{"id":13880,"date":"2022-09-07T11:24:39","date_gmt":"2022-09-07T16:24:39","guid":{"rendered":"https:\/\/johnsonwim.com\/?p=13880"},"modified":"2022-09-07T11:24:39","modified_gmt":"2022-09-07T16:24:39","slug":"navigating-the-basics-of-medicare-in-retirement","status":"publish","type":"post","link":"https:\/\/johnsonwim.com\/navigating-the-basics-of-medicare-in-retirement","title":{"rendered":"Navigating the Basics of Medicare in Retirement"},"content":{"rendered":"

If you’re approaching retirement, you may have questions about how this will affect your Medicare coverage. The new Inflation Reduction Act will bring some major changes to Medicare. Here’s what you should know.<\/strong><\/p>\n

People are living longer and retiring earlier. How do you account for health care costs in your retirement planning? If you’re like most people, you’re underestimating these expenses.<\/span><\/p>\n

Although Medicare is a great thing for those retiring in the Midwest, it can pose a challenge to retirees who want to know what they’re covered for throughout their golden years. Here are some factors to consider to help ensure you and your wallet fall into retirement in excellent health.<\/span><\/p>\n

Medicare 101<\/b><\/h4>\n

When it comes to <\/span>Medicare<\/span><\/a>, it’s important to know what the different letters mean. Medicare Part A covers hospital visits, Medicare Part B covers doctor’s visits, Medicare Part C is all-in-one coverage, and Medicare Part D is for prescriptions.<\/span><\/p>\n

Medicare Part C includes hospital, doctor, and prescription coverage. This is sold through private insurers that contract with Medicare. A Medicare Advantage plan may also include dental and vision coverage.<\/span><\/p>\n

You\u2019re automatically enrolled in Medicare Parts A and B at the age of 65 if you\u2019re already claiming Social Security. Or you\u2019ll have the option to receive it when you get disability benefits from the Social Security Administration.\u00a0<\/span><\/p>\n

The New Inflation Reduction Act<\/strong><\/h4>\n

First, here are some Medicare changes you might want to know about:<\/span><\/p>\n

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The climate, tax and health care bill known as the Inflation Reduction Act that was passed by Congress and signed into law by President Joe Biden last month includes significant improvements to the Medicare program that will kick in over the next few years. The key takeaways that are coming to Medicare Part D will be related to drug costs. The idea is that with the passing of this bill, Medicare will have more power to negotiate the prices of drugs. This means that those enrolled in Medicare’s health program may be able to get more affordable prices on their drugs. Beyond getting more leverage to negotiate, there will be other changes, too. Some of these changes include limits on drug costs, and caps on out-of-pocket spending, as well.<\/span><\/p>\n

Be Mindful of Deadlines<\/b><\/h4>\n

Medicare is a complicated system, and it’s easy to find yourself falling behind if you don’t know what you’re doing. Fortunately, there are deadlines for Medicare that can help you avoid some of the most common problems.<\/span><\/p>\n

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Medicare open enrollment happens every fall from October 15 through December 7. <\/strong>This enrollment period is only for existing Medicare enrollees who want to make changes to their coverage. Any changes you make during the 2021 Medicare enrollment period will affect your 2022 Medicare plan, beginning Jan. 1, 2022. Note that the\u00a0<\/span>2022 open enrollment period for health insurance<\/a>\u00a0was extended, but the dates for Medicare open enrollment were not extended.<\/span><\/p>\n<\/div>\n

If this is your first time signing up for Medicare, the first deadline is the<\/span> Initial Enrollment Period (IEP).<\/span><\/a> If you sign up during this time, you can help avoid a significant amount of hassle. This enrollment period starts three months before you turn 65 and extends until three months after. Failing to sign up on time may result in up to $6,500 more in premiums over 20 years. This occurs because you may be assessed a 10 percent penalty for each year that passes without enrollment.<\/span><\/span><\/p>\n

Understand Your Benefits<\/b><\/h4>\n

Medicare is an essential source of healthcare for seniors and the disabled, who are often too young or infirm to work. Medicare provides coverage for hospital visits, doctor visits and prescriptions.<\/span><\/p>\n

As you age, it\u2019s important to know what Medicare covers and what it doesn\u2019t. The following are some benefits that might surprise you:<\/span><\/p>\n