Health care costs are rising. And it looks like it won’t go down anytime soon. Even if Medicare covers 80% of the medical bill, the remaining 20% may still be a burden. Fortunately, there are ways in which you can reduce your Medicare costs. Here are some tips.
Get Prescription Drug Coverage
One of the best ways to reduce your Medicare costs is to get prescription drug coverage for your needs. When shopping around for the best coverage, keep in mind that the cheapest ones might not make the most financial sense in the long run.
Consider Getting Supplemental Insurance Plan
The best way to save money on health plans is to spend more. Supplemental insurance plans, also referred to as Medigap or Part F, help cover the remaining 20% of your medical bill (minus the Medicare coverage).
While you may have to pay additional for a Medigap insurance, it could save you a significant amount of money when you suffer from a chronic disease requiring regular medical attention.
Consider Getting Medicare Advantage Plan
Also referred to as the Part C, Medicare Advantage plans offer several benefits to policyholders. Among them are the annual out-of-pocket limits. And as opposed to other types of Medicare plans, Part C plans give you plenty of options. They offer dental, hearing, and vision services that are typically not covered by a standard Medicare policy.
You should consider two things before making a switch, though. First, insurers have a more defined network. That is, there will be no guarantee that your physician is on your network. And second, your out-of-pocket expenses may be higher than that of what you might owe for certain services. Therefore, you have to evaluate which plans would work best for your needs.
Invest in a Roth IRA
A Roth IRA is a smart investment tool for many obvious reasons. The capital gains in a Roth are actually federal tax-free under the assumption that you’re not making unqualified withdrawals. Roth IRA doesn’t only help you save more money for retirement; it can help lower the cost of your Medicare premiums.
Higher-income individuals generally pay surcharges for their premiums. Since Roth IRA withdrawals aren’t considered as part of your income, you may avoid paying for any surcharges.
The smartest way to save on medical costs is to be healthy and well. But nature has its ways, and it’s best to be prepared. Getting Medicare and adding supplemental coverage is a good investment. Let our company assist you in insuring your finances! Medical Savings Advisors offer various health plans that suit your needs. For a free consultation and quotes, you may call us at 410-852-9100, or you can visit us at our office today!