We Got an $80,000 Medical Bill: Now What?

Sarah Brumley

Sarah Brumley

Ever opened a medical bill and felt your stomach drop? Or wondered how on earth you’d pay for something your insurance barely covered—or didn’t cover at all? We’ve been there—overwhelmed by medical bills. From $80,000 bills to courtroom appeals, we’ve walked through it all. And in this two-part series, I’m sharing the ins and outs of all the things we learned the hard way. Today, in Part 1, we’re talking about how to get ahead of medical costs before they happen—and what to do when a bill shows up and you don’t have the money to pay it. Sound like something you need? Well then, let’s get started!

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Overwhelmed by Medical Bills? Now What?

Well hey there and welcome back to another episode of the Financial Fix Up Podcast. I’m your host, Sarah Brumley, and today we’re diving into a topic I know far too well: medical bills and health insurance.

Over the years, our family has faced just about every kind of medical scenario—from emergency room visits, to surgeries, to two separate cancer diagnosis. And right now, we’re in the middle of a fight with insurance over medical necessity for care that should be covered. In fact, if you’re listening to this in real time, we’re right in the thick of a court hearing, hoping and praying for a reversal.

So, yeah—this episode? It’s not just informational—it’s deeply personal.

And, before we go any further, I want to be crystal clear: I am not a legal expert or an insurance specialist. Everything I’m sharing today comes from our own personal experience—what we’ve learned the hard way, what’s worked for us, and what I hope will help you or someone you love.

In today’s episode—Part 1 of a two-part series—we’re going to cover two critical pieces of the medical bill puzzle:

  1. How to plan ahead so you’re not blindsided by costs when a crisis hits, and
  2. What to do when the bill shows up and you don’t have the money to pay it.

So, if you’ve every felt overwhelmed by a medical bill or unsure of how to prepare your family financially for the unexpected—this one’s for you. Without further ado, let’s jump right in.

Step 1: Planning Ahead – Saving for Deductibles and Out-of-Pocket Costs

Let’s start with the part none of us want to think about—but all of us need to: planning ahead before a medical crisis ever hits.

I get it. When you’re living paycheck to paycheck or just trying to make the grocery budget work, setting aside extra money for something that might happen feels like a stretch. Honestly? There were years we didn’t do it. And we paid for it—literally.

But here’s the truth: medical bills don’t wait until it’s convenient. They don’t show up when your savings account is full or when your job feels secure. They show up in the middle of chaos—when the fridge is broken, the car needs repairs, and your kid just outgrew their shoes again.

That’s why knowing what you’re responsible for before a crisis hits is so important—and honestly, one of the best gifts you can give your future self.

Most insurance plans come with two big numbers: your deductible and your out-of-pocket maximum.

  • Your deductible is what you pay before insurance starts helping with the cost.
  • Your out-of-pocket max is the most you’ll have to pay in a calendar year for covered services—after that, your insurance should cover 100% of eligible expenses.

Those numbers aren’t just fine print—they’re numbers that should be part of your actual financial plan.

So, here’s what that can look like in real life:

  • Look up your numbersThis is the boring-but-critical part. Log in to your insurance account or pull out last year’s paperwork. Find those two numbers and write them down somewhere you’ll actually see them—your budget binder, your fridge, whatever works.
  • Start a small medical sinking fund.Even $20 a paycheck can make a big difference. That’s $40 a month—$480 in a year. It might not cover the whole bill, but it can absolutely soften the blow when the unexpected hits.

    You can keep it simple—tuck the money in an envelope, set up a separate savings account, or even stash it in a jar labeled “Doctor Drama.” Whatever helps you keep it separate and easy to grab when you need it.

    Ideally, your goal is to build up enough to cover your deductible, since that’s your first out-of-pocket cost when something major happens. But don’t stress if that number feels big—just start where you are, with what you have. Remember—small, consistent steps add up.

  • Use an HSA or FSA if your plan offers it.These accounts let you set aside money tax-free for medical costs. If your employer offers one, take advantage—especially if they offer a match. It’s one of the few ways to prepare ahead of time with some real benefits attached.
  • Be strategic once your deductible is met.If your family hits the deductible early in the year—due to surgery, an emergency, or something else—consider bundling in other care. Schedule those therapy appointments, lab draws, follow-ups, or specialty visits while insurance is likely to cover most (or all) of the cost.

