I am spitting nails. I don't use foul language. Hear me out regarding Medicare.

[Paper Roses]

I can't even explain how angry I am at the health care plan I have and the Medicare stipulations imposed upon me(and others) because I did not sign up for Part D back in 2008.

I will explain the scenario tomorrow when I am more calm but in the meantime: Do any DU'ers go without prescription drug plan with their Medicare part B and have any relationship with any Canadian company that offers a drug plan for Seniors on Medicare?

I am so angry now, after receiving a huge increase in the cost of part B plus a PENALTY because I did not sign up for drug coverage in 2008---I could shout out expletives too nasty for me to say out loud.
I have to volunteer at a charity tomorrow but when I get home, hopefully more calm, I will fill you in on the nasty developments I have come upon as I tried to sign up for Part D.


Must go now before I scream.
Left over turkey awaits and I need to calm down.

[DesertFlower]

1. my medicare is going to cost me double in 2014

because of my 2012 income. my husband was dying and i panicked and took $125,000 out of his 401k. i was told i had 60 days to put it back. i opened an IRA in a bank and put $100.--- in. thought i was okay. the 401k only gave me $100,000. they kept $25,000 for federal tax. when i filed my taxes i found out that even though i put the money back it was considered income. i paid over $55,000 in federal tax for that year. i had a medicare supplemental plan from IBM that covered my drugs. that plan is no longer available so i took a Plan D for $12.40 a month for 2014. i just found out that i'm going to have to pay another $31.50 a month -- not to the insurance company but to medicare because of that high income.

i feel like i'm being punished 2x. because of that high income all my medical deductions were wiped out.

BTW. when you reach 70-1/2 you have to take a mandatory withdrawal from your 401k or IRA. between paying the tax on that and the tax on social security you can pretty much kiss that withdrawal goodbye.

yes. i have a good income that i'm thankful for. i give 10% or more to charity, but i'm still going to pay a lot in tax.

[Roselma]

2. Not sure what age you are or the provisions of

your current health insurance, but if you had insurance and passed up Part D at age 65 because you had a health insurance policy that covered prescriptions, you do not have to pay a penalty/higher Part D premiums when you decide to move to Part D. It is called, "creditable coverage" to have had prescription coverage immediately before requesting to sign up for Part D.

http://www.cms.gov/Medicare/Prescription-Drug-Coverage/CreditableCoverage/Downloads/WHATISCREDITABLECOVERAGE.pdf

[DesertFlower]

3. it's not that. i have to pay more because of

my 2012 high income. here's the chart for 2013.

http://www.ssa.gov/pubs/EN-05-10536.pdf

[DURHAM D]

7. Are you going to appeal?

Seems like you have grounds.

[DesertFlower]

8. i've spoken to them. nothing i can do about it.

it's based on that high 2012 income. if i don't pay the extra $31.50 per month they'll cancel my part D.

[DURHAM D]

12. Did you talk to the SSA or just the Medicare people?

The Medicare people are not helpful in this regard but the SSA is and loss of a spouse is one of the reasons listed for reconsideration. I have previously received an adjustment because of a one time event.

link to the SSA https://www.pdffiller.com/en/project/12068207.htm#red6949245

[DesertFlower]

14. i've spoken to social security. i'm also getting

hit because when i applied for medicare in 2012 they used our 2010 tax which was high because hubby sold some stock. i called and told them my husband passed away. they asked me what my 2012 income was going to be. of course, the amount i gave them was much lower than it actually was because of that 401k withdrawal. so i paid the regular amount for medicare. a few weeks ago i got a letter from them saying i should have paid more for 2012. according to them i should have been paying $139.90 a month -- $99.00 for medicare and an additional $40.00.

so bottom line they'll be sending me a bill for $320 -- the 8 months that i was on medicare in 2012. my 2013 was okay because they used my 2011 tax return. they go back 2 years to figure it.

my 2014 will be the one that i'll be paying double because of the 2012 high income.

so they already gave me the "loss of spouse" one time event but then decided to take it back when they got the information from the IRS that my income was much higher. i don't have the strength to fight it. i'll just pay the $320 when i get the bill.

[Hoyt]

4. Be honest with you, when I start Medicare I pray I will be making enough to hit that "penalty"

I'll gladly pay the $53.60 extra a month if I have an adjusted gross income between $85,000 - $107,000 as a single person (double that AGI if married). And, I'll be even happier if I have to pay $297.40 more a month if my adjusted gross income is more than $214,000.

