In her new book, “Medicare Untangled,” author Karen Emma seeks to explain the ins and outs of Medicare for retirees enrolled in its health plans.
A registered financial adviser, Emma is also the founder and president of Universal Wealth Management in Cranston. She discusses the book and the experience and resources she drew on to write it.
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PBN: What was your motivation to write “Medicare Untangled,” and who is it intended for?
EMMA: Through the years, I began to see the writing on the wall – people are living longer than ever. As the price of health care/Medicare continued to rise, it became more and more evident that retirees will not be able to stay ahead of increasing costs, which will affect their retirement income needs – especially during the current Covid-19 environment.
When I opened the health care division of UWM, it was really to continue to help people gain the financial freedom they deserve to achieve their goals through all major life transitions.
Our mission has always been to simplify the financial and health care process. Our UWM team produces more than 250 health care seminars throughout Rhode Island annually. The more people we met who were aging, the more questions they had about health care/Medicare. The more horror stories we heard, I knew that people needed our help and guidance through this process.
PBN: What sort of resources did you use to write the book?
EMMA: I have used numerous resources to ensure that the book includes a great deal of necessary valuable information for retirees and those nearing retirement. Social Security, Medicare, IRS, CMS [Centers for Medicare & Medicaid Services] and so many more continued to be great resources. Through the years we found that although these resources were valuable, many individuals and families were still confused by the information that was provided and needed help to simplify the process and end their continued confusion.
The best resources were our clients and their real-life individual and family experiences they shared with us. There is nothing like real-life experiences and stories to help others.
I also incorporated my many years and extensive experience in the financial and health care business, numerous face-to-face meetings and presentations with our UWM clients and their families, who provided considerable feedback, which lead to great information that we included in “Medicare Untangled.”
PBN: Is there a certain aspect to Medicare that you’ve found to be particularly confusing to many people?
EMMA: There are many areas within Social Security and Medicare enrollment that are confusing, especially during these unsettled times. Understanding Medicare’s tangle of moving parts, complex rules and continuous changes are major challenges for anyone. Those challenges are further complicated by the chronic government gobbledygook that has been confusing people since the federal government started Medicare more than 50 years ago.
Individuals nearing retirement are getting bombarded with information from mailing, commercials and phone calls, which adds to their confusion. Retirees are most often unaware of the rules and do not understand all the moving parts and the ramifications, which will impact their future retirement cash flow needs. Retirees are without a doubt confused about the additional expenses created by Medicare late-enrollment penalties, income-related adjustments and income taxation of Social Security retirement benefits until it is too late.
Confusion continues for retirees when it comes to enrolling and choosing a Medicare plan, especially with numerous insurance companies and plan options. These additional expenses can have a snowball effect on overall retirement income needs. Proper planning and cash flow are imperative to retirement planning to ensure financial longevity. That is why I wrote “Medicare Untangled,” to simplify the process and provide transparency to help retirees and those nearing retirement.
PBN: What are the potential consequences of not properly planning for the right health care/Medicare coverage after retirement?
EMMA: The most disconcerting consequence of not properly planning for health care/Medicare coverage prior to retirement, leading to retirement and annually during retirement is outliving your money. That’s why I developed a unique package of financial advisory services – The Financial Longevity Bundle – which incorporates our existing portfolio/wealth-management strategies for retirement planning with a broad array of financial and health care factors that secure cash flow and retirement viability.
Today, financial portfolios and nonliquid assets are only one of the critical elements that make up and affect the cash flow that you will need for your retirement income – cash flow (budget) that helps ensure that you do not outlive your money. The Financial Longevity Bundle was developed to provide our clients with an all-inclusive approach to retirement planning. We found many people were solely focused on investment/retirement products and planning. Few, if any, incorporated Social Security review, enrollment in Social Security retirement benefits, Medicare Part A, B, C and D in coordination with choosing the right health care/Medicare plan in the full retirement planning process. We felt it was crucial to create the Financial Longevity Bundle – lifetime cash flow (budget) – to ensure all areas were covered when planning for one’s retirement.
There is no question that if you do not properly plan for your retirement, inclusive of turning on your Social Security retirement cash benefits and your complete enrollment in Medicare and/or health care plans, alongside its costs, which can include income-related adjustments, late enrollment penalties, as well as additional tax consequences affecting your overall expenses and more, you will outlive your money – retirement income needed for proper cash flow.
PBN: Is “Medicare Untangled” available in any locally owned bookstores in Rhode Island?
EMMA: “Medicare Untangled” is currently available on Amazon.com. The book is also available directly through Universal Wealth Management’s headquarters at 945 Reservoir Ave, Cranston, R.I., and through our website, www.universalwm.com and at Greenwood Credit Union/GCU Wealth Advisors, 2669 Post Road, Warwick, R.I.
Due to the Covid-19 pandemic, our original plans for hosting in-person book discussions have been postponed. However, we are currently working with local bookstores in Rhode Island and beyond to make “Medicare Untangled” available in their stores.
In addition, during open enrollment – Oct. 15 to Dec. 7, we will be offering “Medicare Untangled” virtual and in-person events, including open discussions for retirees. The book will be available at all of our events. A complete schedule of upcoming events will be available on our website, www.universalwm.com/upcomingevents.
Elizabeth Graham is a PBN contributing writer.
