Disclaimer: Jill Schlesinger is an ambassador for Marcus by Goldman Sachs and has received financial compensation. However, all thoughts and opinions are hers.
Marcus by Goldman Sachs is the sponsor of the Jill on Money podcast, featuring Jill Schlesinger, a Certified Financial Planner, CBS News Business Analyst and author of the new book “The Dumb Things Smart People Do With Their Money”. Listen to her podcast on Apple and Stitcher.
Open enrollment season is quickly approaching and the choices can be overwhelming.
What do I need to know for the upcoming open enrollment season to make the most out of my employer’s benefits?
It’s that time of year, when you are confronted by open enrollment nudges from your employer and in some cases, from the government. The choices can be dizzying, so to help you make more informed decisions, let’s break it out into broad categories.
Up first: healthcare and insurance coverage.
Employer coverage: For 153 million Americans, a Kaiser Family Foundation survey found that this year annual premiums reached $7,188 for single coverage and $20,576 for family health coverage.
While the headline numbers are eye-popping, you probably care more about your contribution. In 2019, the average annual dollar contributions by covered employees are $1,242 for individuals. For families, average contributions are $6,015, a whopping 25 percent jump since 2014 and 71 percent since 2009.
Of course it doesn’t stop there. The dreaded deductible can add up to significant additional outlays toward the cost of health care. The average deductible among covered workers for single coverage is $1,655, up 36 percent over the past five years and 100 percent over the last ten years.
So what can you do? Shop around!
Yes, it’s tedious, but it could save you money. Start by reviewing your current plan and what you spent this past year. Then try to project your healthcare costs for the year ahead. Compare the plans your employer offers and determine what they cover, how much they cost (including co-pays and deductibles), and whether your doctors are in-network.