Some senior citizens might end up paying more for their Medicare starting in 2016. The Part B Medicare premiums are expected to rise to as much as 52 percent next year.
Despite of the increase in premiums, only 30 percent of the program's beneficiaries will be affect affected, according to Time. The remaining 70 percent will receive no premium hike at all.
While the looming premium price hike is inevitable, many analysts still believe that federal officials will always find appropriate steps in order to somehow lessen the hike. The premium rates that will be imposed in 2016 will be finalized in October.
Based on the price hike terms, senior citizens whose income is above $85,000 will be affected. People who are not currently enrolled to Medicare as well as those who are not paying Part B through their Social Security will be affected as well. The reason cited was because they have not yet claimed their benefits.
Experts on the matter said that there are a couple of ways to avoid the increase, especially for those who are receiving higher salaries.
One pointed strategy is to reduce their taxable income. Taking some taxable loss or making a sizable charitable donation will lower one's income bracket, however experts also said that this matter should be consulted with an accountant before making drastic steps.
Some prominent politicians have already voiced out their concerns about the possible end of the Medicare system. According to Fox Business News, Republican presidential candidate Jeb Bush made an interesting comment about the current status of the Medicare system in an Americans for Property event held in New Hampshire.
Bush was quoted saying, "We need to figure out a way to phase out this program [Medicare] for others and move to a new system that allows them to have something, because they're not going to have anything."