If I plan to work until I am 66, do I need to sign up for Medicare at 65?

If you are not planning to apply for Social Security benefits until you stop work, you are not required to sign up for Medicare at 65, but you still may want to do so even if you have insurance through your employer.

There are now 4 parts to Medicare and each has different rules for enrollment so let me take them one at a time.

Part A Hospital Insurance: This covers only inpatient care charged by a hospital. There is no premium charged when you enroll since the cost is covered by a 1.45% employee payroll deduction (matched by employers). You can enroll in Part A even if you are covered by an employer group health plan (EGHP) and doing so may save you money. Check with your insurance counselor to see if this would be advantageous to you.

Part B Medical Insurance: If you have medical insurance through your employer (or through your spouse's current employer), you can wait until you stop work to apply for Part B of Medicare without penalty. Since there is a monthly premium for Part B many people wait to sign up during a special enrollment period that begins with the monthy they stop work or if covered under a spouse's EGHP when their spouse stops work. Be sure to check with Social Security before you apply to find out what you will need to document your EGHP coverage.

Part C Medicare Advantage: These are private Medicare approved HMO plans available in limited geographic areas as alternatives to traditional Medicare. You must have both Part A and B to enroll in these plans and there may be additional premiums depending on the level of coverage you choose. Call 1-800-MEDICARE or go to http://www.medicare.gov/ for more information about these plans.

Part D Prescription Drug Coverage: If you have prescription drug coverage through your employer, you probably should not consider Part D. Check with your insurance counselor to be sure. If you have no prescription coverage and you have either Part A or Part B of Medicare, you can find out about Part D plans available in your area at http://www.medicare.gov/.

Can't afford the cost of Medicare or prescription drug coverage? There is help available for certain low income Medicare beneficiaries. Check with Social Security to find out how to apply.