Friday, May 30, 2014

If I get sick, my Trimet pension will be worth $89/month

I will use my personal information to illustrate the Dilema

-I worked 15 years at Trimet, I am receiving a $950 mo. pension from Trimet before taxes.
-That's 11,400/year gross.
-After taxes that leaves $9120 for the year or $760/mo
-Now lets look at Mcfarlanes proposal
All of this dispute is around the Blue Cross coverage. About 1/2 the employees/retirees take the blue cross as that allows you to choose your own doctor in your neighborhood. Kaiser demands you to to their facility, no matter how far away it is.

-Lets look at the adjustments
-My coverage is around $1600/mo 
-I would be required to pay 6% of that or $96/mo or $1,152/yr
-That reduces my yearly pension to $7,968 or $664/mo. 
-If you don't get sick you get to keep the $664/mo, but if you do get sick you lose:

- Deductibles, $900/yr which would leave $7,068 for the year or $589/mo.
-However if I REALLY REALLY get sick I'm faced with a $6000 out of pocket expense.
That would leave me $1,068 a year to live on, or $89/mo

In other words my entire pension has been stolen when I needed it the most, when I was sick

1 comment:

Anonymous said...

Al - The $900 deductible maximum and $6000 out of pocket maximum you are quoting is the maximum for a family of 3 or more.
For as family of 2 - retiree and spouse - it would be $600/$4000. Still substantial, but it changes your numbers. If single coverage - it is $300/$2000.