Covering the Cost of Healthcare, Part 1
Since President Lyndon B. Johnson signed Medicare into law in 1965, Americans over 65 have enjoyed additional healthcare security through this income-based tax. In 2023, 56 million seniors over 65 participated in Medicare. In 2021, Baptist Homes opened our first Medicare approved facility in Independence. Since that time, we have added Medicare to three campuses, with more on the horizon.
The Baptist Home can help churches prepare their members for their healthcare planning. Preparation for retirement and beyond means avoiding surprises. Many Baby Boomers expect Medicare to cover every healthcare need upon retirement. Here are some key take-homes when it comes to Medicare.
Medicare doesn’t cover long-term care. The only exception is that Medicare may cover from 20-100 days of skilled nursing after a qualifying hospital stay.
Medicare is not free. Medicare is currently split into four parts:
- Part A (Hospital Insurance) covers inpatient hospital stays, short-term rehab care in skilled nursing facilities, hospice care and parts of home health care.
- Part B (Medical Insurance) covers certain doctors’ services, outpatient care, medical supplies, and preventive care.
- Part C (Medicare Advantage) allows one to choose Medicare Advantage over traditional Medicare through a private insurance company.
- Part D is prescription drug coverage that also covers recommended vaccines.
While there is no standard premium for Part A, Part B costs $174.70 per month or more depending on income of the previous year. Part C ranges from 0-$300 per month, whereas the premium of Part D depends on the individual plan.
Baptist Homes has team members who can speak to senior ministries and Sunday School classes about healthcare during the retirement years. To arrange a free consultation or seminar, contact Dr. Ron Mackey at rdmackey@bhhm.org.
Next month I will provide a short overview of where Medicaid fits into the healthcare equation. Until then, thank you for your prayers for this ministry.
