HDHP Update

hdhpI posted specifics and predictions about our new High Deductible Health Plan earlier this year and am repeating much of it here, but with YTD results.

Our annual premium has gone from $8,946 to $2,783, a reduction of $6,164. The company seeded our HSA with $1,500 and we are contributing $258.33 pretax per paycheck to fully fund the HSA to the $7,750 maximum. Under this new plan we can also earn up to $50 if we both complete a health survey (done) and $40/month by participating in the fitness reimbursement program – which we’ve been doing religiously.

Our annual max out-of-pocket spending for the family is $7,000, so it’s pretty much a sure thing that we will save money on this new plan. Last year our total cost was just shy of $11,000 – but that number was inflated because we jammed as much as we could (doctor visits and prescriptions) into the last couple of months of the year. This year, the most it should be is around $7,753 (assuming we maximize the benefits mentioned earlier). My goal will be to keep it under $5,000, however I know that even one emergency would change that. So, I won’t keep my hopes too high. Between injuries and asthma getting out of control, we usually have 1-2 ER visits/year

At this point, our total YTD cost stands at $2,770. There’s a very good chance we’ll be well under that $5,000 goal. We might even keep it under $3,500. Fingers crossed. Assuming there are no surprises, I’m planning to schedule our daughter’s wisdom teeth removal in 2017. If we do incur substantial expenses in the next few months, I’ll be scrambling to schedule it before the end of the year – not always possible with short notice, of course.

We have about $3,300 accumulated in our HSA and I’m still planning to fully fund it again next year, and every year that Jay’s working, so that we can use it into retirement.

So far, so good. Fingers crossed. Knock on wood, etc.

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