5 ways to budget for health insurance
Step 1
Develop a monthly spending plan for you and your family’s expected health care costs.
Step 2
Get into the habit of saving your health care receipts and tracking your expenses along with your regular monthly bill paying.
Step 3
Keep your receipts in one envelope labeled "health care expenses." At the end of the year, you will be able to calculate exactly what you spent on health care expenses for the previous year.
Step 4
Compare doctor costs and try to stay in-network to make the most of your plan maximum.
Step 5
You pay the same price for your premium until your annual group renewal. Section 125 plans do not allow you to make changes to your benefits, other than during Open Enrollment or for a qualified life event such as getting married or having a baby.
Remember that your medical benefit maximums start over each year.
Save on the cost of medicine without risking your health
With the costs of gas and food rising, you may be looking for ways to cut extra expenses out of your budget. If you suffer from health conditions, however, it’s important that you continue to take medication as needed. Here are a few tips to help you save money at the pharmacy:
1. Generic medicines are less expensive
Generics are copies of brand-name medicines. Ask your doctor or pharmacist if you can take a generic equivalent for the brand-name medicine that you take now. Generic equivalents are made according to the same strict U.S. Food and Drug Administration (FDA) standards as brand-name drugs and therefore have the same quality, strength and purity as more expensive brand-name drugs. Unfortunately, generic equivalents are not available for every brand-name medicine. If there is not an equivalent, ask your doctor if there is a similar medicine in the same class that may be less expensive or that has a generic equivalent.
2. Shop around for the best deals
Retail costs can vary widely from pharmacy to pharmacy. While finding a good deal is important, it’s also important that your pharmacist knows your medical history, including all the drugs—prescription and over-the-counter (non-prescription), as well as dietary supplements and herbs—you take. That way he or she can provide valuable advice about any potential for drug interactions, side effects, or other problems.
3. Ask your doctor
Tell him or her that your prescription medicine bill is a financial hardship. Ask for drugs that are less expensive but just as effective. Often, several medicines can be used to treat the same condition, and your doctor may be able to prescribe the one that is the most economical.
Often, drug companies give doctors medicine samples free of charge. Ask your doctor if they have samples, especially when you are trying out a new medicine to see if it will work.
4. Sign up for prescription coverage
If you have ongoing expenses due to health issues, enrolling in health insurance with prescription coverage can make good financial sense. Do the math— if you only pay a co-pay at the pharmacy, your out-of-pocket expenses may be lower and more predictable. So find out if you qualify, and ask about the timing for open enrollment which will allow you to sign up for coverage.
By working together with your doctor, pharmacy and/or your health insurance carrier, you’ll be amazed at how much you can save on your medications.