Big news update for Medicare-covered individuals in 2016!
A budget deal has been announced that, if it passes through Congress, it will substantially limit the increase many Medicare Part B recipients were facing for 2016. Â Originally, proposed increases cited a 52% increase in the standard Medicare Part B premium from $104.90 per month up to $159.30 per month.
The proposal was passed on Wednesday by the House of Representatives. Â If the new deal gets passed by the Senate (to be voted on shortly), the Medicare Part B premium for 2016 will be $120 per month, plus a $3 per month surcharge. Â Individuals with higher incomes may still be subject to the income-related monthly adjustments and may have to pay higher premiums – the revised figures for higher income individuals has not yet been officially announced.
The rate increase is expected to apply to about 30% of individuals who receive Medicare – including, but not limited to, people who start Medicare in 2016, people on Medicare who do not take Social Security benefits yet, people subject to the income-related monthly adjustments, and people who are dual enrolled in Medicare and Medicaid (since the state’s Medicaid program pays for their premiums).
Be aware though, the new proposal also has a major drawback regarding Social Security retirement benefits that can affect many people. Â Under the new deal, if you suspended your benefits (e.g. waiting til a later age to maximize your benefit) and you had a spouse (including divorced spouse) or your children on your work record and they were receiving benefits, then their benefits will be eliminated until you restart your retirement benefit.
Questions about your Medicare and Medicare Supplement plan and looking to lower your rates? Â Find out how by calling us today at 1-888-972-0024.
Source article: USA Today