We are currently in the middle of the Medicare Open Enrollment Period for 2023, and I thought that it might be a good time to review the basics of Medicare.
To get the most out of your Medicare coverage, it’s important to understand what the different parts of the Medicare program provide and what the cost is to you.
You become eligible for Medicare coverage when you turn 65. The Medicare program consists of three parts: Part A – Hospital Insurance, Part B – Medical Insurance, and Part D – Prescription Drug Coverage.
Let’s begin with Part A – Hospital Insurance. For most people, you pay no premium for Part A hospital coverage, because you’ve been working at least 10 years and paying Medicare taxes. You pay a deductible each time you’re admitted to the hospital per benefit period before Medicare begins to pay. The benefit period ends after you have received no inpatient treatment for 60 consecutive days.
While there is no limit to the number of benefit periods you can have, you must pay the inpatient hospital deductible each time a new benefit period begins. The costs for inpatient hospital stays are calculated this way: For Days 1-60 you pay $0… after you pay your Part A deductible; For Days 61-90 and Days 91-150 you pay an increasing amount for each segment while using your 60 lifetime reserve days; After day 150 you pay all costs.
As you can see, there’s a lot to know about Medicare, so why not get some help with your Medicare plan? Call us today to make sure you get all the benefits from Medicare that you deserve.
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About Andy
Andrew Tapparo is a fee-only financial advisor at Tapparo Capital Management, a financial planning firm in Topsfield, MA, helping clients turn their savings into a retirement income that lasts. Inspired by the quote “Choose a job you love, and you will never work a day in your life,” Andy founded Tapparo Capital Management in 1997 with a passion for helping clients enjoy a truly worry-free and fulfilling retirement and experience financial freedom. As a Retirement Income Certified Professional (RICP®), he designs retirement strategies along with sound money management to help clients retire with confidence.
Andy holds a Bachelor of Science in Industrial Engineering from Rochester Institute of Technology in Rochester, New York, and a Master of Science in Finance from Bentley University in Waltham, Massachusetts. Specializing in retirement income planning, Andy completed a comprehensive financial industry education program at The American College of Financial Services and was awarded the Retirement Income Certified Professional® designation. He is frequently quoted in the media as a financial expert.
Andy and his wife, Susan, live in Topsfield, Massachusetts, and have two beautiful daughters. Outside of work, he is an automobile enthusiast, enjoys taking road trips, and loves the Outer Banks of North Carolina. In his spare time, he volunteers with the local high school varsity girl’s basketball team as the team statistician and runs the team’s website. He is passionate about supporting charities that serve our veterans and their families. To learn more about Andy, connect with him on LinkedIn.
