Social Security payments MAY go down

[simpsontruckdriver]

As a Licensed Healthcare Agent specializing in Medicare, I can't help with Social Security, but I can assist on the Medicare (MAPD or MediGap) side. Essentially, Part-B premiums MAY go up in November, but with 0% inflation (due to Coronavirus), Social Security checks will be less. Congress can change that.

TS

 

[SmithOp]

Well that title is an eye grabber.

Have you ever heard of Medicare being secondary insurance? When I signed up taking A and B my retiree plan became secondary and picked up part D.

My brother in law is turning 65 in a few months, he is on my sisters employer coverage right now as spouse. I told him to verify with them what to sign up for and they would probably become supplemental to Medicare. He said they told him they would be primary and Medicare supplemental. It didn’t sound right to me.


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[dago]

Well that title is an eye grabber.

Have you ever heard of Medicare being secondary insurance? When I signed up taking A and B my retiree plan became secondary and picked up part D.

My brother in law is turning 65 in a few months, he is on my sisters employer coverage right now as spouse. I told him to verify with them what to sign up for and they would probably become supplemental to Medicare. He said they told him they would be primary and Medicare supplemental. It didn’t sound right to me.


Sent from my iPad using Tapatalk Pro

That's news to me. Always thought Medicare was the primary.

 

[dago]

As a Licensed Healthcare Agent specializing in Medicare, I can't help with Social Security, but I can assist on the Medicare (MAPD or MediGap) side. Essentially, Part-B premiums MAY go up in November, but with 0% inflation (due to Coronavirus), Social Security checks will be less. Congress can change that.

TS

That's not surprising

 

[VacationForever]

As a Licensed Healthcare Agent specializing in Medicare, I can't help with Social Security, but I can assist on the Medicare (MAPD or MediGap) side. Essentially, Part-B premiums MAY go up in November, but with 0% inflation (due to Coronavirus), Social Security checks will be less. Congress can change that.

TS

Based on my memory, there a law that SS cannot go down and hence Part B premiums will not increase.

 

[Conan]

As noted in the linked article but not in the original post:

"Those with standard Medicare Part B premiums—that’s 70% of retirees—are protected by law from any declines in their Social Security checks even after Medicare premiums are deducted. To keep payments steady when premiums rise faster than Social Security COLA adjustments, Medicare absorbs a portion of premiums.

"But for singles earning more than $87,000 and couples filing jointly and earning more than $174,000—about 30% of Social Security recipients—there are no protections against a downward adjustment in payments...."

 

[pedro47]

To simpsontruckdri, thinks for the link. That was very informative. IMO.

 

[Passepartout]

I'm not holding my breath for a reduction in SS payments. There's a good reason for SS to be considered the '3rd rail' of politics. Touch it, and it's sudden death for any politician.

 

[dago]

I'm not holding my breath for a reduction in SS payments. There's a good reason for SS to be considered the '3rd rail' of politics. Touch it, and it's sudden death for any politician.

The heading is misleading. If you read the link it explains that Medicare Part B may increase and only the "high income" participants will be affected. But I do agree.. SS is a deadly subject for politicians.

 

[MULTIZ321]

Coronavirus could wipe out Social Security COLA for 2021.

Coronavirus could wipe out Social Security COLA for 2021

Benefits have lost about 30 percent of their purchasing power over the last two decades.

www.foxbusiness.com

.


Richard

 

[TravelTime]

Coronavirus could push Social Security to insolvency before 2030

“This is a train wreck that’s going to happen and you can see it coming."

www.politico.com

 

[GetawaysRus]

The article again points out something I have read many times before: the way Social Security calculates the COLA simply doesn't match the reality of price inflation for seniors.

Also, if you have a significant income, Medicare isn't cheap.

 

[Brett]

Coronavirus could push Social Security to insolvency before 2030

“This is a train wreck that’s going to happen and you can see it coming."

www.politico.com

Blame it on millennials !
"Social Security keeps the elderly living a modest lifestyle with dignity"

https://www.marketwatch.com/story/dont-believe-this-myth-about-social-security-2019-04-23

 

[TravelTime]

Blame it on millennials !
"Social Security keeps the elderly living a modest lifestyle with dignity"

https://www.marketwatch.com/story/dont-believe-this-myth-about-social-security-2019-04-23

Just out of curiosity, why would we blame millennials? This is a genuine question because I do not understand the comment.

 

[Brett]

Just out of curiosity, why would we blame millennials? This is a genuine question because I do not understand the comment.

maybe millennials don't want to pay more taxes to support us old boomers
https://www.marketwatch.com/story/o...ix-social-security-the-millennials-2019-04-16

 

[TravelTime]

maybe millennials don't want to pay more taxes to support us old boomers
https://www.marketwatch.com/story/o...ix-social-security-the-millennials-2019-04-16

Oh, okay, I get it now. Your article says millennials may be in favor of an increase in payroll taxes because they need SS too.

Many millennials also support paying more to strengthen Social Security, according to a National Academy of Social Insurance report. More than three-quarters (77%) said they think it is critical to preserve Social Security benefits for future generations, even if it means increasing the taxes working Americans pay. “These are the people who are going to reach retirement when Social Security may not have the money to pay benefits, so they have a big stake in fixing Social Security,” Johnson said. If Social Security reaches insolvency in 15 years, the oldest millennials will be 55. “It’s not an abstract risk for them,” he said.

 

[Talent312]

...Always thought Medicare was the primary.

