In this class, we explored how Social Security and Medicare interact, especially when it comes to enrolling in Medicare coverage and paying premiums. Understanding these processes can save you from unnecessary expenses and help you make informed decisions about your healthcare coverage as you approach 65.

Key Takeaways and Next Steps:

Automatic Enrollment with Social Security

If you are collecting Social Security payments for at least four months before turning 65, you will be automatically enrolled in Medicare Part A (hospital insurance) and Part B (medical insurance). Keep an eye out for your Medicare card in the mail.

Paying for Medicare

If you’re not yet collecting Social Security when you sign up for Medicare, you will receive a bill for your premiums. Once you start collecting Social Security, your Medicare premiums will be automatically deducted from your benefit payments.

Evaluate Your Coverage Needs

Before accepting Medicare, check if you actually need it—especially if you are covered under an employer plan. Compare the cost and coverage of Medicare versus your current insurance to see which option is more affordable.

Other Premium Deductions

If you're collecting Social Security, Medicare Advantage and Part D (prescription drug) premiums can also be deducted directly from your Social Security benefits.

Spousal Coverage

If you are on your spouse’s employer-sponsored plan, you may not need Medicare right away. Always compare costs to determine the best option for your situation.