Sign Up For Medicare at 65
Three Months Before Your 65th Birthday You Need to Sign Up
Even if you are still working, and may continue to do so for a number of years, Medicare will be your secondary insurance. Why should you do this?
There may be severe penalties for not signing up and once you let this time slip by, you will have to wait for the following Open Enrollment period (Nov15- Dec 31) to sign up and it won't become effective until the following January. You might find yourself without any coverage if you wait.
There is actually a seven month period in which you should sign up fr Medicare. This includes
- the three months before you turn 65
- the month in which you turn 65
- the three months after you turn 65
If you choose to take your Social Security or Railroad Retirement benefits at age 65, you will automatically be enrolled in Medicare. However, should you decide to continue to work and not take your Social Security r Railroad benefits, you will have to sign up for Medicare yourself.
For those born after 1942, full retirement age for Social Security extends beyond age 65. For example, those born in 1938 reach full retirement at 65 plus 2 months. For those born between 1943 and 1954, full retirement age is 66. Those born in 1960 and later it is now age 67.
You can retire at anytime between age 62 and your full retirement age and collect Social Security, however, the amount you can collect will vary with the age at which you begin collecting it.
Your Medicare benefits do not kick in until age 65 unless you are disabled and have been on disability payments for two years, or you have End Stage Renal Disease (ESRD) and are on kidney dialysis or have had a kidney transplant.
Medicare has 3 basic parts. Part A is your hospital coverage. As long as you (or your spouse) have worked and paid into Medicare for 40 quarters, there is no premium for this part. If you have fewer than 40 quarters, there is a premium. For those who worked 30-39 quarters that premium is $226.00 per month. For fewer than 30 quarters the premium is $410.00 per month.
Part B is your medial coverage for doctor bills, and other healthcare costs such as fees for laboratory, X-ray, outpatient visits for physical therapy. Part B premium is $93.50 per month except for those whose annual income exceeds $80,000 (single) or $160,000 (married).
Even if you are continuing to work, it may be a good idea to sign up for Part B at age 65 and let it be a secondary insurance. Premiums can increase and accrue as much as 10% per year for each year you choose not to sign up and that increase is tacked on to the monthly premium for the duration. There are exceptions to this, but you will need to have proof of other medical coverage.
Medicare premiums are deducted from your Social Security Checks each month.
Part D is the prescription drug coverage plan. Costs vary according to the plan selected. If you continue to work and have prescription drug coverage through your employer's health plan you may not need Part D at this time.
Medigap (or Medicare Supplemental) policies are available through private insurance companies. This is additional coverage which you can purchase to help cover the costs of deductibles and co-insurance. When you first sign up for Part B you have six months in which to sign up for one of these policies. This is a once in a lifetime open enrollment. If you don't choose a Medigap policy, you won't have another opportunity to do so,
Medicare Advantage programs also known as Medicare C or Medicare HMOs or PPOs are available in most areas of the country. You can find out which ones are available in your area from the Medicare website. Compare costs and benefits carefully. Some include Part D prescription coverage.
To sign up for Medicare, visit your local Social Security office. You can locate your local office by calling the Social Security Administration at 1-800-772-1213, or by visiting the Social Security web site.
You can also get the facts and information from your State Health Insurance Assistance Program (SHIP). .
