pay for IRMAA.

 

[ncbill]

Rents here in the Boston area are hitting $3k a month for anything approaching decent.

But at least the traffic is easy, the weather is always nice and the people are friendly. So we have that going for us.

No one has roommates?

My kid has been living with roomies since graduation as the military moved him around for training every few months, currently paying ~$600/month.

I would worry that unless Digger1000 has a rent-subsidized apartment housing costs could increase substantially at next lease renewal.

I have a friend getting kicked out of his long-term (~$1,000/month) 2BR/2BA apartment at end of lease so the complex can renovate it.

Rent for units with the same floor plan are ~$1,500/month for the newly renovated units.