“Still Working:” Medicare’s Magic Words for Part B

Dear Toni, 

I’m losing the battle with Social Security about me and my wife enrolling in Medicare Part B since I am losing my group benefits effective July 31. I took early retirement in October 2022 and both me and my wife have been under company group health benefits. I now found out that I had to be an active employee to enroll in Medicare Part B without receiving a penalty. No one ever told me this. Please explain what Medicare rule I am not following.

Now I must pay for COBRA which costs over $1,500 a month for both of us.

Thanks,

Vince from San Antonio, TX

Hello Vince,

I do not have good news for you. Because you retired in October 2022, you have missed your window to enroll in Medicare Part B as of May 31^st. 

The words, still working, are magic words when it comes to enrolling past 65 and losing your or your spouse’s company benefits. The Medicare and You Handbook discusses delaying Medicare Part B until you are leaving your spouse’s or your group benefits, saying that “your 8-month Special Enrollment Period to sign up for Part B starts when you stop working, even if you choose COBRA or other coverage that’s not Medicare.” 

You thought that you were protected because of your continued employer group health plan and severance retirement package, so you and your wife waited past the 8-month window to apply for Medicare Part B and file your CMS-L564 forms to be accepted by Social Security (which enrolls one in Medicare).  Chapter 1 of the Medicare Survival Guide Advanced Edition explains in detail Medicare’s magic words.

Vince, you and your wife have a big problem because your group plan is ending July 31 and now you cannot get your Medicare Part B to begin until next February 2024. You cannot enroll in Medicare Part B until January 2024 because you no longer qualify to enroll during a Special Enrollment Period. You must now enroll during Medicare’s General Enrollment Period, according to its rules. 

Below are Medicare Enrollment Periods:

Medicare Initial Enrollment Period:  An IEP begins 3 months before turning 65, the month one turns 65, and 3 months after a person turns 65.

Special Enrollment Period:  Enrolling after 65 when delaying Medicare Part B due to working full time with company benefits. This is an 8-month window (a grace period) to sign up for Part B without receiving a Part B penalty. (You need the CMS-L564 form, aka Request for Employment Information, signed by HR and returned to Social Security with your Part B application).

General Enrollment Period: January 1-March 31 is the period each year when those who are late enrolling can enroll in Medicare Part B without receiving a Part B penalty. Part B will begin on the first of the next month and they will receive a Part B penalty.

Many are not aware of the Medicare Part B and Part D monthly penalties. With no Part B or Part D coverage, you will pay 100% for those benefits. Don’t wait!

Medicare Survival Guide Advanced Edition

Order Medicare Survival Guide Advanced

What You Don’t Know Will Hurt You!

Turning 65 in America is a milestone and one of the markers is enrolling in Medicare. But the system is so complicated, and there is a lot of false information out there.

In Toni King’s Medicare Survival Guide Advanced: Basics and Beyond, Toni gives you the critical steps you need to enroll in Medicare properly. Toni shares various situations that she has experienced with her many clients during Medicare consultations, and gives you the information and tools you need to enroll on time to avoid the “famous” Medicare Part B and D penalties.

Medicare Survival Guide Advanced helps you understand Medicare step by step…

Learn How to Enroll the Correct Way
• Still Working Past 65
• Turning 65
• VA Benefits
• Laid-off or Retiring

What Medicare Option Is Best for You
• Medicare Supplement vs. Advantage
• Losing Retirement Benefits

How to Avoid
• The Donut Hole
• Part B Penalties
• Part D IRMAA Penalties

If you are enrolling in Medicare and are confused by the commercials and telemarketers, or from the information that well-meaning friends or family members give, let Toni guide you through the maze of Medicare. Order TODAY!