Adding Wife to Health Care Plan

Off Topic
21

[quote]xboxwarrior wrote:

[quote]dmaddox wrote:

[quote]xboxwarrior wrote:

Contrary to popular opinion on this site there are some real benefits to the ACA. One of which is If you add your wife to your plan that will give you a yearly insurance plan of just over $37,000. A high deductible could and probably would be cheaper. Under the ACA your yearly, married expenses cap out at 12,000 something. Put the savings in an FSA or HSA depending on the insurance plan and the rules. Use that difference to pay your bills until the deductible kicks in.

[/quote]

Under the ACA your maximum you can put into a HSA is $2,500 a year.[/quote]

By itself that statement is useless. What is the deductible under the plan? My wife’s employer is considering a high deductible w/ a deductible of $3,000. They will contribute $1,500 annually that will roll over. So that plan is not affected by your statement.

[/quote]

It is not useless. If your deductible is $6,500 or higher you are going to be paying with after tax dollars. You do know that HSA and FSA contributions are before tax contributions right? Under ACA all HSAs and FSAs only allow a maximum contribution of $2,500. Has nothing to do with deductibles. $2,500 is the cap on contributions.

So your wife’s company make a contribution to a HSA of $1,500 run by your wife. Now you and your wife can add another $1,000 to the HSA before tax if you want, and that $2,500 can grow tax free. No more than $2,500 can be put into an HSA account each year.

I guess you are only looking at the Premium for a high deductible insurance plan. An HSA is not the insurance plan, but a savings vehicle to save and grow money tax free, and the money is yours forever, to cover the deductible, copays and stuff like that. You purchase a high deductible insurance plan so your premium is less. An FSA you put money into it before taxes, but if you do not use the entire amount you lose it at the end of the year.

22

[quote]dmaddox wrote:

[quote]xboxwarrior wrote:

[quote]dmaddox wrote:

[quote]xboxwarrior wrote:

Contrary to popular opinion on this site there are some real benefits to the ACA. One of which is If you add your wife to your plan that will give you a yearly insurance plan of just over $37,000. A high deductible could and probably would be cheaper. Under the ACA your yearly, married expenses cap out at 12,000 something. Put the savings in an FSA or HSA depending on the insurance plan and the rules. Use that difference to pay your bills until the deductible kicks in.

[/quote]

Under the ACA your maximum you can put into a HSA is $2,500 a year.[/quote]

By itself that statement is useless. What is the deductible under the plan? My wife’s employer is considering a high deductible w/ a deductible of $3,000. They will contribute $1,500 annually that will roll over. So that plan is not affected by your statement.

[/quote]

It is not useless. If your deductible is $6,500 or higher you are going to be paying with after tax dollars. You do know that HSA and FSA contributions are before tax contributions right? Under ACA all HSAs and FSAs only allow a maximum contribution of $2,500. Has nothing to do with deductibles. $2,500 is the cap on contributions.

So your wife’s company make a contribution to a HSA of $1,500 run by your wife. Now you and your wife can add another $1,000 to the HSA before tax if you want, and that $2,500 can grow tax free. No more than $2,500 can be put into an HSA account each year.

I guess you are only looking at the Premium for a high deductible insurance plan. An HSA is not the insurance plan, but a savings vehicle to save and grow money tax free, and the money is yours forever, to cover the deductible, copays and stuff like that. You purchase a high deductible insurance plan so your premium is less. An FSA you put money into it before taxes, but if you do not use the entire amount you lose it at the end of the year.
[/quote]

What the hell?

That is complete and utter bullshit.

23

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly?

24

[quote]jjackkrash wrote:

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly? [/quote]
Annual

25

OP, I thought you were talking monthly. You have a cheap plan. I wish our plan was as inexpensive as even your hypothetical cost.

26

[quote]paulypaul wrote:

[quote]jjackkrash wrote:

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly? [/quote]
Annual[/quote]

Does it extend beyond your term of employment?

Like If you paid for that now, would it cover you both for the coming year, until the end of the year, or terminate when you become unemployed?

It might be worth asking your HR or who ever admins your plan.

27

[quote]paulypaul wrote:

[quote]jjackkrash wrote:

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly? [/quote]
Annual[/quote]

When you cobra prepare for sticker shock. Regardless of who pays, you need to figure out the most efficient and cost effective way to provide for your family’s needs, and then separately negotiate/decide who in your family pays for those costs. And you also need to figure out what its going to cost when your employer isn’t paying 80-90% of the bill to make an informed decision. If it is more effective to stay on her plan you need to do that even if you have to pay for it out of your pocket.

28

[quote]SkyzykS wrote:

[quote]paulypaul wrote:

[quote]jjackkrash wrote:

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly? [/quote]
Annual[/quote]

Does it extend beyond your term of employment?

Like If you paid for that now, would it cover you both for the coming year, until the end of the year, or terminate when you become unemployed?

It might be worth asking your HR or who ever admins your plan.

[/quote]

Good advice, definitely talk to HR and see if it can be extended especially if you get a severance package, they should also have the Cobra rates. My current plan, the Cobra coverage is the same rate as the employed rate.

Rob

29

Financial intelligence doesn’t rank highly enough when it comes time for men to select a wife. I hope your wife can change, OP, but I fear you’re going to have a tough road ahead.

