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Health Insurance Woes

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I was recently reading a debt update post over at Six Figures Under, where I saw that they were only paying $114/month for health insurance for a family of 5.

We pay $350/month for our family of 4. We surely must be overpaying then, right? This is one of the few areas that I haven’t examined yet for trying to reduce costs/fees since we started our debt reduction journey. Unfortunately, what I discovered makes me nervous for the coming year…..

I guess I haven’t thought about it (because I did know this fact), but our health insurance doesn’t fit the qualifications required now since the Affordable Care Act passed. Specifically, our current insurance does not include any prenatal coverage which is now a requirement of all health insurances (regardless of whether you are planning a pregnancy or not). When the Affordable Care Act passed, we received notice from our insurance that our policy would be expiring. But then a wonderful thing happened – due to some type of governmental stuff (protests? No idea, I’m not a hugely political person), our insurance was “grandfathered” in for another year. Basically, we got an extension until it is dissolved and goes away. That means we have our current insurance until December 31st of this year.

What do ACA-compliant insurance policies for a family of 4 look like in terms of price?

In a word…expensive!!!

The cheapest policies I found were in the $550ish range (through tax-payer subsidies), but they ran up to well over $1,000/month. I looked at several websites and some (through private insurance companies) were “set” prices. When I looked for insurance through the governmental/subsidy websites, they change based on what you earn (the more you earn, the more expensive the coverage). Since we’ve made a pretty decent income this year….it’s looking like the cost of health care is going to be pretty decent-sized too.

I definitely don’t want to start a political debate (I know this is an inherently political issue, so it’s hard to avoid), but I was really shocked by the numbers I saw. I guess it’s better that I priced the insurance now, in September, rather than get surprised with this fun fact on January 1, 2015. But at the same time, it doesn’t make me any less bummed to know that one of our non-negotiable monthly costs is going to skyrocket next year – possibly double, or more. *gulp*

This is all the more reason why we need to get rid of our debt – NOW! All those monthly payments are just consuming our monthly income! We’ve got to get out from under the weight of our debt!

Recommitment-city over here (not like I ever lost commitment, but this was one of those things that served as a big old wake up call!)

Out of curiosity (if you want to share) – How much does your family pay for health insurance? We currently pay out-of-pocket since my husband and I are both self-employed, but I think it might be worth looking into some sort of small business owner group insurance. I’ve heard of these but have never looked into them before. Perhaps my husband could get this for his small business and it would save us some money. Lots to look into!

New Routine

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Happy Monday! I hope you’re all starting out your week on a high note. It’s still hot as blazes in Arizona, but I can just sense that Fall is coming and I, for one, can NOT wait!!!

Anyway, you may recall that my kiddos recently started a new preschool (they go to the JCC). This was a tough decision for us as a family, as the cost is substantial and the facility is not near our home (it’s about a 30-40 minute drive each way, depending on traffic).

For the first few weeks they were attending preschool I would simply drop them off and then return back to the other side of town where we live, due to a myriad of reasons (once was because I had a dental appointment, once was for a vision appointment, once was to conduct a work-related Skype call, etc.). But within the past couple of weeks things have settled down a bit and I’ve settled into a new routine of sorts.

The girls go to preschool from 9am-4pm on MWF, so on those days I will dress in work out clothes, drop them at their classroom, and go immediately to the locker room to lock up my stuff (I bring a change of clothes, my purse, and a laptop bag to carry my laptop and work stuff). Sometimes I work out at the JCC gym on facility and sometimes I go right across the street to a beautiful “river path” (said in quotations because it’s a dry bed for 99% of the year…no real “river” to speak of), where I love to run. I’ll get a good workout in, then go clean myself up and change in the JCC locker room (which is somewhat awkward if I had run on the river path….walking into the JCC all gross and sweaty just to use their facility to shower/change. Kind of weird). At that point, I get to work!

I’ve been mixing up my work location. Most of the time I’ll start at the JCC (they have a library and lots of different seating areas with wifi access). Around lunch time I’ve been leaving. I’ll eat my lunch in the car, generally a peanut butter sandwich, a banana, and some pretzels or carrot sticks, or something similar. I’ll drive over to the local library and continue working there. Their wifi is spotty, but a lot of the work I do doesn’t actually require wifi as long as I’ve downloaded the things I need in advance (my projects eventually have to be transmitted through email, but they can be completed on my computer in the absence of internet connection and then emailed at a later time). A couple of times I have gone to a coffee shop, but then I have to buy a drink (generally in the $3-$4 range for coffee-shop prices), and although it’s a more comfortable work environment than the library (the library closest to the JCC is tiny and only has 1 table to work at), I hate to spend that money, which I feel like completely off-sets any gasoline savings I’ve earned by staying in the area all day rather than going home to work.

So that’s basically where we’re at. Of the 3 days the girls are in preschool, my goal is to stay in the area at least once or twice a week. There’s always one day when I need/want to come back home so I can tend to things around the house (like doing laundry or housework in-between work), but I think this is a comfortable arrangement for me.

Savings from Staying at the JCC

I found this fun website that calculates gas costs.

I put in our address, the JCC address, our vehicle information, etc. and was told that a round-trip cost comes to $5.58 in gasoline.

Then there’s also the time costs involved. If I were to make the full round trip in an hour (30 minutes each way), but I have to make it twice (drop off and pick up), we’re talking about 2 hours of the day being eaten up. However, I’d be committed to one drop-off and one pick-up regardless, so we’re really only talking about a 1-hour savings of time. But 1 hour is still substantial.

So the real savings comes to: $5.58 + 1 hour of time (valued at my hourly rate, which has never been disclosed).

Of course any of these savings are immediately discounted if I buy coffee-shop drinks, or if I were to eat out for lunch (so far I’ve always brought my lunch from home). It’s a tricky balance, but I think the decision to stay at the JCC 1-2 days per week and come home 1-2 days per week is a good balance of my needs.

How long is your commute to work? What’s the norm in your area?

It’s all relative, right? When we lived in Florida a 30 minute commute each way was standard. In L.A. 30 minutes is probably below-average. And here in Tucson 30 minutes is above-average.

What other public places could I work from?

Like I said, the public library really isn’t the most comfortable work environment – 1 table and no nearby outlets for my computer. Maybe I could/should just stay at the JCC all day, but it feels a little strange to just post up for the entire day (eating lunch and all). Of course, I could move around – maybe start in the library and then move to the art gallery. Or sit outside in the sculpture garden for a bit and then inside to the common area. The point is that there are options at the JCC. Any other (FREE) places to work that you would suggest?