Real Life Questions + Answers

as told to Holly O'Dell

Medicare Part D

I have Medicare Part D coverage, but I'd like to switch to a different plan. Can I do that?

Drew Woodburn, a Thrivent Financial representative in York, Nebraska, says: You certainly can switch to a different plan, but timing is everything. This month (October), your current insurance provider will send you an information packet; it explains changes to your current Part D contract that will go into effect Jan. 1, 2009. The enrollment period for Part D coverage in 2009 is Nov. 15 to Dec. 31, 2008. During this six-week period, you can switch your plan with changes effective Jan. 1, 2009. But after this period ends, you can't change your plan for another year.

All plans have the same core benefit. That is, they all have to provide at least the government-mandated minimum coverage—but they may provide better coverage than the minimum requirement. The differences among plans are in their deductibles, premiums and formularies (lists of covered drugs). To understand the true cost of coverage, add up your plan's monthly premium, deductible, co-pays and any amounts you may have to pay in the coverage gap. Also, make sure that your pharmacy is in the network for your prescription drug plan (just ask your pharmacist) and confirm that your medication is covered. The Formulary Finder at www.medicare.gov lets you search plans by state that match your required drug list. You also can call 1-800-MEDICARE (633-4227) for information.

Getting Organized

I can't keep track of my bills and receipts. How can I keep my paperwork more organized?

Nadia Geller, an interior designer and star of TV's Date My House on The Learning Channel, says: Here's what works for my clients and in my home:

• When you get the mail, recycle the junk mail, then open the bills and immediately put them into a slotted folder labeled "current bills." Store stamps here, too, and write your log-ins and passwords on the inside of the folder (perhaps in code, to be safe). Then, when you sit down to pay bills, either online or by mail, you'll have everything you need.
• After a day of errands, tape your receipts onto white paper in a three-ring binder, four to a page so they stay flat, legible and ordered by date. When you need to return a purchase, cross-reference a statement or find proof of expenses and deductions, you'll know just where to look.
• Go through business cards stuck under magnets and notes stuffed into drawers, and make a small household manual: an alphabetized list of important names and numbers. Then store it in an easy-to-find place and say goodbye to clutter.