2023 Changes to Medicare Initial Enrollment Period

Today’s video applies to those who are planning to go on Medicare around their 65th birthday and will not elect to take Social Security until after their 65th birthday. Just a reminder, if you elect to take Social Security prior to your 65th birthday, you are automatically enrolled in Medicare A and B and sent your Medicare card showing enrollment in both. If you elect to take Social Security after your 65th birthday, you are automatically enrolled in Medicare Part A.

Individuals who haven’t elected to receive Social Security benefits prior to age 65 and want Medicare in place when they are first eligible must actively enroll in Medicare Part A and B during their Initial Enrollment Period (IEP). The IEP is the seven months around one’s 65th birthday, the three months before the month of your birthday, the month of your birthday, and the three months after your birthday.

We were delighted to learn and delighted to share that as of January 2023, if you enroll in Medicare in one of the months after your 65th birthday, your Part A effective date will be retroactive to the date you were first eligible for Medicare and your Part B effective date will be the first of the following month.

There has historically been a rather convoluted enrollment associated with Medicare Part B when enrolling during any of the three months after one’s 65th birthday as shown by the chart below. For your amusement, please note the chart below uses the term “Working Aged” to describe anyone 65 or older who remains employed (first paragraph). Hopefully, that’s going away too! Anyway, back on point, we never understood the logic associated with this convoluted system and it made planning retirement for someone who planned to retire within the three months after their 65th birthday unusually complicated.

Most people are eligible for Medicare on the first day of the month of their 65th birthday. If you were born on the first of the month, you are eligible on the first day of the previous month. There are individuals who are eligible for Medicare prior to turning 65 due to serious illness or disability. Today’s video does not address that population’s enrollment issues or process.

In sum, if you enroll in Medicare during the first three months of your IEP which begins three months before the month of your 65th birthday, your Medicare Part A and B will be effective the first of the month you are eligible to be on Medicare. If you enroll during the month of your birthday, your Medicare Part A will be retroactive to the first of the month you were eligible and your Part B will be effective the first of the following month. Finally, as mentioned above, if you enroll in Medicare in one of the months after your 65th birthday, your Part A effective date will be retroactive to the date you were first eligible for Medicare and your Part B effective date will be the first of the following month.

There are many fine people in government service and we are so pleased when their work results in a change that makes enrollment rules more straightforward!

Please watch the video, spread the word and follow us!