- Medicare vs. Obamacare: Costs, Benefits and Enrollment
When comparing Medicare and Affordable Care Act (ACA or Obamacare) coverage, it helps to look at how each program works, who qualifies and what the costs may be. Medicare is a federal program for people age 65 and older and certain individuals with disabilities. The ACA provides access to private health-insurance plans and income-based subsidies… read more…
- I Plan to Withdraw $110k From My 401(k) This Year. Will This Cause My Medicare Premiums to Go Up?
Your 401(k) withdrawals can impact your Medicare premiums. While few households pay Medicare Part A premiums, most households do pay premiums for Medicare Part B and Part D. These premiums are based in significant part on your taxable household income. If your income goes up, your premiums rise in response. However, the good news is… read more…
- I Withdrew $60k from My Retirement Plan This Year But It Increased My Medicare Premiums. Is This Permanent?
For retirees, there are generally two big surprises when it comes to Medicare. The first is that Medicare is not actually free. The retirement program is America’s closest thing to universal health insurance, and it does cover everyone over 65 regardless of health or pre-existing conditions. However, Medicare also has different costs based on your… read more…
- I Withdrew $95k from My Retirement Plan This Year But It Put Me in a Higher Tax Bracket and Increased My Medicare Premiums. Is the Increase Permanent?
When you make significant withdrawals from your retirement plan, like withdrawing $95,000 in a single year, you can inadvertently push yourself into a higher tax bracket and trigger an increase in your Medicare premiums through the Income-Related Monthly Adjustment Amount (IRMAA). Here’s an in-depth look at how this happens and what you can do about… read more…
- I Withdrew $85k from My 401(k) This Year But It Increased My Medicare Premiums. Is This Permanent?
Medicare premium increases aren’t permanent, but they can have a long tail if you don’t manage your income properly. While most people receive Medicare Part A for free, Parts B and D typically include monthly premiums. Depending on your household income, those premiums might be increased by a needs-based surcharge called the Income-Related Monthly Adjustment… read more…
- If I Convert $235k to a Roth IRA, Will It Affect My Medicare Premiums?
Because Medicare premiums are tied to income, converting a $235,000 retirement account to a Roth IRA has the potential to cause Medicare Part B premiums to increase. For many taxpayers, in fact, a single-year conversion of that magnitude could more than triple the amount of the monthly premium most Medicare enrollees pay for Part B… read more…
- I Want to Convert My $640,000 401(k) to a Roth IRA. Will It Affect My Medicare Premiums?
A Roth conversion can cause your Medicare premiums to surge. That’s the bad news. The good news is that this surge will be temporary, depending on your future income. The better news is that you can manage it, if you want to. Although for large conversions, you may want to accept the one-time increase. For… read more…
- Will Converting $100k to a Roth IRA Affect My Medicare Premiums?
Converting money from a tax-deferred retirement account to a Roth IRA can cause Medicare premiums for Part B and Part D to increase – in some cases dramatically – because Medicare premiums are tied to income brackets. When retirement funds are transferred to a Roth account, the converted amount is treated as income. If the… read more…
- 7 Tips for Choosing a Medicare Part D Drug Plan
Medicare Part D provides prescription drug coverage for those enrolled in Medicare and can significantly help in the management of healthcare costs during retirement. However, plans are available from many private insurance companies, and each plan differs in terms of costs, coverage and restrictions. This can make picking a plan feel overwhelming. To make the… read more…
- How Do I Avoid Medicare Premium Penalties?
The only way to avoid Medicare premium penalties is to enroll in a timely manner. Medicare charges a penalty for Part B and Part D enrollees, and some Part A enrollees, if they have a significant gap in their health care coverage. This can happen either because they didn’t enroll when they turned 65 or… read more…
- Medicare Premiums: What You Should Expect to Pay in 2024
Medicare isn’t free. This catches many retirees by surprise. Medicare has a reputation for simplicity. You turn 65 and get access to free universal health insurance. This is true to a certain degree, and that’s one of the reasons the program is overwhelmingly popular among recipients. However, in practice, Medicare has many carve-outs and exceptions.… read more…
- Are You One of Half a Million Medicare Recipients Exposed in the Data Breach? How to Protect Your Info
More than 600,000 Medicare beneficiaries are being advised to monitor their credit reports and activity after a May breach of a contractor’s network. The detailed personal information includes not only names, addresses and medical histories but also Social Security numbers, birth dates, contact information, Medicare beneficiary identifiers and health insurance claim numbers, as well as driver’s… read more…
- How Much Does Medicare Cost?
