It was a big week. The Annual Enrollment Period opened, Social Security announced its 2027 raise, and we covered a lot of ground in between. Eddie has had his finger on the buzzer since Monday. Here are eight true-or-false questions, all drawn from this week's articles. Keep score, and no peeking at the answers before you commit.
Consider it practice. On Friday, October 23, at our live Fiscal Fridays educational show in Scottsdale, the advisors get thirty seconds per question, timed on David Schaeffer's 1878 pocket watch, with a buzzer and a spray bottle for anyone who runs long. You get as long as you want.
1. If you itemize in 2026, is every dollar you give to charity deductible?
False. Starting in 2026, the first 0.5% of your adjusted gross income in charitable gifts is not deductible for itemizers. A couple with $300,000 of income who itemizes and gives $10,000 deducts $8,500. Monday's piece: Giving to charity this year? The rules changed.
2. At 70½, can you send up to $111,000 from an IRA straight to charity without it counting as income?
True. That is a qualified charitable distribution, and $111,000 per person is the 2026 limit. It also counts toward your required minimum distribution. The catch: donor-advised funds cannot receive one, and the money has to leave the IRA by December 31.
3. Does a $0-premium drug plan mean you pay nothing extra for drug coverage, whatever your income?
False. If your income from two years ago was above $109,000 single or $218,000 joint, you pay an income-based surcharge on top of any plan's premium, including a $0 plan, and it comes out of your Social Security check. Tuesday's piece: Why can a $0 drug plan still bill you?
4. Will the Medicare income surcharges you pay in 2028 be based on your 2026 income?
True. The surcharges look back two years. That is why the choices you make before December 31, like a Roth conversion, a large withdrawal, or a charitable gift from an IRA, can matter two Januarys from now.
5. Do Medigap policies pay for long-term care in a nursing home?
False. Medicare's own website says Medicare does not pay for long-term care, and that Medigap policies do not either. What Medicare does cover is short skilled nursing care after a qualifying hospital stay, and after day 100 you pay all costs. Wednesday's piece: Will any Medicare plan pay for long-term care?
6. If your doctor leaves your plan's network in 2027, does a new rule let you switch plans?
False. Medicare proposed that rule, but the final rule published April 6, 2026 says it "is not finalizing the proposal." The time to check your doctors is now, during the Annual Enrollment Period. Thursday's piece: Three Medicare rumors to ignore this fall.
7. Is the 2027 cap on what you spend out of pocket for covered Part D drugs $2,400?
True. It started at $2,000 in 2025, was $2,100 in 2026, and is $2,400 for 2027. Your monthly premium is not part of that cap.
8. Is Social Security's 2027 cost-of-living raise 3.6%?
True. Social Security announced it on Wednesday, about $75 a month more for the average retiree. How much of it you keep depends on the 2027 Part B premium, which has not been announced yet. Friday's piece: Your 2027 raise is set. What will you keep?
Bonus: If you are happy with your Medicare plan, do you have to re-enroll by December 7 to keep it?
False. Medicare's yearly review guide says that if you have reviewed your options and you are happy with your current coverage, "you don't need to do anything (your coverage will continue automatically)." Just make sure the reviewing part actually happened.
How did you do?
Eight or nine right, and you have earned bragging rights at the next family dinner. Five to seven, and you are in good shape. Fewer than five, and you are exactly who these articles were written for, so welcome. Any question here that made you stop and think about your own situation is a good one to bring to Fiscal Fridays on October 23, where the advisors take questions from the room after the show. Save your seat here, or call (602) 281-3898.
Disclaimer: This article is for educational purposes only. It is not sponsored, endorsed, or otherwise representative of Medicare or the federal Medicare program. American Retirement Advisors is not a government agency. For official Medicare information, visit medicare.gov or call 1-800-MEDICARE (1-800-633-4227).Disclaimer: The information in this article is for educational purposes only and does not constitute tax, legal, or investment advice. Tax laws change frequently, and individual circumstances vary. American Retirement Advisors does not provide tax or legal services. Before making any tax-related decisions, consult a qualified CPA, tax attorney, or financial planner who can evaluate your specific situation.