Have you ever wondered who pays for elderly care? Most seniors, and elderly receive assistance from Social Security, Medicare, or Medicaid. Social Security, and Medicare/Medicaid are government funded programs that provide medical insurance assistance. Medicare is only available for people 65, or older.
So who actually pays for elderly care? Taxpayers pay for elderly care. On most employment check stubs, you will notice a FICA deduction, or a Medicare deduction. These deductions are equal to 1.45% of your earnings. Your employer pays the other 1.45% resulting in a total of 2.9%.
For example, if you receive a gross paycheck weekly in the amount of $500, you would pay $7.25 in FICA taxes. You would pay about $377 per year in FICA taxes.
What is Medicaid?
Medicaid is a government assistance program offered to people with low income, and few assets. Medicaid provides health care coverages for individuals, and families. Medicaid coverage has functional, and financial criteria for eligibility. Each state has different guidelines, and regulations for medicaid programs.
What is Medicare?
Medicare is a government assistance program for people ages 65, and older. There are two parts to medicare including Medicare Part A, and Medical Part B. Medicare Part A provides hospital insurance, and Medical Part B provides medical insurance. Most people pay for Part B. Medicare is available for select individuals under the age of 65 with disabilities.
What is Social Security?
Social Security income is for people with disabilities. There are different types of Social Security disability, such as Social Security Disability Insurance, and Supplemental Security Income.
The disability insurance pays for you and specified members of the family if you are insured (retired, and have paid Social Security taxes. Supplemental Security Income pays based on financial needs.
How to apply for Medicaid/Medicare Coverage
To learn more about medicaid coverage, visit www.medicaid.gov to determine your eligibility, view benefits, and other information about medicaid. You will need to apply for medicaid through your state website (ex: www.ca.gov ; www.az.gov). To apply for medicare coverage, visit www.socialsecurity.gov.
Other Elder Coverages
Other financial services are available to seniors, and elders. Elderlife financial services is a company that provides free consultations for elder services, such as senior living solutions, paying for senior living and care, housing options, financial challenges, insurance solutions, and planning solutions. More information about Elderlife services is available at www.elderlifefinancial.com.
Aging Care is an online service designed to assist people in caring for their elderly parents. Get help on financial matters, insurance matters, and other legal issues. They offer support, articles, forums, and other resources for caretakers. Other information about government programs, grants, and advice are available for research under money, and legal advice. Find additional information at www.agingcare.com.