Questions
Tax on Medicare Supplement Plan F? What is IRMAA?
If you’ve listened to the news at all lately, I’m sure you’ve heard some talk about future changes in Medicare. There are many proposals out there that seek to help Medicare beneficiaries in keeping costs down. However, some say that there are also proposals being made that would work against these seniors. One in particular would impose an extra 15% tax on those who have selected a Medicare Supplement Plan F or C. These plans cover all deductibles and co-payments for doctor and hospital visits. The basis of this proposal is that people that choose these plans are not contributing towards health costs as much as those who aren’t on a Plan F or C. To me, it sounds similar to the concept of the “Cadillac Tax” that is scheduled to take effect in 2018 for certain plans under the Affordable Care Act.