Still working at 65? Don’t forget Medicare
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News from the Area VI Agency on Aging
POLSON — These days at lot of people are still working at 65. The Area VI Agency on Aging works with many people who want to know what their options are. At 65, you’ll be automatically enrolled in Medicare if you are already receiving Social Security. If you are not yet receiving Social Security, you’ll need to sign up for Medicare at 65. You can go to www.medicare.gov for information or to sign up. Your card will come in the mail, with instructions you need to read. People turning 65 are flooded with mail advertising insurance products. On a regular basis we see folks that have thrown away their Medicare card or piled it with the junk mail, so watch for it. There is no premium for Part A (hospital insurance) if you have at least 40 quarters (10 years) of work on which FICA taxes were paid – most people do. There is a monthly premium for part B (medical insurance) which will be deducted from your Social Security benefit if you are receiving it. If you are not yet getting Social Security you will be billed quarterly.
If you have insurance based on current employment, you can defer Part B (the part you pay for) until you retire and your insurance through your job ends. At that time you’ll have 8 months to sign up for Part B without a late penalty. You should consult your human resources person at work because some employers require you to get Part B while you are still employed.
Late penalty? People are often surprised, and it is something to pay attention to. When you reach 65, if you do not sign up when eligible and you go uninsured, a significant late penalty begins to accrue, and you may have to pay this additional cost every month for as long as you have Part B. There is also a late penalty for Part D (prescription drug insurance) if you go un-insured and want to join later.
Be sure to sign up during your Initial Enrollment Period (three months before your birthday month plus the month of your birthday plus three months after your birthday month = seven months) to avoid penalties or delay of coverage.
If you are enrolled in insurance through the Marketplace you need to switch to Medicare at 65. There are decisions to make, costs to consider, and deadlines to meet to avoid penalties. Our state certified SHIP counselors can help you put this puzzle together. Call 1-800-266-4188, for an appointment in Polson or to contact a counselor in Lake, Lincoln, Mineral, and Sanders counties. Area VI Agency on Aging will also be scheduling Medicare Basics classes in upcoming months. Watch your local paper for advertisements.