30

[quote]Steel Nation wrote:
Financial intelligence doesn’t rank highly enough when it comes time for men to select a wife. I hope your wife can change, OP, but I fear you’re going to have a tough road ahead.[/quote]

I was thinking the same thing. Why would you get married if the two of you differ so greatly on such a volatile subject? Based on previous comments the OP made as well, it seems that they both act as if they don’t share expenses. Sounds like disaster waiting to me.

31

Does she have any financial literacy? Are her financial goals different than yours? Or, is she unable to articulate her goals/methods?

Like the other posters said, I’d start having conversations. There will be a lot of them. Determine goals. Determine methods. WRITE EVERYTHING DOWN! Have her “sign off” on everything.

From what you’ve written, it sounds like she has had her money taken care of. Is that what she wants from you? Personally, I would hate that, but do what works for your marriage. I’ve known a few relationships that fell apart when the woman said “I want! I want! I want!” While expecting the man to “find a way”. I’d advise against that. No problem with wanting something, but goals and priorities ( and of course simple reality) should rule the discussions.

Eh, simple question, does your wife write down all her expenses and incomes?

Anyway, my 2 cents

32

[quote]jjackkrash wrote:

[quote]paulypaul wrote:

[quote]jjackkrash wrote:

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly? [/quote]
Annual[/quote]

When you cobra prepare for sticker shock. Regardless of who pays, you need to figure out the most efficient and cost effective way to provide for your family’s needs, and then separately negotiate/decide who in your family pays for those costs. And you also need to figure out what its going to cost when your employer isn’t paying 80-90% of the bill to make an informed decision. If it is more effective to stay on her plan you need to do that even if you have to pay for it out of your pocket. [/quote]

Instead of Cobra I would pay for hers now and when he becomes unemployed she will be able to opt both of them in to her plan. They still need to have a serious discussion about finances very soon though.

33

[quote]Steel Nation wrote:
Financial intelligence doesn’t rank highly enough when it comes time for men to select a wife. I hope your wife can change, OP, but I fear you’re going to have a tough road ahead.[/quote]

Yup…

As far as the ACA goes, you gotta be able to sign up for it to see how much it’ll cost :slight_smile:

34

[quote]Steel Nation wrote:
Financial intelligence doesn’t rank highly enough when it comes time for men to select a wife. I hope your wife can change, OP, but I fear you’re going to have a tough road ahead.[/quote]
Yep. The only hope this marriage has is if they get a third party to intervene and give them a proper plan of action. That way, if she whines about something she can whine to someone who isn’t worried about whether or not he’ll be getting any sex that month. It still is no guarantee. The first argument over money is exactly that: the first.

35

[quote]Testy1 wrote:

[quote]jjackkrash wrote:

[quote]paulypaul wrote:

[quote]jjackkrash wrote:

[quote]paulypaul wrote:
Cost for insurance for me alone is $1,250. Adding her on there is almost $3,100, almost triple the cost!
[/quote]

Over what period? Annual? semi-annual? Monthly? [/quote]
Annual[/quote]

When you cobra prepare for sticker shock. Regardless of who pays, you need to figure out the most efficient and cost effective way to provide for your family’s needs, and then separately negotiate/decide who in your family pays for those costs. And you also need to figure out what its going to cost when your employer isn’t paying 80-90% of the bill to make an informed decision. If it is more effective to stay on her plan you need to do that even if you have to pay for it out of your pocket. [/quote]

Instead of Cobra I would pay for hers now and when he becomes unemployed she will be able to opt both of them in to her plan. They still need to have a serious discussion about finances very soon though.
[/quote]

I am with Testy on this also.

36

[quote]En Sabah Nur wrote:

[quote]dmaddox wrote:

[quote]xboxwarrior wrote:

[quote]dmaddox wrote:

[quote]xboxwarrior wrote:

Contrary to popular opinion on this site there are some real benefits to the ACA. One of which is If you add your wife to your plan that will give you a yearly insurance plan of just over $37,000. A high deductible could and probably would be cheaper. Under the ACA your yearly, married expenses cap out at 12,000 something. Put the savings in an FSA or HSA depending on the insurance plan and the rules. Use that difference to pay your bills until the deductible kicks in.

[/quote]

Under the ACA your maximum you can put into a HSA is $2,500 a year.[/quote]

By itself that statement is useless. What is the deductible under the plan? My wife’s employer is considering a high deductible w/ a deductible of $3,000. They will contribute $1,500 annually that will roll over. So that plan is not affected by your statement.

[/quote]

It is not useless. If your deductible is $6,500 or higher you are going to be paying with after tax dollars. You do know that HSA and FSA contributions are before tax contributions right? Under ACA all HSAs and FSAs only allow a maximum contribution of $2,500. Has nothing to do with deductibles. $2,500 is the cap on contributions.

So your wife’s company make a contribution to a HSA of $1,500 run by your wife. Now you and your wife can add another $1,000 to the HSA before tax if you want, and that $2,500 can grow tax free. No more than $2,500 can be put into an HSA account each year.

I guess you are only looking at the Premium for a high deductible insurance plan. An HSA is not the insurance plan, but a savings vehicle to save and grow money tax free, and the money is yours forever, to cover the deductible, copays and stuff like that. You purchase a high deductible insurance plan so your premium is less. An FSA you put money into it before taxes, but if you do not use the entire amount you lose it at the end of the year.
[/quote]

What the hell?

That is complete and utter bullshit.[/quote]

What I am saying, or that the ACA is doing this?