November 21, 2016

Medicare Part B Premiums: An Unpleasant Double Whammy in 2017.

If you are a Medicare recipient, you may be in for an unpleasant double whammy in 2017.

Almost no cost of living increase in Social Security Payments (0.3%); and
For about 1/3 of all Medicare recipients, a 10% increase in Medicare Part B (medical insurance) premiums.

But that's not the worst of it.  The Part B premium increase would have been a mind-numbing 22% if the government had not dipped into financial reserves to hold down increase.  Read an informative Forbes article about this issue here.

And one more thing:  In 2017, Medicare Part B premiums will top $10,000 for some high income couples.  Yep, $10,000.  And that's just for Part B insurance.

Continued out-of-control premium increases, combined by dipping into reserves to artificially decrease the premium increases, is not sustainable.  Costs simply must come under control.

Mary Rae Fouts

6 comments:

  1. I looked at the chart in the linked article. How is it that people with Medicare Part B pay such different premiums for the exact same covearge?

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    1. The difference in premiums for the same coverage is indeed shocking. Designed so that the high income recipients subsidize others. I can only imagine how bad this difference would be if we did indeed have 'Medicare for all' in the United States, while keeping the same pay-in and premium structure.

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  2. So much for Medicare being so great.

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  3. What a rip off for wealthier people. They pay more into Medicare during their lives, and pay more for premiums while receiving the coverage.

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    Replies
    1. As I posted above, Medicare is structured so that higher income people subsidize others, both during the pay-in time and during the time the people are Medicare recipients. In other words, this subsidizing factor never ends.

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