I also understand why they penalize us a bit if we don't sign up for Part D from the start. Not really fair to wait until you know your drug costs are going to be more than the premium to sign up. Being one who paid for my mom's prescription drugs prior to the enactment of Part D, you'll never hear me complain about that Part D. Too many elderly folks went without drugs, or cut them in half, thirds, etc., to make it through the month when there was no prescription drug coverage.

[DesertFlower]

9. fortunately i was able to file a joint return for 2012.

hubby passed 5/12 or i would have had to pay more.

like i said i thought i was safe by putting the money back into an IRA account. i complained to the bank when i got my taxes done. they said "it's not their job to know the IRS implications" but they were quick to open that account for me. i told the banker and the bank manager why i was doing it.

it's the $31.50 a month extra for part D that has me really pissed. i thought of not taking the plan and paying for my own drugs for a year, but there's probably a penalty if i do that and then take the part D for 2015.

[DesertFlower]

11. just remember if the more you make, the more you

pay in taxes. once you make more than a certain amount you have to pay tax on 85% of your social security and when you're 70-1/2 and have to take a minimum amount out of your 401k you're going to be taxed on that too.

when hubby was alive we put $21,500 a year into the 401k. we were not taxed on that. also put $5600 in a medical savings account that we were not taxed on. that's over $27,000 that we did not pay tax on.

http://ssa-custhelp.ssa.gov/app/answers/detail/a_id/493


http://apps.finra.org/Calcs/1/RMD

[Hoyt]

13. Like I tell folks, l hope I pay millions in taxes next year.

Would mean I made a lot more.

[DesertFlower]

16. good luck. nt

[RebelOne]

5. I started collecting Social Security in 2004 when I turned 65,

but because I was still working and had an excellent health plan through my employer, I did not sign up for Medicare. Then I was laid off my job in 2010 and lost my health insurance. So I signed up for Medicare plans A & B. That is $105 monthly premium. If I have to pay any more it is going to be a hardship. Since I need blood pressure medication, I order from a Canadian pharmacy. I have not been to a doctor in years, but I know the medication he had prescribed for me and I can get it with no prescription from the Canadian website. Just Google Canadian pharmacies and a lot of them will pop up. If you have a prescription, the prices are great. I don't so I have to pay a lot more.

[VanillaRhapsody]

6. I believe that is illegal....

[grasswire]

26. maybe you ought to bite the bullet and see a doctor

that old rx may no longer be as useful for your hypertension.

And when you do that, you can probably get your meds for $4 at Walgreens or somewhere similar.

[Hekate]

10. I'm so sorry. My friend didn't sign up for Part D because she'd never been sick a day in her life...

However, she now needs medication to mitigate her dementia, and there is a penalty. Our mutual friend who is administering the trust for her signed up with Humana for supplemental insurance, and we hope it will go well. Fortunately, our old friend still has means for her own care; but in the mixed blessing category she is physically quite healthy except for her brain.

I'm just a big believer in insurance because you never know what will happen in the future. My husband and I both take medications for chronic conditions, and just keep our fingers crossed for when we retire. Signing up for Part D will be a must-do for us right off the bat.

Hopefully the tryptophan in your turkey leftovers will help adjust your attitude and tomorrow will look better. I also recommend a dose or two of fortified eggnog.

Best wishes.

[SheilaT]

15. I have been aware all these years that if you don't sign up for

Part D when you first go on Medicare, or when you leave a job with health coverage, there's a penalty. And that the penalty increases every year you don't sign up.

The Medicare people send out lots of information as you turn 65 about this. I know, because I turned 65 last August. I have Medicare Part A, but nothing else so far because I work for a hospital and have excellent health care coverage.

Actually, what frustrates me about the Part D requirement is that I take no prescription meds. None. So I'm going to need to find out what is the absolutely cheapest one there, and then do additional research if I ever start taking prescription meds.

[Hekate]

17. See my post right above yours. "Never needed meds before" can change overnight, so ...

... just make sure you have something as backup.

[SheilaT]

21. Yes, I understand the "Never needed meds before" thing,

because that is also me. They also make it very clear that there will be penalties if you delay Part D.

[OKNancy]

23. I don't take any either, but I'm going to sign up for Part D.

I turn 65 in Jan. 2014, so I'm doing all that stuff right now.
I think I'm going to bite the bullet and get the 12.00 a month Humana/Walmart plan.
It's good and it's cheap. You don't have to go to Walmart to get the drugs either if you order them online.

