The increase, especially for high-income earners, is steeper than usual and may affect San Luis Obispo seniors differently depending on their situation, including when they signed up for Part B premiums.
San Luis Obispo, CA (PRWEB) July 08, 2016
Medicare specialist Susan Polk Health Insurance Company recently released a report on the increase of Part B premiums for Medicare San Luis Obispo users in 2016. The increase, especially for high-income earners, is steeper than usual and may affect San Luis Obispo seniors differently depending on their situation, including when they signed up for Part B premiums. The changes will affect those who:
Enroll in Medicare for the first time in 2016
First time enrollees in 2016 will pay $121.80 for Medicare Part B. This includes those who turn 65 in 2016 and those who worked past age 65 at a job with group health insurance, but will switch to Medicare in 2016. Those already signed up to Part B premiums will generally pay $104.90.
Enrolled late in Medicare
If the enrollment period lapsed for those signing up to Part B, or if Part B is dropped and then picked up again later a penalty fee could be incurred. The fee is calculated by multiplying 10% by each full 12-month period that the person was eligible for Part B, but didn’t sign up. This amount is applied to the monthly premium for the lifetime of Part B.
Are not collecting Social Security payments
Retirees who signed up for Medicare before claiming Social Security Payments will pay $121.80 for Part B in 2016. Also paying for the higher amount are those retirees not eligible for Social Security, as for example, some school teachers and government retirees.
Are high-income beneficiaries
Retirees with high incomes between $85,000 and $107,000 ($170,000 to $214,000 for couples) will pay $170.50 in Part B premiums in 2016. Retirees earning from $107,000 to $160,000 ($214,000 to $320,000 for couples) will pay $243.60, and those with incomes of $160,000 to $214,000 ($320,000 to $428,000 for couples) will pay $316.70. Those earning more than $214,000 as an individual or $428,000 as a couple will pay $389.80 per month for Part B.
Medicare San Luis Obispo recipients also eligible for Medicaid, which pays for their Medicare premiums, will have their Part B premium increase paid for. All Medicare beneficiaries will face an increase in their cost-sharing requirements. The Medicare Part B deductible will increase from $147 in 2015 to $166 in 2016, even for existing Social Security beneficiaries paying the lower premium. The Medicare Part A deductible for a hospital stay will also increase slightly from $1,260 in 2015 to $1,288 in 2016.
The Medicare San Luis Obispo specialists at Susan Polk Health Insurance Agency offer comprehensive health insurance plans, which cover deductibles and copays, giving Medicare enrollees the protection and assurance they need. Medicare beneficiaries who work with Susan Polk feel confident in their future, knowing that their health expenses are covered through the most cost-effective plans. For more information on how to get the most suitable Medicare plan, call the specialists at Susan Polk Health Insurance Agency at (805) 544-6454.
For a more thorough discussion of this subject, including the actual calculation of Medicare Part B premiums, go to the Kaiser Family Foundation Report at http://kff.org/medicare/issue-brief/whats-in-store-for-medicares-part-b-premiums-and-deductible-in-2016-and-why/.
Susan Polk Insurance Agency, Inc.
1443 Marsh Street
San Luis Obispo, CA 93401