Suppose the federal government created a voluntary program for people 65 and older enrolled in Medicare.
A senior might volunteer 5, 8 or 10 hours each week at an approved nonprofit, school, library, senior center, food pantry, hospital, veterans organization or municipal program.
In return, the federal government would provide an annual Medicare Service Credit.
Instead of receiving a paycheck, the senior could direct the credit toward a Medigap policy such as Plan G or High-Deductible Plan G, or perhaps toward other eligible Medicare expenses.
The program could have different service levels.
For example, someone volunteering four hours per week might earn a $1,500 annual Medicare credit. Someone volunteering eight hours might earn $3,000. Someone volunteering more might qualify for a larger credit, up to a reasonable annual limit.
Those numbers are examples. Congress would determine the appropriate amounts and funding.
The concept is what matters.
Give seniors an opportunity to exchange meaningful community service for greater healthcare security.
We Already Have the Volunteers
This is what makes the idea particularly interesting to me.
Many seniors are already doing the work.
Look around your community.
Older adults volunteer at nonprofits, libraries, hospitals, food pantries, schools, religious organizations and senior programs.
Organizations such as AIM and Montclair Gateway to Aging in Place, mGAP, depend heavily on people who donate their experience and time.
At mGAP, for example, volunteers help older residents learn technology, navigate an increasingly digital society and remain connected to their communities.
These aren’t people sitting home waiting for the government to send them something.
They are contributing.
Many spent 30, 40 or 50 years developing valuable skills. They were executives, teachers, nurses, engineers, accountants, technology professionals, tradespeople, business owners and public employees.
Retirement doesn’t erase those skills.
Why shouldn’t America put more of that experience to work?
The Federal Government Already Has a Foundation
This idea isn’t as radical as it might initially sound.
The federal government already operates the Senior Community Service Employment Program. SCSEP places eligible older Americans in community-service assignments at nonprofit and public organizations, including schools, hospitals and senior centers.
SCSEP participants work an average of about 20 hours per week and receive wages while gaining experience that can lead to employment. The program is primarily designed for unemployed, low-income people age 55 and older.
AmeriCorps Seniors provides another model. Its RSVP program connects people age 55 and older with organizations needing volunteers. Participants choose opportunities based on their interests, skills and schedules.
So the infrastructure and the basic idea already exist.
My proposal would add something different.
Create a Medicare-focused service program for seniors who don’t necessarily need job training or a traditional paycheck.
Their compensation would be healthcare security.
Everybody Gets Something
Consider who benefits.
The senior benefits.
A retiree gets help paying for Medigap coverage without having to find a conventional part-time job. The person remains active, engaged and connected to the community.
The nonprofit benefits.
Small nonprofits often have ambitious missions and limited budgets. Experienced volunteers give these organizations skills they might never afford to purchase in the private market.
Schools benefit.
Retired teachers could tutor. Retired businesspeople could mentor students. Technology professionals could help students and teachers. Retired tradespeople could teach practical skills.
Other seniors benefit.
One of the fastest-growing needs is helping older Americans navigate technology, healthcare, transportation and aging in place. Who understands those challenges better than other older adults experiencing many of the same things?
Taxpayers benefit.
Instead of creating another benefit with nothing expected in return, the country receives millions of hours of useful community service.
The federal government already reports tens of millions of community-service hours through SCSEP. AmeriCorps Seniors also connects large numbers of older Americans with community organizations.
We already know seniors are willing to serve.
We should give more of them a reason to do it.
Think About the Economics
Suppose a Medicare Service Credit were worth $3,000 annually.
A senior volunteering eight hours per week for 50 weeks would contribute about 400 hours.
That works out to a federal benefit of $7.50 for each hour of service.
Try hiring an experienced teacher, accountant, technology professional, executive or skilled tradesperson for $7.50 an hour.
The nonprofit receives the volunteer’s experience.
The senior receives help paying for healthcare.
The community receives the service.
And the federal government helps a senior afford protection against medical expenses without creating a large new salaried workforce.
There Would Need to Be Rules
Any serious proposal needs safeguards.
Participating organizations would need approval.
Volunteer hours would need verification.
There should be annual limits on the Medicare credit.
The program should supplement existing employees rather than encourage organizations to replace paid workers with federally subsidized senior volunteers.
Congress would also need to decide how the credit interacts with taxes, Social Security, Medicaid and other income-based programs.
And participation should always remain voluntary.
Nobody should have to work to receive basic Medicare benefits.
This proposal addresses supplemental Medicare costs. It does not make healthcare conditional on community service.
What About People Who Cannot Volunteer?
This distinction matters.
Some seniors have disabilities, chronic illnesses or caregiving responsibilities. Others simply aren’t physically able to volunteer.
They should not receive worse healthcare because they cannot participate.
The Medicare Service Credit would be an additional opportunity, not a replacement for Medicare or existing assistance programs.
It would be similar to deciding to take a part-time job in retirement, except your work directly earns assistance with your Medicare expenses.
A Different Way to Think About Aging
We spend enormous amounts of time discussing the cost of an aging population.
Perhaps we should spend more time discussing its value.
Millions of Americans reach 65 with decades of knowledge and experience.
Some want to travel.
Some want to relax.
Some need to continue working.
And many already volunteer because they want to remain useful and connected to their communities.
Why not recognize the economic value of that contribution?
If a 70-year-old volunteers hundreds of hours helping students learn to read, helping an older resident use a smartphone, assisting a food pantry or helping a nonprofit operate, perhaps helping that volunteer pay for Medicare supplemental insurance is a fair exchange.
We already ask seniors to navigate an extraordinarily complicated Medicare system and prepare for healthcare expenses that might stretch decades into retirement.
Perhaps there is another approach.
Give seniors the opportunity to serve.
Give nonprofits access to decades of experience.
Give communities thousands of additional volunteers.
And give participating seniors something valuable in return.
Help them pay for the healthcare security they are trying so hard to afford.
That sounds less like another government entitlement to me.
It sounds like a partnership.
George Frole, mGAP Tech Coach