[SheilaT]

24. If you happen to still be working and have

prescription drug coverage through your work-related health care, you don't need to sign up for Part D just yet.

[OKNancy]

25. I retired at age 62

I haven't had any health insurance for a number of years. Private insurance got to be 1/3 of my income when I hit my 50s.
I had to cancel it. ( I was self employed)

I'm thrilled to have Medicare in 6 weeks ( even though I'm pretty healthy)

[grasswire]

27. many generics are only $4 a pop these days.

For some people, rx coverage is useless -- until they get really sick.

[dennisbyron]

18. have you calmed down yet?

There is not enough information here to help you. Apparently you have/had a Medicare supplement (from a former employer?) that did not include creditable drug coverage and then this year you decided to sign up for Part D (or the former employer told you to?). Did the employer send you a letter every year telling you its coverage was not "creditable?" If not, you are probably off the hook for the penalty (but again you are not explaining the situation well enough).

None of this should have anything to do with Part B. The premium did not go up this year.

[dennisbyron]

19. Two different mixed up threads in this section

If anyone here is looking for Medicare advice, please be advised that there are two different issues being batted back and forth and are all mixed up

1. Paper Roses has to pay a Part D penalty and -- he or she says -- a much higher Part B premium but has not explained why. Paper Rose's situation is incomprehensible without more information.
2. Desert Flower has to pay a Part B surtax (not a penalty) and I assume a Part D surtax because he or she had very high income. Desert Flower's situation is easy to understand. Despite what you might read, both Medicare and Social Security are already means tested.

Unfortunately it looks like Desert Flower thinks some of the answers for Paper Roses are for him or her.

Best bet, do not depend on any web site like this for Medicare advice. Call your senior center but do it quickly. You have until next Saturday December 7 to fix these problems unless you are on Social Security Extra Help/LIS -- in which case you can change your plans monthly -- or on a state pharmaceutical assistance program (SPAP) -- in which case you can change your plans one other time during the year other than now. About half the people on Medicare who do not get supplemental Medicare insurance through a former employer are either on LIS or an SPAP

[duffyduff]

20. No, they are NOT "means tested." You don't know what the term means.

They are considered "entitlements"--you pay taxes into the system for both, you are entitled to the benefits regardless of your income and assets.

"Means testing" is for "welfare" programs like Medicaid, Supplemental Security Income, Section 8, food stamps, TANF, and so forth. You have to meet a certain income/asset level to qualify; in other words, people are "means tested" by supplying proof of low income and few assets. You don't qualify automatically for benefits.

NOBODY is denied Social Security and Medicare if he or she has paid into the system.

People need to know what they are talking about before they use terms like "means testing." Having a high income is NOT "means testing."

Get your facts straight.

[FarCenter]

29. All retireees pay a premium for Medicare Part B medical insurance at a rate that depends on income

Medicare Part B is "means tested" in the sense that the premium the retiree pays depends on the recipient's income in retirement.

If you are already receiving social security, the social security administration deducts it from your retirement insurance check. If you defer social security after age 65, they bill you for Medicare Part B.

[Paper Roses]

22. As The story continues: today's post.

http://www.democraticunderground.com/10024109918

The gist of the story. If you are nearing 65 or know a Senior that will have to sign up for Medicare, make sure they look into the Part D (prescription Drug) and sign up along with regular Medicare.
Bad news if they do not.

[Warpy]

28. I didn't qualify in 2008 but the signup now is anything but smooth

Most of the stuff I'd need covered by part D is stuff my kidneys wouldn't tolerate, so I passed on it. Eventually, I hope it's replaced with something that wasn't designed by Republicans plus the drug giants and will be both fully funded and put drugs out for bid to bring the cost down. Until then, it's just not worth it for me.

I find all bureaucracies equally maddening because the people within them find the system rational and everybody outside them realizes how nuts it really is.

There are pharmacies in Canada that are quite easy to deal with, I did it for years when I had one expensive drug still on patent. The web sites are a lot easier to deal with than Medicare. You'll have to fill out a health history online and then mail your prescriptions in. One of their doctors goes over the health history and approves the drugs. The first prescription takes about a month; after that, you'll get refills in a week or so. There is no drug plan per se, but you get the prices they've bid on rather than what a drug giant wants to charge and the break is often considerable on patent drugs. The prices on generics are about the same up there, you might as well go to Costco.

Remember, there is always a workaround somewhere. If all you have is Social Security, you can even apply to the drug company directly for hardship pricing.

It's just a bigger pain in the ass than getting a drug plan and presenting a card at any pharmacy would be.