Im not an expert about Medicare but I can tell you that there are lots of income benefits for taking care of a disabled person especially if they are older than 62. If you take care of them 24/7 you can even claim part of your home as a business. I was able to write off a vehicle-I use specifically for my ward-also a portion of all my utilities-equipment-food expense-I was really surprised! Not all peoples income levels or situations are appropriate, please confer with an accountant for your specific situation.
I'm not sure what you're trying to find out. As igloo says, Medicare is for medical insurance coverage.
The premiums are paid TO Medicare as a deduction FROM the monthly Social Security payment unless the person is on Medicaid, in which case the Medicare premium MAY be paid by the state that the Medicaid is through, but that is dependent upon the financial situation of the person eligible for Medicaid.
The (MediCARE Insurance) PREMIUM is generally "adjusted" annually (ALWAYS upwards, haha) if there is also an upward cost of living adjustment (COLA) in the Social Security payment. If adjusted, it generally amounts to just a few dollars. But because of the COLA, SS also goes up. So there is a NET INCREASE in monthly income because the SS COLA is always much more than the MEDICARE PREMIUM COLA.
The question you've asked makes me think you are trying to figure out if some Medicare payment adjustment occurs for your care receiver, will it reduce some kind of income you are receiving for giving such care.
But that is just a guess. Between your profile and your question, there is not enough information to know what kind of answer you're looking for. Could you please be more specific and give us additional details?
If I am not mistaken, I believe your real question is, will the benefits for Medicare increase in 2014? I don't know how much your live-in person is entitled to, but the increase is maybe $9 - $26 (an estimate).
Payments to MediCARE are taken out of your FICA (if you are still working) or from your SS (if you are retired). It's based on income not family size. MediCARE is a federal program which pays for hospitalization, physician visits, other health professionals costs and prescriptions, etc.
As Igloo has stated, Medicare is a federally funded program for persons receiving S.S. benefits. The premiums are taken out of the S.S. distribuions for the Medicare payouts each month. A statement is sent to Medicare recipients every December for the coming year, with the proposed new increases, and another statement is sent out for payouts already received. (Some people only get one). A caregiver is an employee. He/she should have no access to the Medicare recipient's income. The employee files his/her own tax return with the disclosure of money received. The employer ( disabled person) withholds taxes against the employee's earnings ( if applicable). It should not matter to the caregiver where the source of money comes from, paid to him/her from his employer. Let the caregiver and his accountant figure out what benefits are available to him, and so let the process begin.
The person I'm caring for is 51 years old & permanently disabled according to SS. She receives her income through a private LTD policy she had when she was still working & does not qualify for SSDI b/c she worked for the gov't & never paid into SS. When she was married, her monthly payments to MediCare was the max one was required to pay due to filing a joint return & based on his income. My question, if she is included as a dependent on my taxes, will her MediCare premium go back up. Will my income effect her payments?
The premiums are paid TO Medicare as a deduction FROM the monthly Social Security payment unless the person is on Medicaid, in which case the Medicare premium MAY be paid by the state that the Medicaid is through, but that is dependent upon the financial situation of the person eligible for Medicaid.
The (MediCARE Insurance) PREMIUM is generally "adjusted" annually (ALWAYS upwards, haha) if there is also an upward cost of living adjustment (COLA) in the Social Security payment. If adjusted, it generally amounts to just a few dollars. But because of the COLA, SS also goes up. So there is a NET INCREASE in monthly income because the SS COLA is always much more than the MEDICARE PREMIUM COLA.
The question you've asked makes me think you are trying to figure out if some Medicare payment adjustment occurs for your care receiver, will it reduce some kind of income you are receiving for giving such care.
But that is just a guess. Between your profile and your question, there is not enough information to know what kind of answer you're looking for. Could you please be more specific and give us additional details?
A caregiver is an employee. He/she should have no access to the Medicare recipient's income. The employee files his/her own tax return with the disclosure of money received. The employer ( disabled person) withholds taxes against the employee's earnings ( if applicable). It should not matter to the caregiver where the source of money comes from, paid to him/her from his employer. Let the caregiver and his accountant figure out what benefits are available to him, and so let the process begin.