Mandates Bringing Down Cost of Health Care Applies Doesn’t Apply
1-12-2010 How Medicare Eligible Retirees are Affected
If you’re in an HMO, most likely you are in that HMO’s Medicare Advantage Plan, if not you’re in Traditional Medicare
Free Annual physicals added in 2011
Free Mammograms added in 2011
Free Colonoscopies added in 2011
Coordination of care if hospitalized or have chronic problems
10% fee increases for 5-yrs - primary care Doctors & surgeons
Tricare for Veterans – According to Defense Secretary Gates, Tricare meets requirements of new law, no changes planned.
1-12-2010 How Medicare Advantage Plans are Affected Insurance companies subsidies paid since 1/1/2006 are being phased out in the 2010-2013 period. This will affect 22% of all Medicare eligible participants. Health club memberships may be dropped, premiums and co-pays have been and will continue to go up. Subsidies were paid for by the 78%; from Medicare Trust. Cutting subsidies saves $180 B over 10 yrs. The CBO projects that this money and other Medicare savings will be used to enhance other Medicare benefits and will extend the solvency of the Medicare Trust by nearly a decade. Since funds won’t be needed until later, some savings will be “loaned” via Treasury bills to pay Non-Medicare expenses such as for the uninsured.
Higher income taxes on ordinary income, capital gains and dividends – affects taxpayers earning more than $250,000 for joint filers and $200,000 for single filers
2013 - New 3.8% Surtax on Investment Income, the "Unearned
Income Medicare Contribution”- affects those earning more than $250,000, joint filers and $200,000 for single filers pay on interest, dividends, royalties, rents, gross income from trade or business involving passive activities, and net gain from disposition of property (other than property held in a trade or business)
Increased Payroll Tax on High Earners – In 2013, the Medicare
payroll tax will increase from 1.45 percent to 2.35 percent for joint filers making > $250,00; $200,000 for single filers.
NRLN 2010 Member Survey 1-12-2010 Participants – 9,891 or 18% of 54,000 responded; retired from 118 companies; 2% employed; 83% salaried; 14% formerly union; 40% at least 70 ½; 68% were 65+; 31% were 55-60. 40% have Facebook webpage & 2% twitter. Results – 91%+ said NRLN should stay the course & rated their top preferences for NRLN action as: Pension asset protection; Maintenance of Cost Protection for company health care plans; adding Catastrophic Coverage to Medicare; Lower Cost Prescription Drugs. 76% want NRLN insurance choices, 65% want insurance assistance. Weaknesses – Only 31% have read their NRLN legislative agenda and only 53% read Action Alerts or take action.
2010 / 2011 Top Priorities - Eight Whitepapers 1-12-2010 INCOME SECURITY :
Pension Asset Protection
Mergers and Acquisition Reform
PBGC – Comprehensive Reform)
Bankruptcy Reform (Section 1110)
HEALTH CARE SECUTITY :
Maintenance of Cost Protection
Medicare - Buy-In at Cost
Medicare – Catastrophic Coverage
Prescription Drug Reform
Bankruptcy Reform (Section 1114)
July 22, 2009 Washington Post Interview 1-12-2010 Administration Announced Challenges on the Horizon:
Rein in Social Security retirement fund & Medicare
Start Soon After Health Care Reform in 2010
Entitlement programs to be cost reduced:
Social Security - Medicare – Medicaid
Establish a commission - go after costs (THAT’S US!)
ii. CDG is not yet poised to return the company to profitability
1. Good products but highly competitive markets and thin profit margins make this a difficult space in which to compete.
iii. GCG should see a profit recovery as we emerge from recession. Summary Con’t.
Who makes pension payments to Kodak retirees? For those who retired through 1983, Metropolitan Life made payments as a result of annuities purchased by Kodak For retirees post 1983, Mellon Bank has made payments out of the assets of Kodak’s pension fund – the Kodak Retirement Income Fund (KRIP)