They Call It Health Reform 3
So here again the health insurance costs have not been eliminated; they were simply displaced. The law also includes provisions that generate income for Medicare, including an increase in Medicare payroll tax for high-income people, those with an income of $ 200,000 for an individual and $250,000 for a couple. And there are new fees for drug and equipment manufacturers.
Here again, there is no elimination of actual costs. Medicare revenue entry will come from some beneficiaries or suppliers. Certainly it is possible that both cost increase goals can afford. But more than likely when it comes to suppliers, they simply increase the prices they charge and the costs immediately end with Medicare. A lot of energy is expended to finish again in the same place.In addition to monthly premiums, Medicare members contribute to the cost of care through deductibles and co-insurance. Also, some health services, such as vision, dental care, hearing, and long-term care, are not covered by Medicare, so you must purchase insurance separately, pay for the services, or give up this test or procedure while the beneficiaries continue to bear the costs.
Therefore, while the new law should generally save Medicare money, the impact on beneficiaries and providers will vary. Those who use less health services will have less financial burden. And those with higher incomes will pay more for their benefits and more for their own and other expenses.Because Medicare is such a big part of the federal budget, the program will undoubtedly be the centerpiece of the deficit reduction conversation. And that may mean that more changes are coming.
Some additional reform proposals extend the limits of Medicare spending growth, further increase beneficiary contributions, delay the Medicare eligibility age, and broaden the scope of the Advisory Board. We can bite the bullet and pay more, find new sources of income to fund the program, or revise these benefits completely. It is a challenge with powerful implications for government, suppliers and beneficiaries.
And no matter which course is chosen or which political party sets the path, it is very clear that someone will pay more. Making health care decisions can be confusing and complicated. Read their warnings carefully and call Medicare to visit their website if you have difficulty deciding what is right for you. Local CPAs and tax preparers expect each of you to take advantage of this open enrollment and make the best decisions according to your personal health situation.