Applying for Medicare

[RunnerDude]

If an individual has put off applying for Medicare Part A and Part B until age 67 due to having credible coverage through work, what is the best way to apply on-line? I generally go to: "ssa.gov/benefits/medicare" to set up a "My Social Security" account, and then apply for Part B and Social Security through that site. I know he will have to prove that he has had credible coverage for Part B and Part D since turning 65, but I'm sure what other steps he will need to take. Is there an additional form he needs to complete?

 

[Chazm]

L564 and and 40b need to be filled out and submitted here https://secure.ssa.gov/mpboa/medicare-part-b-online-application/
Dropped off at a SS office, faxed, or mailed in

I send clients a word document of what to do and only change their local fax number. I can email it to you if you send me your email

 

[RunnerDude]

My email is [email protected]. Thanks for your help!

 

[RunnerDude]

He also stated that he originally signed up for Medicare Part A when he turned 65, but had to cancel it because he also had an HSA - and was told he couldn't have both. So, as of now, he doesn't have a Medicare card. I noticed that the form L564 required that you have a Medicare number to apply for Part B. He plans to keep the HSA account until June 2021, and then wants to switch to Medicare. I assume he will need to drop the HSA account to re-enroll in Part A, and then complete the forms to obtain Part B. Is there a way to get Part A and B at the same time?

 

[LostDollar]

caveat, not an agent

critical little details there

Assuming now he is more than 6 mos beyond turning 65, SSA will backdate part A effective date by 6 months. So if he wants HSA through June 30, 2021, he will have to wait until Jan 2022 to apply for Medicare. If that doesn't work because of penalties, then he may have to stop HSA contributions earlier than he would like.

 

[RunnerDude]

So- if he wants Medicare for 2021 without penalties, is it best to drop his HSA and reinstate his Part A now to make it effective for early 2021?

 

[LostDollar]

Caveat, not an agent,

The way I understand it, If he was to apply for Part A now, his effective date will be either June or July 2020. If he has already contributed a full contribution for 2020, he will have to remove some money to avoid penalties.

You have a combination of HSA contribution rules,
How much 2020 contribution client has already made to HSA
Part A effective date back dating,
End of employment date
and Part B penalty date to deal with.

If you want an agent to help you with that, you will need to post that info for them to take a look at. I can't give you any advice beyond to be aware of the Part A backdating.

 

[LostDollar]

caveat, not an agent.

I don't want to reply in your other thread, leaving that open for an agent to respond.

Your client has the potential to be getting tripped up on another detail.

Why do some people enroll in Medicare Part B after they turn 65?

Please note there are different creditable coverage requirements for Part D and Part B.

ONLY coverage from ACTIVE employment counts for Part B. So if the time from your client's retirement to his proposed Part B enrollment date puts him outside the end of employment SEP, he won't be able to enroll until 2022 and will have a Part B penalty.

 

[LostDollar]

This info may be useful to you too.

Health Savings Account Contribution - Medicare Entitlement

Near retirement? Avoid these 3 hiccups with your health savings account

 

[RunnerDude]

Thanks for your information. My client retired from "active" employment in July 2020. He will have "retirement health insurance" until June 30th 2021. If I am understanding this correctly, he will need to apply for Medicare Parts A & B during the general enrollment period (January-March) to avoid a late penalty. He can keep his current insurance and HSA account - making sure that he has not exceeded the maximum allowed contribution amount for 2021. His Medicare effective date will then be 7/1/2021.