Not always. When DW went on Medicare, I dropped her from my insurance.
But Medicare denied her initial claims, saying my insurance was her primary
and they were secondary. We had to set them straight about it.

OTOH, my insurance did say that when _I_ was eligible for Medicare, they'd
convert to a Medigap policy (but I found it cheaper elsewhere).

 

[Brett]

Oh, okay, I get it now. Your article says millennials may be in favor of an increase in payroll taxes because they need SS too.

Many millennials also support paying more to strengthen Social Security, according to a National Academy of Social Insurance report. More than three-quarters (77%) said they think it is critical to preserve Social Security benefits for future generations, even if it means increasing the taxes working Americans pay. “These are the people who are going to reach retirement when Social Security may not have the money to pay benefits, so they have a big stake in fixing Social Security,” Johnson said. If Social Security reaches insolvency in 15 years, the oldest millennials will be 55. “It’s not an abstract risk for them,” he said.

that's good
I never realized my millennial offspring are willing to pay more taxes to support me

 

[Icc5]

Well that title is an eye grabber.

Have you ever heard of Medicare being secondary insurance? When I signed up taking A and B my retiree plan became secondary and picked up part D.

My brother in law is turning 65 in a few months, he is on my sisters employer coverage right now as spouse. I told him to verify with them what to sign up for and they would probably become supplemental to Medicare. He said they told him they would be primary and Medicare supplemental. It didn’t sound right to me.


Sent from my iPad using Tapatalk Pro

When I was on my wife's Union retirement plan it paid first and Medicare was the secondary. Once she retired Medicare payed 1st and the union retirement plan become secondary.
Bart

 

[simpsontruckdriver]

One thing about Social Security (SSA). When your income gets to a certain level, you no longer have Social Security taken out. So, if you make $1,000,000 SSA only taxes the first $120k (or something like that). There has been a slight push over the last decade or so to eliminate the cap. The reasoning is, the rich won't need SSA, but I wonder if a person living on a $60,000,000 income will take Social Security when they turn 65.

And I stand by the story. Your check from SSA will be fixed, but Medicare MAY raise their $145/month premium, which means your actual deposit will be lower. CMS (Centers for Medicare and Medicaid Services) will make an announcement in November whether or not they will raise the Part-B Premium.

TS

 

[bogey21]

As a Licensed Healthcare Agent specializing in Medicare, I can't help with Social Security, but I can assist on the Medicare (MAPD or MediGap) side. Essentially, Part-B premiums MAY go up in November, but with 0% inflation (due to Coronavirus), Social Security checks will be less. Congress can change that.

So what is new? This has been happening to me for years. When I retired about 20 years ago my SS was about $1,875 per month. This year it is $1,633. The COLA increases have been overwhelmed by Medicare charges...

George

 

[Conan]

42 CFR § 408.20 - Monthly premiums.

www.law.cornell.edu

§ 408.20 Monthly premiums.
(a) Statutory provisions.
(1) The law established a monthly premium of $3 for the initial period of the program. It also set forth criteria and procedures for the Secretary to follow each December, beginning with December 1968, to determine and promulgate the standard monthly premium for the 12-month period beginning with July of the following year.
(2) The law was amended in 1983 to require that the Secretary promulgate the standard monthly premium in September of that year, and each year thereafter, to be effective for the 12 months beginning with the following January.
(3) The standard monthly premium applies to individuals who enroll during their initial enrollment periods. In other situations, that premium may be increased or decreased as specified in this subpart.
(4) The law was further amended in 1984 to include a temporary “hold harmless” provision (set forth in paragraph (e) of this section), that was subsequently extended and finally made permanent in 1988.
....
(d) Limitation on increase of standard premium: 1987 and 1988. If there is no cost-of-living increase in old age or disability benefits for December 1985 or December 1986, the standard monthly premiums for 1987 and 1988 (promulgated in September 1986 and September 1987, respectively) may not be increased.
(e) Nonstandard premiums for certain cases -
(1) Basic rule. A nonstandard premium may be established in individual cases only if the individual is entitled to old age or disability benefits for the months of November and December, and actually receives the corresponding benefit checks in December and January.
....
(3) Special rule: Calendar years after 1988.
(i) Beginning with calendar year 1989, a premium increase greater than the cost-of-living increase is still a prerequisite for a nonstandard premium.
(ii) However, a nonstandard premium is not precluded solely because the cash benefit is further reduced as a result of government pension offset or workers' compensation payment.
(iii) Beginning with CY 2007, a nonstandard premium may not be applied to individuals who are required to pay an income-related monthly adjustment amount described in § 408.28 of this part.
(4) Amount of nonstandard premium. The nonstandard premium is the greater of the following:
(i) The premium paid for December.
(ii) The standard premium promulgated for January, reduced as necessary to compensate for -
(A) The fact that the cost-of-living increase was less than the increase in the standard premium; or
(B) The further reduction in benefit because of government pension offset or workers' compensation payments.

Code of Federal Regulations § 418.1125

How will the income-related monthly adjustment amount affect your total Medicare Part B premium?

www.ssa.gov

§ 418.1125. How will the income-related monthly adjustment amount affect your total Medicare Part B premium?
(b) The nonstandard Medicare Part B premium amount described in 42 CFR 408.20 does not apply to individuals who must pay an income-related monthly adjustment amount. Such individuals must pay the full Medicare Part B standard monthly premium plus any applicable penalties for late enrollment or reenrollment plus the income-related adjustment.