What You Need to Know About Medicare Coverage
Every American employee have the Medicare tax deducted by their employer as required by the law. However, there are people who have no idea of how this Medicare tax is of importance. One thing that you need to understand however is that this form of tax helps to offer health coverage for the aged since it becomes effective in 1965. However, it remained true to its foundation which is to provide health insurance for the elderly and those with certain disabilities.
The Medicare program works in such a way that when you retire or determined to no longer be physically fit to work, it provides you with the health insurance you need. However, this does not mean that you will have to wait and expect that automatically you will be assumed to the program when you have retired as enrollment is needed. It does not stop at that as you will be required to ensure that you remit monthly premiums so as to enjoy the benefits. Once you know that you are about to enroll, it is best that you do it within the specified period to avoid being penalized.
It is crucial to know that when you have retired or be determined disabled, you first qualify for Medicare Part B or the medical coverage. It is important to know that the Medicare Part A is different from Part Band has its own coverage and premiums although the qualifications are similar. The enrollment to the program usually takes a period of 7 good months. With the first part, you need to start enrolling 3 months before you are sixty-five and the next three when you have already retired. However, it is important to know that when you enroll later than these dates you get a late enrollment penalty when you do so.
After you have enrolled, there is a Medicare open enrollment that usually begins on a specific day of October and ends on a given day in December. It is during this time that one has a chance to choose a different plan without the need of Medicare Special Enrollment Period. You can decide whether you want a separate Part A, B and D plan which includes drug medication coverage or and an all-inclusive Medicare Advantage Plan.
Another important thing you need to know is that you can both have Medicaid and Medicare at the same time. If you want to add on to your Medicare advantage joining the dual enrollment program as it is known will mean more health benefit for you. The other thing that you need to understand is that you can retire, get the Medicare coverage and still work so long as you make up to a given income.
Getting a knowledgeable representative is advisable before you make a decision to choose a plan.