Shirlee Zerkel: Medicare Parts A and B and the STRS retiree

From Shirlee Zerkel

May 17, 2006

Teachers in the state of Ohio have paid and still do pay Medicare taxes from their teaching wages if they were hired by a school system after 1986. If an Ohio teacher was employed by a school before 1986 and worked for them until retirement or still does work for the same system, no Medicare taxes are deducted. I received this information from the treasurer of the system where I worked. That system still has 13 employed teachers who have never had Medicare taxes taken from their wages.

In Ohio if a teacher has not paid into Medicare for regular Part A, the only way they can have Real Government Medicare Part A free is if their spouse is eligible for Medicare A from their employment or they pay the $393 monthly premium. If you are retired from teaching and are 65 or over, you have a Medicare card; look at your Medicare card. It will state on the card if you have both Medicare A and B. If the card states Medicare A, then you are covered by the government and you will not cost STRS nearly as much.

Medicare charges their clients one up front fee for hospitalization which is $952 for a stay of one to 60 days and then Medicare pays the remainder. If your card states only Medicare B, then you are dependent on STRS covering you for the Part A. Figures are from the 2006 Medicare and You booklet. STRS states that your coverage is equivalent. It is not because in real traditional Medicare you can go to any facility, with STRS coverage, you can not. Skilled nursing home care, short tern is also different.

On the other side of the coin, those retired teachers who do not have the real Medicare are costing STRS a lot more than teachers who have paid into Medicare taxes when they are hospitalized or need tests. All Medicare eligible retirees can sign up for the real Part B and STRS requires their members to do that.

Another note:

I know that STRS pays a portion of all members' Part B premium. I feel that STRS should pay for the entire Part B premium for members who have the real Medicare Part A. I would never recommend that STRS take away their coverage of Part A for the older retirees, but please, since STRS is really subsidizing those who can not get Medicare A without cost, give a better subsidy on Part B to those of us who are not costing you as much in coverage. Make your retirees equal in benefits.