Bush's ins plan at our house--ouch!

[TerryJ2]

husband has his own clinic and offers health ins. for his employees and for us. The payments were getting out of hand (BC/BS) so he switched to the new "savings acct." plan, where you pay a huge deductible--$2,500--and at the end of the tax yr, you get a tax deduction.
OMG!!!! I was paying from $10 to $20 for scrips. Now I'm paying $109 apiece! And the dr appts are all way over $100.
Where does he think we're supposed to come up with-the cash? ("He" being husband and Bush) Supposedly this is temporary... we can apply the refund NEXT April, 2008 to all these expenses, but what do we do now?

I don't really expect an answer. I just wanted to vent and freak out publicly.

 

[tiredmommy]

It's good to have the opportunity to vent & freak out publicly, but I must caution that this cannot become a political debate. Everyone, including the two major parties, know that our health care system needs fixing. Does anyone have any realistic suggestions on how the system can be improved without stirring up political debate?

 

[klmno]

Well, I'm hoping this isn't taken as a debate- I agree there are people in both major parties who know there's a problem. But.... how many people are voting based on what they WANT, not on NEEDS- like our kids' help and futures?? There are people out there- a lot- who will overlook any problem if they think it can keep one more dollar in there pocket or give them one more nicety in their life- even if that nicety costs 3 times as much as solving a bigger problem in our world. So- is public awareness the solution? I'm in Virginia where Cho just massacred at Va Tech- and people now are saying why didn't anyone do anything to help him before? There was help available, they say- how did he slip thru the cracks? Then, they talk about how there's not enough funding, there's not enough regulation, everyone who knew him says they saw something wrong then points the finger at the "other people" in his life, then there are the counselors who get on tv and say "help could have been given to him" then they all sit there and argue over what would have been the appropriate help. This is starting to sound like my life lately- everyone tells me there's been help for my son, why haven't I solved this problem by now. but then, what have all these different counselors told me? Answers to our problems? NO!!!!!!

 

[TerryJ2]

Oops, it didn't occur to me this could become a political debate. I was just giving it a label--a quick way to recognize the type of ins plan it was with-o a lengthy explanation. :eek:
Sorry!

husband's ofc mgr explained it to me today. You're supposed to get a credit card and deposit $ into the acct (about half of the ded.), which is supposed to cushion the blow. husband (or any employer) is supposed to put up the $ and arrange with-a bank to create this whole thing, and if you never meet your ded. (for eg, if you're single and very healthy) you can keep the $ and add to it the next yr. Eventually you can roll it over into a mutual fund or whatever qualifies.
Whew. I feel better now. :crazy:
Except I have to really, really keep track of ALL receipts, PLUS file my own scrip ins.

The really bad part is that in a sense, the whole thing is my fault because I got cancer last summer and BC/BS raised our rates through the roof. :mad:

 

[tiredmommy]

Terry,
I refuse to believe you when you say it is your fault. I'm quite sure you didn't develop cancer on purpose. I'm glad you have a better understanding of your health insurance account, I'm sure that it is a great weight off your shoulders.
K,
I am amazed at the number of people who are willing to stand up and point fingers after a tragedy. Very few will be standing up for mental health access in a few months. Unfortunately, life goes on without any meaningful changes made. It is up to voters and consumers to demand more from our elected officials and institutions to ensure that treatment and safety are effectively addressed.

 

[flutterbee]

Terry,

For your husband's employees, the money they choose to contribute to their HSA (Health Savings Account) is deducted from their paychecks pre-tax. It is then deposited into a checking account with a debit card and checks. Receipts need to be kept for all money spent out of the account in case of an audit. I don't know how this works for you as the business owner. I guess it depends on of his practice is an S-corp and he draws a paycheck or if he's a sole-practitioner or partnership. You do get to roll the money over every year and you can also use it for qualified OTC drugs. I believe you only get to roll it over into another account at retirement. If you use the money in the account for non-qualified expenses before a certain age (I think it's 65), you are dinged 10%. After that age you can use the money for whatever you want without being dinged.

Here is a link that provides just about all the information you need:

http://www.ustreas.gov/offices/public-affairs/hsa/

It's pretty much agreed by all the experts that it's really only a good plan for those that are healthy and don't have a lot of medical expenses. It does provide a more inexpensive alternative to those that don't have a lot of medical expenses. My feelings on our current administration aside, it does provide another option in health insurance.

If it's not an HSA which is employee contributed funds, it may be another type which pretty much has the same rules (except for the employee having money deducted from their paycheck) but the employer contributes the funds - that one is called an HRA (Health Reimbursement Account). Here is some info on that:

http://www.irs.gov/publications/p969/ar02.html

The upside to an HRA is that the money is not included in gross income for tax purposes and once the yearly deductible is met, generally medical expenses are covered at 100%.

 

[TerryJ2]

I'm quite sure you didn't develop cancer on purpose.

LOL! Okay. You win!

 

[TerryJ2]

HSA (Health Savings Account) is deducted from their paychecks pre-tax. It is then deposited into a checking account with a debit card and checks.

Oh, of course. She had mentioned that but was I paying attention? (Never mind.)

Thank you for clarifying, Heather.