Turning 65

 When turning 65, the most important things to know about Medicare are your Initial Enrollment Period (IEP), the different parts of Medicare, and how your current work situation affects when you should sign up to avoid lifelong penalties. Key Actions to Take

• Know Your Enrollment Period: Your IEP is a 7-month window around your 65th birthday month.
• Decide if You Need to Act: You're automatically enrolled in Part A and Part B if you're receiving Social Security or Railroad Retirement Board benefits when you turn 65. Otherwise, you need to sign up through the Social Security Administration (SSA).
• Avoid Penalties: Failing to enroll in Part B and/or Part D when initially eligible (without a Special Enrollment Period) can lead to lifelong penalties.
• Consider Other Coverage: If you or your spouse have group health coverage from an employer with 20 or more employees while still working past 65, you might be able to delay Part B enrollment without penalty. Always confirm with your employer's benefits administrator. 

Understanding the Parts of Medicare

Medicare consists of different parts. 

• Part A (Hospital Insurance): Generally covers inpatient care. Most individuals don't pay a premium if they or their spouse paid Medicare taxes for at least 10 years.
• Part B (Medical Insurance): Covers doctor visits, outpatient care, and preventive services. Most people pay a monthly premium for Part B.
• Part C (Medicare Advantage): Private plans that combine Part A, Part B, and often Part D, sometimes with extra benefits.
• Part D (Prescription Drug Coverage): Helps cover prescription drug costs and is offered by private insurers.
• Medigap (Medicare Supplement Insurance): Private plans that help cover out-of-pocket costs with Original Medicare (Parts A & B). 

Important Considerations

• Working Past 65: If you delay Part B due to qualifying employer coverage, you have an 8-month Special Enrollment Period after your employment or coverage ends to sign up penalty-free.
• Health Savings Accounts (HSAs): You cannot contribute to an HSA after enrolling in any part of Medicare, including premium-free Part A. Delaying both Part A and Part B might be necessary to continue HSA contributions.
• Dependents: Medicare only covers the enrollee. Dependents will need other coverage if they were on your employer's plan.