ENROLLING IN MEDICARE WHEN RETIRING

Before you stop working, you will need to make decisions about enrolling in Medicare even if you will have other coverage available during retirement.

It is best to make these decisions before retirement to ensure you're not charged penalties for late enrollment.

You have 8 months to enroll in Medicare once you stop working or your employer coverage ends depending on which happens first.

Contact Social Security before your employer coverage ends so there are no gaps in coverage.

Common situations below:

Health coverage from a spouse working for an employer with over 20 employees:

If you're retiring but will have health coverage from a spouse still working and their employer has 20+ employees:

• Check with their employer or union benefits manager about whether you have group health plan coverage.
• People may be able to delay Part A and Part B but won't have to pay a lifetime late enrollment penalty since they have group health coverage based on current employment.
• In most cases, you should enroll in Part A if you qualify for premium-free Part A; however, to avoid a tax penalty, people with a high deductible health plan and a health savings account (HSA) may want to delay Part A. To learn whether you should enroll, contact your employer benefits manager if you have an HSA.

Health coverage from a spouse working for an employer with less than 20 employees:

• You should enroll in both Part A and Part B if you will have health coverage after retiring through a spouse's employer or union with fewer than 20 employees.
• Medicare is the primary health coverage in this case and pays before the employer insurance.

Retiring and receiving retiree coverage from former employer or spouse's former employer:

• Enroll in both Part A and Part B because most retiree insurance requires you to have both parts to get coverage.

Not having any health coverage after retiring from current or former employer:

• Enroll in both Part A and Part B if you will not have health coverage from a current or former employer.

If your spouse retires or you lose your coverage from the spouse's employer:

• Even if you sign up for COBRA or retiree health coverage, enroll in Part A and Part B.