Financial Assistance
Financial Planning :
An Introduction
Dealing with a chronic disease such as arthritis can be difficult. Many of these difficulties are emotional; some of them are financial. That's why managing your money should be a part of managing your health. A good way to get started is to have a financial plan.
How can I plan when everything seems so uncertain?
It's true-you can't predict how arthritis may change your life. If you're working now, you may be able to work for many years to come. Or, you may need to cut back on your hours in the future, find a new job or even quit working altogether. If you are retired, you may not know what expenses to expect in the future. But despite these uncertainties, you can take steps to get your financial life under control so you can focus on managing your arthritis.
What exactly is financial planning?
Financial Planning is the process of assessing your financial goals, taking an inventory of the money and other assets you already have to help you reach those goals, and estimating what you will need in the future. Financial Planning also includes:
- Using a monthly spending plan, or budget, to keep your finances on track.
- Making decisions about your job and job benefits.
- Getting the most out of other financial resources, including insurance and government assistance.
- Saving and investing money.
- Controlling expenses and staying out of debt.
- Planning your estate.
Cutting Costs
Medical Costs
I need a wheelchair. How can I get help to pay for it?
Medicare, Medicaid and private insurance plans may pay for assisting devices (such as wheelchairs, walkers, braces and splints) if they are a medical necessity. Ask your doctor to write a prescription for you for these items. Other possible sources of help in paying for equipment include your employer's charitable giving program, state vocational rehabilitation offices, the Department of Veterans Affairs, religious groups and civic organizations, such as the Kiwanis, Rotary and Shriners. Call your local chapter of the Arthritis Foundation to find out what may be available in your area.
What else can I do to cut down on medical costs?
Here are a few ideas:
- Find a doctor in whom you have confidence and stay with that doctor. Constantly changing doctors wastes time and money.
- Ask your doctor for suggestions on ways you can save money on doctor visits, lab tests and medications.
- When a doctor orders a test, ask why it is necessary. Keep records of previous tests to avoid costly repetition.
- If you are in doubt about a procedure, get a second opinion. The second opinion may cost extra, but it also may result in avoiding the procedure altogether.
I want to stay in my home, but it needs to be modified because of my arthritis. How can I keep costs down?
If you can't do the work yourself, get bids from three contractors, compare prices and check their references. Do not pay for the work until it is completed. Call your local chapter of the Arthritis Foundation for contractor recommendations or for the names of volunteer groups that may do the work for free.
In general, the costs of changes made to your home for medical necessity may be deductible from your income when calculating your income taxes. Get a doctor's letter to document medical necessity and check with your tax advisor.
Try these ideas for relatively inexpensive modifications to your home:
- Replace your doorknobs with levers, which do not require grasping and turning.
- Install rollout shelving in your cabinets.
- Lower closet racks.
- Raise electrical outlets and lower light switches to a height that is easier for you.
- Replace knob-type faucets in showers and sinks with levers.
- Install raised toilet seats.
- Add ramp access to a low deck or sunken den.
- Install grab bars in hallways and bathrooms.
- Widen doorways.
- Add heavy-duty, nonslip flooring.
Ask your property manager if there is a unit in your apartment complex that is handicapped-accessible, or if the apartment owner will modify your apartment for your disability. (Your state may require that a certain number of units in an apartment complex be accessible to people with disabilities.) If you decide to move, look for an apartment that has a sidewalk or elevator entrance instead of stairs, lever door handles instead of knobs, wider doorways, bathrooms with grab bars, and appliances and light switches that are easily reached. Your local housing authority or independent living center can guide you to apartment complexes that have these modifications.
I'm having trouble paying my rent. What can I do?
Call your local housing authority or human services agency and ask about subsidies to help low-income individuals pay for an apartment or house. With these programs, sometimes called "Section 8" programs, you pay a percentage of the rent based on your income, and the government pays the rest. Another idea is to find a roommate to share expenses.
Savings on Taxes
When filing your income taxes, keep the following options in mind:
Earned Income Tax Credit. This credit reduces taxes for many low-income workers, and it may even give you a refund. You can claim this credit on Form 1040.
Medical deduction. If you file an itemized tax return, you can deduct medical expenses that exceed 7.5 percent of your adjusted gross income. Save all bills and receipts for medications, parking fees to visit the doctor, gas and so on. Ask the doctor to write prescriptions for items that you need. For example, medications, splints, wheelchairs, medical appliances, special clothing or mattresses can all be tax deductible-if prescribed. If your car is adapted for medical reasons or if you've bought a walker, scooter or wheelchair, those expenses also may be deductible. Likewise, if you modify your house because of medical necessity, the cost may be deductible. You may want to consider consolidating these deductible expenses into a single tax year (calendar year), if possible, to maximize the benefit of this deduction.
Ideas for Cutting Everyday Expenses
Clipping coupons, shopping at garage sales and thrift stores, trading baby-sitting with friends and cutting out costly expenses such as premium cable channels, smoking or buying lottery tickets are tried-and-true ways of trimming everyday expenses.
In general, experts recommend that you compare prices at three places before buying anything-from prescription drugs to car insurance. Before you buy, ask yourself whether you need the item or just want it. You may be surprised at how many things fall into the "want" category.