Medicare provides millions of retirees with financial security of knowing, which healthcare cost are likely to implode his or her dreams and hopes. Despite the importance of the program, many do not know much about the long-standing program and this leaves room for several misconceptions about Medicare and the future.
Myth: Medicare pays for everything and is free!
Fact: Part A only covers some healthcare costs. Part B on the other hand, will cover outpatient healthcare costs, and Part D will cover medications.
Myth: Medicare is going bankrupt
Fact: Medicare Part A is funded through payroll deductions, which totals 2.9% of United States workers income, annually. These deductions will go into a Hospital Insurance Trust fund. The trust fund will pay for current Medicare Part A enrollees healthcare.