What is the difference between Medicare and Social Security Tax?

Medicare and Social Security tax both have different purposes. Social Security tax deducted for retirement and disability funds. Medicare tax is deducted for health insurance for persons aged 65 and over. They are typically tied together on a pay stub through the Federal Insurance Contribution Act (FICA).

Both Medicare and Social Security taxes are deducted as a percentage of a person’s income

Both Medicare and Social Security taxes are deducted as a percentage of a person

This percentage changes according to applicable tax rates each year, as well as the number of witholdings for the individual. The funds deducted from the employee’s salary are then matched by the employer. The deductions for Medicare and Social Security taxes are reported to the Internal Revenue Service (IRS) through federal income taxes.

Social benefits are distributed as pension income for the individual 65-year-old and the elderly. These benefits also apply to disability income for those who can no longer work due to a recognized disability. Current Social Security Deductions fund the benefits of those who are retired now. A percentage of the fund is held in a government trust on the reserve for later use.

Social security funds and funds can also be used to pay survivors’ benefits. These benefits are typically paid to spouses or children of those who received social security and died. They are generally assessed on an individual basis. Social Security Department representatives provide individuals with specific information about potential survivors’ benefits.

 

Medicare tax pays the cost of operating the Medicare program

Medicare

This health benefits program benefits retired people age 65 and older. The program covers hospitalization, and about 80% of all medical expenses, except prescription benefits. An optional supplementary plan may be added to this program, although this program may incur additional costs. The supplementary program pays for what Medicare does not.

All those who earn income are required to pay both Medicare and Social Security taxes. Each is a government run program and employee tax funds are used to pay for the program costs. Many individuals receive medical treatment and attention through these programs. They help secure pension benefits for people who have no other source of income.

 

Social Security taxes fund a pension for those who reach retirement age of 65 and over

Social Security taxes fund a pension for those who reach retirement age of 65 and over

This allows the government to contribute to the support of the elderly as well as those who are disabled. The Medicare and Social Security tax contains basic services and funds for those who are no longer in the work field.

 

Life, Health and Personal Accident Insurance – Which to Choose?

The world of insurance is so vast. It allows us to protect ourselves from a set of situations that have financial impact (and not only). In this article we will tell you generally about life insurance, health insurance and personal accident insurance and show you how to complement each other.

Life insurance

Life insurance

Life insurance is a type of insurance that guarantees compensation in case of death or disability of the insured person. Your coverages are triggered by the occurrence of a claim as being the illness or an accident and allow compensation to your beneficiary. In this case, we can have pure, safe insurance that are at the same time life insurance and savings products or life insurance credit housing

Personal Accident Insurance

Personal Accident Insurance

Personal accident insurance is a distinct type of insurance. This insurance guarantees compensation in case of an accident and may resemble life insurance coverage and practical implications.

Health insurance

Health insurance

Health Insurance is an increasingly popular insurance with increasing rates of moderation in the National Health Service and delays in treatments and consultations in this service. Thus, they are insurance that guarantee the reimbursement of expenses, the provision of health care, the cost of hospitalization and some discounts on health care providers. See “Choosing Health Insurance”.

Which of the Options to choose?

Which of the Options to choose?

In practice, you do not have and should not choose one over the other. The three types of insurance are complementary and their hiring can occur simultaneously. They are not exclusive. In your specific case, you should consider your needs and the needs of protecting your family from the impacts of unfortunate events. It is true that we do not like to pay for insurance (for some reason we only want to have auto insurance with the minimum cover), but we like to be cautious about the eventualities that put our safety in question.

How to find out if anyone is eligible for Medicaid in Illinois

 

Medicaid, also known as medical aid, is a United States government that offers free or cheap health care to individuals or families living on low incomes. Typically, help is for pregnant women, the elderly, people with long-term illnesses and the disabled. In Illinois, the Medicaid program is led by the Illinois Department of Health and Family Services. They help with the applications, view application forms and process the results.

Things you need

  • computer with Internet access
  • application form
  • Look at the basic conditions. Look online at the Illinois Department of Health and Family Services website for the list of requirements. Typically, you need to be an American citizen and stay in Illinois permanently and live on low incomes. Income requirements are defined as a percentage of the federal poverty line. For example, a family of three with an income of 200 percent of the federal level of poverty eligible for Medicaid support in Illinois. This is equivalent to an annual household income of $ 36,620, or a monthly income of $ 3052.
  • Confirm your eligibility. Visit your nearest Illinois Department of Social Services office. Arrange a meeting with a DHS staff member to discuss your background and needs. To save time, call ahead and make an appointment. Bring any relevant paperwork you have, such as medical records, with you. The staff will not be able to give you a definite answer on the spot, but they can give you an indication of whether it is worth submitting an application.
  • Apply for Medicaid. You can apply by going to your Illinois local DHS office and completing the application form. If you cannot go to the office for health reasons, call the office and ask if an application can be sent to you. In an emergency, fill in the form when you or your family member is being treated at the hospital. Ask a hospital staff member for assistance.
  • Complete the telephonic interview. After submitting the application form, a DHS staff member will arrange for a telephone interview to your application donkeys. If you meet the requirements you will receive Postal confirmation of your acceptance of the program.

Tips warnings

  • If you are not eligible for the Medicaid program look for other US government grant programs at the Department of Social Services website
  • Do not hurry your application, could lead to basic errors leading to your application without full consideration.
  • HMS: How to apply for Medicaid
  • Health Insurance Information: Illinois