Look, none of this guarantees a smooth ride. But when we started prepping—even just a little—it gave us a sense of control. It meant we didn’t have to scramble or panic every time something came up.

It’s not just about the numbers—it’s about protecting your peace in the middle of whatever life throws your way. And that tiny bit of control? It’s a game changer.

Step 2: The Bill Arrives—And You Can’t Pay It

Alright—let’s talk about what happens when the worst-case scenario becomes real life.

You or someone in your family ends up in the ER. Or maybe there’s surgery. A hospital stay. Lab work you didn’t realize wasn’t covered the way you thought it would be. You do what you have to do in the moment.

And then, a few weeks later, the bill shows up.

Maybe it’s $500.

Maybe it’s $5,000.

Maybe it’s $80,000, like one of the bills we once received.

Yep—you heard that right. We once opened the mailbox and found a bill that totaled nearly eighty thousand dollars. And let me tell you—my hands were shaking just holding that envelope. It felt like all the air left the room.

So if that’s where you are right now—panicked, overwhelmed, wondering how you’re supposed to pay a number that feels impossible—I want you to hear me say this:

Take a breath. You are not alone. And you do have options.

Here’s what we’ve learned the hard way—and what we wish we’d known sooner:

1. Verify everything.

Don’t assume the bill is accurate. I can’t tell you how many times we’ve been charged for something twice—or for a service that didn’t even happen. Call the provider’s billing department and ask for an itemized statement. Look through it line by line. It might feel tedious, but every charge matters.

2. Check insurance payments.

Sometimes that bill shows up before your insurance company has finished processing the claim—or worse, they’ve processed it incorrectly. Call your insurance provider and ask:

“Has this claim been finalized?”

It sounds simple, but it can save you from paying something that should’ve been covered. And it might help you avoid waiting months for a refund once insurance finally catches up.

3. Ask about financial assistance.

This step changed everything for us when Justin was going through his second round of cancer treatment. So many hospitals and clinics have hardship policies—but they don’t always advertise them. And they’re not just for folks on Medicaid or public assistance. Simply ask if there’s a financial assistance program available. They’ll usually have a short form to fill out, and in some cases, it can wipe out a big portion of the balance.

I know it can feel awkward to ask—but do it anyway. You’re advocating for your family—now and into the future.

4. Negotiate the balance.

If you’re able to pay some of it, ask if there’s a cash discount. Or set up a payment plan. Many providers will break it down over 12, 18, or even 24 months—with zero interest. It never hurts to ask.

We once negotiated a $2,000 bill down to $1,200 just by offering to pay a portion up front—because that’s what we had and it got their attention. Trust me, they want to work with you—it’s better for them to get something than nothing.

5. Don’t ignore it.

I know how tempting it is to push the bill aside and deal with it “later.” But waiting too long can lead to collections, and that brings a whole new set of stressors. Even if you don’t have a full plan yet, just call and let them know you’re working on it. You might even pay a small amount in good faith to keep your account on the up and up. We’ve done that and many times it has helped buy us some time and protect our credit in the process.

You don’t have to have all the answers today. And you definitely don’t have to fix it all in one day—or one phone call. But starting the conversation gives you options—and keeps you in the driver’s seat.

And if no one’s told you lately: you’re doing the hard, brave thing. Keep going.

How Will You Eliminate Your Medical Bills?

I know this isn’t easy stuff to talk about—but it matters.

Whether you’re just trying to plan ahead or you’ve got a medical bill sitting on your kitchen counter right now, I hope today’s episode gave you a little clarity—and reminded you that you are not alone in this.

Next time, in Part 2, we’ll walk through what to do when insurance denies a claim—step-by-step. I’ll share how we’re handling our own current battle, what documentation to gather, how to write an appeal that gets attention, and what to do if your provider isn’t much help. So be sure to tune in for that—it’s going to be a good one.

And if today’s episode helped you, would you pass it along to a friend who might be facing a medical bill of their own? And don’t forget to head over to lemonblessings.com to grab my free budgeting templates and family finance guides.

Whatever you decide, just know that I’m cheering you on! You’ve got this! Have an amazing day and I’ll chat with you again next time!

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