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Medicare fees rise for 2013

By Jennie L. Phipps ·
Monday, November 19, 2012
Posted: 11 am ET

Medicare is raising its 2013 fees. Factor this into your retirement planning. Let's start with the easy stuff that doesn't affect many people living in retirement.

Medicare Part A. Very few people pay a Part A premium. As long as you worked for 40 quarters or 10 years or are married to someone who did, you're entitled to this coverage at no additional charge. Medicare Part A covers inpatient hospital stays, care in a skilled nursing facility, hospice care and some home health care. (Don't be confused. Part A doesn't cover nursing home care.) If you're part of the 1 percent required to pay, the 2013 Part A premium is decreasing to $441, down from $451 in 2012.

Medicare Part A deductible, which everybody is responsible for, is rising 2.4 percent to $1,184. You'll be charged this every time you're admitted to the hospital. Many people have a Medigap insurance policy or are enrolled in a Medicare Advantage insurance plan that pays this fee.

Medicare Part B premium, which is automatically deducted monthly from everyone's Social Security payments, is rising $5 per month from $99.90 to $104.90.  The Medicare Part B deductible will rise to $147 in 2013, from $140. Part B covers doctors' services, outpatient care, medical supplies and preventive services. Medigap and Medicare Advantage plans cover the Part B deductible.

If you have very low income, you may qualify through your state Medicaid program for help paying Part B premiums and the Part A deductible. There is also a Medicare-managed program known as Extra Help that will help you pay Part D prescription drug expenses. Whether you qualify for all or part of this assistance depends on your income.

If your 2011 income was above $85,000 a year ($170,000 filing jointly) you'll be charged more for Part B.  These premium adjustments range from $42 to $230.80 per month, depending on how much you make. If your income has changed since you paid your 2011 taxes, you can ask the government to recalculate.

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lana schaffhausen
November 20, 2012 at 7:39 am

I agree that it was used for the government spending on our dime. Most government employee's, large corporation and other types of business do not know that the rules and changes do because they are just looking at it from a project management view that it looks good in the system and on paper so it must work. These people do not have critical thinking skills. They to live by and test it out and then it might change.

November 20, 2012 at 7:17 am

Did any of you vote for a change or did you vote for this same old, same old? Just wondering.

November 20, 2012 at 7:13 am

Unfortunately it had become the misconception that Social Security was a form of pension. It never was put in place for that purpose. It was to assist those who could not survive on their pensions alone or individuals who could not work due to injury, illness or birth defects. Many have been taking out that never put in and the amount had never been adjusted to accomodate the withdrawls. Add to this the fact that government thinks it is okay to borrow these funds and you have what we have today. A system that will not support my husband and I despite our contributions. The contribution rate needs to go up, yet they lowered it last year. This problem is only going to get worse. Wait for the complaints to come when they raise the contribution rate.

Deborah Potts
November 20, 2012 at 3:36 am

I'm thoroughly disgusted with Washington Beurocrats! What a great position for them. They beg for our votes and make promises like every polititian does. There are seniors, disabled, children etc. that often times circumstances that are not within their control require these programs. If you think these increases are small, ask someone that is living in poverty level. Each dollar counts. What angers me is that our Representatives...our congressmen and women sit in their confy seats, make a nice salary, get GREAT benefits...increase in salary and it isn't based on cost of living. After serving 2 terms in office, they get to retire with a GREAT retirement including insurance. Until they hang a sing over each office in Washington stating, "I am a Public Servant!" My belief is that they they don't have a clue as to what the real world is like. Why do we put you in office? I am ashamed of all of you.

Alice Mastro
November 19, 2012 at 6:46 pm

Yes, I agree with Peggy, Ann, and Susie. Presidents stole OUR MONEY and so the money should be put back. All of us paid into it and it was stolen. How can our representatives do this to us? Money in banks don't make much interest nowadays. Cutting things should start at the top.

November 19, 2012 at 5:51 pm

I so agree with Susie but the chances of some like this happening is remote or slim at best there are way to many hands in our pockets for this to ever go into affect or to evne be considered for tht matter.

November 19, 2012 at 4:50 pm

my husband and i are both civil service retirees. so we're getting a 1.7 percent raise and my husband will also get a BIG social security raise of 1.7. big deal. between medicare and private fed bc/bs, we will probably lose money.

November 19, 2012 at 4:16 pm

Until the politicians give up their income and benefits, or part of them, I do not think a penny should come out of an senior program. WE PAID FOR IT. They leech theirs while they sell the country out.

B Ann
November 19, 2012 at 3:57 pm

Maybe if our goverment had not used it as their own savings account we would not have increases and there would be enough for everyone who has worked so hard. They borrowed (?) from this fund and have not repayed and never will. I am sick and tired of sending millions overseas to help others and nothing is done here ! Lets see what OBAMA does now--what a joke !! Not funny to the citizens of this country.

November 19, 2012 at 1:06 pm

I would not cut social security by one penny.I worked long hours and hard to be able to retire on social security.Besides that I am too ill to have to go out and get a new job to make up the difference in the money I would be minus.I am also too old.If I could work I would ring circles around some of these folk in the service/public jobs.They are young and do not know what they are doing.These employers DO NOT train them and the parents must not have taught them much at home.It is a mess out there.Bring Home Economics back to the colleges so folk can learn how to do basic every day stuff that is needed to live by.When I worked I loved it and enjoyed going to work everyday.I never used sick leave or long term medical.When I retired they paid me for it because it was mine and was never used by me.It was a great 35 years!!!!