Medicare Part B and the “Oops, I Forgot to Sign Up” Penalty

So, you’re eligible for Medicare Part B, but you’re still enjoying your employer’s health coverage and thinking, “I’ll get to Medicare when I need to!”  We get it.  But Uncle Sam has a little surprise waiting if you take too long to sign up.  Here’s what happens if you miss the Medicare Part B boat when your employer coverage sails off into the sunset.

1. The "I'm Good While I’m Employed" Clause:
   As long as you’re actively employed and covered by a qualifying employer health plan, you can actually delay Medicare Part B without penalty.  Think of it as a hall pass to put off Medicare for a bit longer.  But don’t get too comfortable!
2. The Special Enrollment Period (SEP) aka "Your Safety Net":
   When your employer coverage ends, the clock starts ticking.  You’ve got an 8 month Special Enrollment Period (SEP) to sign up for Medicare Part B without penalties.  Miss that SEP? You’re looking at a little extra on your Part B bill each month.
3. The Penalty:
   Here’s the not-so-fun part.  If you miss that 8 month SEP, the government adds a late enrollment penalty to your monthly Part B premium.  Usually, a 10% increase for every year you delayed enrollment.  So, if you were planning to skip out on Medicare, think again!  This penalty MAY still apply in 2025 and beyond.  We are still gathering information to confirm. 

Enjoy your employer's health plan while you have it, but don’t snooze on that 8 month SEP once it’s over!  Missing it could mean an annoying, recurring reminder on your premium bill that Uncle Sam’s always watching.

To learn more, try this link: https://www.medicare.gov/basics/costs/medicare-costs/avoid-penalties