Dear Toni:
I am a Viet Nam Vet, turning 65 this September. Recently, I was at the VA and someone told me that if I use the VA for my Medicare benefits that I cannot enroll in Medicare. I’ve also been told that if I don’t enroll in Medicare I will get a penalty if I enroll later. I really do not know what to do. Could you guide me in the right direction…Thanks, Gilbert from Pasadena, TX
Oh my Gilbert:
I am glad you didn’t listen to your buddies and decided to email me. Some people are dangerous when they give advice and have no idea of what the consequences can be or how this will impact your Medicare.
To qualify for Medicare, it involves how long you have worked and paid Social Security and Medicare taxes from your payroll check. One has to work only 10 years or 40 quarters to qualify for Medicare Part A at no cost. You have to enroll in Part B which has a premium of $104.90/monthly for 2014 this year.
v Being a Veteran and using a VA facility does not disqualify anyone from enrolling in Medicare. This is a bad rumor!
I would advise you and any Veteran reading this article to enroll in Medicare Part B, the medical/doctor part of Medicare. In fact the VA encourages Veterans to enroll in Part B.
I am very well aware that you do not need “Part B” to receive medical care from the VA, but when you go outside of the VA for any medical treatment you do need Part B. Gilbert, you might be ambulanced to another hospital that is not a VA facility for a medical emergency or you may go to MD Anderson for cancer treatment as examples, then you will pay 100% of the medical charges that “Part B” covers because you do not have Part B.
Part B covers all of your outpatient needs, doctor services such as office visits and even surgery, MRIs, chemotherapy and the list can go on. Without Part B of Medicare, a person can have to pay 100% out their pocket for services associated with Part b and this could be in the $1,000s or hundreds of thousands of dollars. Chemotherapy is usually done on an outpatient basis which falls under Part B. I don’t know how much chemotherapy is, but if you are not enrolled in Part B, then you will pay 100% of the chemo if it is not received at the VA. I wouldn’t take the chance.
Many do not enroll in Part B when they are first eligible for Medicare, may have to pay a “late enrollment” penalty of 10% for each full 12-month period that you could have had Part B, but did not sign up for it
The most important thing to remember about delaying Part B of Medicare is the 10% penalty for each full 12-month period. This penalty is for anyone who did not enroll in Part B who first eligible who is retired and no longer “working”. Let’s says you waited 50 months, which is a 4 full 12-month period, then the Part B penalty is an additional 40% added to the current Part B premium for as long as you have Medicare.
Bottom line… enroll in Part B when you are first offered because:
1. You will have a late penalty for as long as you are on Medicare.
2. If you are not enrolled in Part B, you will pay 100% for all services covered under Medicare’s Part B which can be thousands of dollars.
But not enrolling in Part D (Medicare Prescription Drug plan) is another story. Medicare considers the VA credible coverage and when you enroll in Part D at a later date, you do not get the late enrollment penalty. Guess what no Part D donut hole!!
Toni King, author of the new Medicare Survival Guide®, which is a simple guide that puts Medicare in people terms, is on sales at www.tonisays.com. Email questions or to schedule a “Confused about Social Security and Medicare Workshop” to www.tonisays.com/ask-toni or call 832/519-TONI (8664)
