January 2020 – MSATP

By Maryland Citizens’ Health Initiative

Paid radio advertising featuring local sports heroes has proven to be an effective means of raising awareness of health coverage options among Maryland’s uninsured population.

The Maryland Citizens’ Health Initiative Education Fund, Inc. (MCHIEF) first led a Medicaid enrollment campaign featuring Ed Reed, then of the Baltimore Ravens, in radio and billboard advertising in 2008. This campaign resulted in over 10,000 Baltimore residents enrolling into free coverage through the state’s Medicaid Program.

The success of this model media campaign has been replicated to increase Medicaid enrollment in two other major regions of the state featuring players from the Baltimore Orioles, Baltimore Ravens, Frederick Keys and Washington Redskins. Ads have also been used and to increase enrollment in the Maryland Health Connection in 2014, 2015 and 2016. Ads have been aired in English and Spanish.

We know these ads work because each time the ads air, web traffic, call volume and applications increase. According to the Maryland Health Connection the most recent ad campaign led to significant increases in the number of applications, incoming calls and web traffic. The two weeks following the news conference launching the campaign resulted in a 67% increase in calls.

Be a part of the next winning ad campaign! To maximize the benefit of Maryland’s new Easy Enrollment Health Insurance Program, MCHIEF will launch a similar campaign featuring Baltimore Orioles legend Eddie Murray in early 2020. Please make a contribution to help more Marylanders gain access to quality, affordable health care coverage through the Maryland Health Connection. Call (410)235-9000 to invest in this campaign.

By Bob Jennings of TaxSpeaker

In November 2019, before the Budget Bill was passed, the IRS increased life expectancy tables to more accurately reflect American’s longevity. The adjustment was unrelated to the Budget Bill. Who knows if another change will come (it is under discussion), but there is no direct change as of now from the Budget Bill for the tables. Use Pub. 590-B for life expectancy tables.

The big law change that occurred in the Budget Bill was a change in the required minimum distribution rules from age 70 and ½ to age 72 for people turning 70 and ½ after 12/31/2019. Read on for the explanation.

As to Required Minimum Distributions (RMD), if you were 70 and ½ before 1/1/2020 (born before 7/1/1949) nothing has changed. You must take your RMD for 2019 and 2020 and 2021 just like before the bill. As an example, Ralph turned 70 ½ on December 4, 2019. He was required to take his 1^st RMD by 12/31/2019 because he is under the old law. Under a special, one-time rule, he could delay that 1^st payment until 4/1/2020, but he would still be required to take his 2019 payment by 4/1/20, AND still required to take his 2020 payment by 12/31/2020, and so on. He is unaffected by the new age rule.

If you were not 70 and ½ by 12/31/2019 then a new era has arrived for you. Your first RMD will not be required until the year you turn 72. And yes, you can delay the first one until April 1 of the year you turn 73, although you would be required to take both the distributions that year. If Ralph was born July 4, 1949, he was just shy of 70 and ½ on 12/31/19, so the new rules would apply to him. He will need to take his 1^st RMD in the year he turns 72, or 2021. That first RMD may be delayed until 4/1/2022, but he does still have to take a 2022 distribution by 12/31/2022 as well.

Month: January 2020

Timely Radio Ads Featuring Local Sports Heroes Dramatically Increase Healthcare Coverage

By Maryland Citizens’ Health Initiative

The New RMD Rules-in Layman’s Terms