04 October 2004

Medicare sign-up date may affect your Social Security

Q: My 65th birthday will be at the end of October. I understand that it is necessary to sign up for Medicare within six months before that date. However, I work full time and have excellent health insurance with my employer. Do I need to sign up for Medicare? Does the date of signing up have any impact on future Social Security payments?

J.V., Sacramento

A: You first should contact your employer's human resources department to determine whether your company's group health plan requires you to take Medicare Part B, which helps pay for doctor services, outpatient hospital care and other medical services.

Susan Kost, public affairs specialist for the Social Security Administration in Sacramento, encourages people to file for Medicare Part A at age 65 because it's free. Part A helps pay for in-patient hospital care and certain follow-up services.

"At the same time, we can explain some options available if a person chooses to work beyond full retirement age," she said.

Will the date you sign up for Medicare affect Social Security payments?

The answer, Kost said, is a firm maybe. There are three enrollment periods for Medicare.

INITIAL ENROLLMENT PERIOD -- When you become eligible for Medicare hospital insurance (Part A) at age 65, you have seven months to sign up for the Medicare medical insurance (Part B). If you are receiving Social Security benefits, you don't have to do anything -- you automatically are enrolled in Medicare.

GENERAL ENROLLMENT PERIOD -- If you don't enroll in Medicare Part B during your initial enrollment period, you can sign up Jan. 1 through March 31 each year thereafter, and your coverage begins in July of that year. Your monthly premium increases 10 percent for each year you were eligible but chose not to enroll.

SPECIAL ENROLLMENT PERIOD -- If you are 65 or older and covered by a group health plan from your own or your spouse's current employment, you have a special enrollment period. This allows you to enroll in Medicare Part B without having to wait for a general enrollment period or pay the 10 percent premium surcharge for late enrollment.

You can file any time while you are covered under the group health plan or during the eight-month period after your group health plan ends or employment ends -- whichever comes first.

By JACK SIRARD
THE SACRAMENTO BEE

Search Our Prescription Drug Prices

close window