Often times I work with clients that want to leave their current Employer Group coverage, in order to save money and roll over to Medicare plus a supplement. While many times this can be a savings to the individual, be aware that the Medicare premium you might be thinking of might not be the rate your friend has. Most people are eligible for premium free Medicare Part A, but Medicare Part B does have a monthly premium. (The state does have programs to help pay for the cost of Medicare Part B, for lower income earners). If you are still working, you may fall under the requirement to pay an additional surcharge on top of your Medicare Part B monthly premium. For more information regarding these income levels, you can download a free copy of the 2017 Higher Income Earners booklet at www.ssa.gov or you can click here to get a copy. https://www.ssa.gov/pubs/EN-05-10536.pdf .
If the Social Security Administration determines that your annual household income exceeds the standard amount, you will pay an additional surcharge for Medicare Part B and Medicare Part D. The standard Medicare Part B premium as of 2017 is $134.00 and the average Medicare Prescription Drug Plan is running around $35.63. The surcharges shown on the income grid in the above referenced booklet will be added to these standard rates if you activate your Medicare. However, many individuals are still paying high premiums for medical insurance even under Employer Group Coverage and its well worth it to take the time to calculate your total costs to stay on your group plan or to move over to Medicare. If you need help with the process, we can help, call us at 1-888-268-1912 and we can walk you through it.