For many Americans, retiring means shifting from employer-sponsored health insurance to Medicare — but this transition isn’t always automatic or cost-free. Medicare consists of four parts, each with its own costs and enrollment deadlines, and failing to sign up on time can lead to penalties. Understanding how to manage these expenses can help you maximize… read more…
- Are You Automatically Enrolled in Medicare at Age 65?
Some people who already receive Social Security benefits are automatically enrolled in Medicare when they turn 65. That’s not the case for everyone, though. People who haven’t started collecting Social Security will need to register for Medicare, but signing up… read more…
- 6 Medicare Changes in 2023, Including Free Shingles Vaccines and Negotiable Prescription Prices
The year 2023 brings changes to the rules, limits and options on all kinds of federal programs and Medicare is no exception. Roughly 65 million senior citizens who rely on Medicare for health coverage will pay less for several things,… read more…
- Do Medicare Premiums Go Up Because of Inflation?
With inflation in 2022 reaching a 40-year high, many taxpayers might wonder if they will have to pay more in Medicare premiums for 2023. Your Medicare premium will not increase because of inflation. But it has been going up steadily… read more…
- Medicare Late Enrollment Penalties Are No Joke: Here’s What They’ll Cost You
The government has a long-standing reputation for frowning upon those who can’t meet a deadline, and Medicare is no exception. In fact, if you don’t make your elections before the deadline, you could face a hefty penalty that could follow… read more…
- Medicare Open Enrollment Is Almost Closed: Medicare Advantage vs. Medicare
Medicare is designed to help eligible individuals pay for healthcare. One of the most important decisions to make when enrolling for the first time or making changes to your coverage during open enrollment is whether to opt for Medicare Advantage… read more…
- Medicare Extra Help Income Limits for 2025
Medicare Extra Help is a subsidy program that’s designed to assist eligible Medicare recipients with paying for their prescription drug costs. Some people who have Medicare Part D qualify for Extra Help benefits automatically. Those who don’t qualify automatically can… read more…
- 2025 Medicare Advantage Open Enrollment Period
Medicare is a government-sponsored program designed to help eligible seniors and others pay for healthcare. Medicare Advantage plans offer an alternative to Original Medicare, which includes Part A and Part B coverage. The Medicare Advantage Open Enrollment Period is your… read more…
- Will Inheritance Affect My Medicare Benefits?
Medicare is a government program that’s designed to help make paying for health care easier for eligible Americans. You can apply for Medicare the year you turn 65, though it’s also possible for certain younger people to qualify. If you’re set to inherit money from aging parents or anyone else, you may be wondering if… read more…
- Medicare Extra Help Basics
Medicare is designed to help with healthcare expenses for people aged 65 and older, certain younger people with disabilities and people with end-stage renal disease. The Medicare Extra Help program offers additional assistance with paying for prescription drugs for people who are enrolled in Medicare Part D coverage. The Social Security Administration estimates that this… read more…
- Can You Get Medicare at Age 62?
Retirement is an exciting time in many people’s lives, but in evaluating which benefits to take when, those who leave the workforce may wonder whether they can get Medicare at 62? There’s not a simple yes-or-no answer, but here’s what… read more…
- Do Medicare and Medicaid Pay for Assisted Living?
Assisted living is one of the most difficult parts of elder care. Expensive, with costs driven by both residency and the skills involved with this care, assisted living leaves many seniors struggling to pay for it. Does Medicare pay for… read more…
- Does Medicare Cover Long-Term Care?
Medicare helps many seniors pay for their medical expenses. But does Medicare cover long-term care costs? Before you reach retirement, it’s important to understand what costs you’ll be responsible for. Read on to discover what long-term care costs Medicare will… read more…