Toni:
I have a very different Medicare problem concerning how to enroll than any problems, I’ve seen in your Medicare column.
I turn 65 on February 23 of this year and will retire on March 10th when my wife turns 65. Company benefits will end March 31st and I would like Medicare with Part B to begin April 1st when I no longer have company benefits.
Not really sure, how to make this enrollment happen and would like you to explain what I need to do. Thank you, Andy from Spring Branch area.
Oh My, Andy:
By helping you enroll in both Medicare Parts A and B last week, I learned a Medicare enrollment rule that my readers need to be informed about. I do not want my readers to run into this problem as you did. Thank…God, you enrolled in Medicare in just the right amount of time.
Medicare has what is called the enrollment effective date schedule, which is not mentioned in the 2014 Medicare & You Handbook. But on page 21 of the handbook, under “Initial Enrollment Period”, it states, “If you enroll in Part A and/or Part B the month you turn 65 or during the last 3 months of your Initial Enrollment Period, the start date for your Medicare coverage will be delayed”.
By discussing this enrollment situation with the Social Security rep over the phone, I learned that is was not possible for Andy to have his Medicare Parts A and B begin with an April 1st effective date.
He enrolled in February with a March 1st effective date having to pay for his Medicare Part B while still having his company benefits. No way, to get around the way to enroll because of the Medicare effective date schedule.
The “effective date schedule” is the 7 month period which occurs 3 month before turning 65, the month you turn 65 and 3 after turning 65.
Below is the Medicare effective date schedule:
- Enrolling anytime 3 months before turning 65, your Medicare begins the first day of the month you turn 65.
Since Andy turned 65 on February 23 he could have enrolled in Medicare Part A and/or B in Nov, Dec. or Jan. (3 months prior) for a February 1st effective date.
- Enroll the month you turn 65, then Medicare will begin 1 month after you sign up.
Andy enrolled in Feb.; his Medicare begins March 1st
- Enroll 1 month after you turn 65, your Medicare will begin 2 months after you sign up.
If Andy had enrolled in March; his Medicare begins May 1st
- Enroll 2 months after you turn 65, your Medicare will begin 3 months after you sign up.
Had Andy enrolled in April; his Medicare will begin July 1st
- Enroll 3 months after you turn 65, your Medicare will begin 3 months after you sign up.
Had Andy enrolled in May; his Medicare will begin August 1st
It is so very important to plan ahead, when you are retiring at 65, then you do not have to worry you are doing everything correctly. We all know that one wrong move and then you could be caught by the famous Part B penalty. When one waits to enroll in Part B past the 3 month period after you have turned 65, then the penalty starts. The Part B penalty is 10% for each 12 month period or year you could have been enrolled in Part B, but failed to enroll.
For those retiring after turning 65 and 90 days or older, I would always talk to your HR department, call Social Security at 1/800-772-1213 or contact Toni by the email below and she will help you enroll in or navigate the maze of Medicare.
Confused about Medicare” Workshops for 2014 are starting. Contact Toni to schedule a workshop for your church, organization or a company lunch and learn.
Toni King, author of the new Medicare Survival Guide®, a simple guide that puts Medicare in “people” terms, is on sale at www.tonisays.com. Email questions or to schedule a “Confused about Medicare Workshop” to www.tonisays.com/ask-toni
