Medicare without SS

[Midway]

It is my understanding that Medicare premiums are deducted from SS benefits. What happens if you sign up for Medicare at age 65 but delay SS until 70? How do you pay your Medicare premiums if you are not receiving SS?

[hamjam916]

It's complicated and lots depends on your individual circumstances. For instance, I'm retired military and still working at age 66. But to receive Tricare for Life, I needed to sign up for Medicare (and yes, paying premiums). Others may know more but I believe you can delay Medicare after 65 if you can show you are still working....

[jimcasada]

Part A is free at 65, but not automatic. You still need to sign up for it. I too have Tricare, which means that I had to sign up for both parts A&B, in order to keep my Tricare going. They'll tell you that your Tricare will now be free of charge, but it's a lie if still have dependents, because I still had to keep paying for our Tricare Prime to keep my wife & kids covered. I had to pay about $165/mo for part B out of my own pocket for a few months while I was waiting my SS retirement benefits to start, then they'll automatically start taking it out of your monthly payments.

[Scarfinger]

However, if you sign up for Medicare before claiming Social Security, you will get a bill for Medicare Part B. The standard Medicare Part B premium is $144.60 per month in 2020. A retiree who signs up for Medicare at age 65 in 2020 but delays claiming Social Security until age 66 will need to pay $1,735.20 in Medicare Part B premiums out of pocket over the course of the full calendar year. Once you sign up for Social Security, you can instead elect to have these premiums deducted from your Social Security payments.

[jimcasada]

$164.90/mo is what I'm currently paying for part B (about to go up to $174.70).

https://www.cms.gov/newsroom/fact-sheet ... 0in%202023.

[twinkc]

I too am paying $164.90 for Medicare Part B, which will increase to the $174.70 in December. --I am not yet on Social Security. And although I have not been working this year, I also have to pay $65.90 Part B IRMAA because my spouse and I file a joint income tax return that exceeds the IRMMA limits. Medicare's premiums for a given year are based on income earned two years prior. In other words, my monthly premiums for 2023 have been based on the tax filings submitted last year (2022) for what we made in tax year 2021. In 2024, the monthly premiums will be based on what we earned in tax year 2022 (I didn't work in 2022 but my spouse did). Unfortunately, even though we're both retired now, and not working, I'll still be paying an IRMMA in 2024 because of the joint tax return for 2022. That extra $65.90/month for Part B IRMMA seems a costly penalty for exceeding a threshold based on 2-year old data!--just saying. I understand that monthly premium calculations and adjustments for Part B is a belabored process for Medicare, but in this modern age, one would think they could speed up the process a bit to within a year. I have been paying my Medicare directly from my bank account through automatic debit. Once I start Social Security, Medicare will be paid via automatic monthly deductions from my Social Security.

[evilanne]

I'm still not convinced that I want to get Part B when the time comes but you can pay for it directly if you are not getting SSA (4 ways to pay https://www.kiplinger.com/retirement/me ... ts-b-and-d). With FEHB, Part B gets rid of the deductible & coinsurance, but you are basically paying for the same thing twice. As twinkc points out the amount you pay is determined 2 years prior. You have to be careful not to have any large withdrawals or may have to pay IRMMA but there is a way to get that reduced through an appeals process if you have a qualifying life changing event.

The difference between the lowest medicare rate and the 1st IRMAA bracket is a 40% increase. The 2nd & 3rd brackets are 100% & 160% higher https://www.medicareinteractive.org/get ... er-incomes If you don't sign up for Medicare when 1st eligible, there is a 10% penalty per year. If you have higher. income for some reason 2 years prior, it may be worthwhile taking the 10% penalty for one or two years if your income is above the threshold when 1st eligible.

One question I have is what happens if your income increases after you start Part B. So if you are below the threshold to get the lower rate two years prior, what happens if your income increases later. Do they reassess your rate in subsequent years? The only thing I could find appear to be that the answer is yes.

Each year, the SSA reevaluates whether an IRMAA should apply to your Medicare premiums. So, depending on your income, an IRMAA could be added, updated, or removed.

Source: https://www.healthline.com/health/medic ... f-medicare

It looks like you have to continue monitoring your income each year to remain below the thresholds to avoid IRMAA