Diana Stokes joins Ford on The Active Wealth Show this week to share important Medicare Enrollment and Comparison Schedule Information that can save you money with your healthcare after you turn 65!

Medicare 101

Welcome to The Active Wealth Show, ACTIVATORS! And for those of you listening to our show for the first time, an Activator is someone who is taking the appropriate steps to invest and retire successfully. They want a Tax-Efficient, Fee-Efficient and Market Efficient Portfolio. My Wife, Diana Stokes, handles Medicare Supplement Insurance Planning for our office and I am thrilled to welcome her to our show! We’re glad you are here with us Diana. Please share with our listeners your Medicare 101 that you share with folks when they meet with you for the first time.

Diana Stokes: One of the most frequent questions I get asked is when do I sign up for Medicare?

There are 3 enrollment periods

1.   Most people enroll around their 65th birthday.  You can enroll during the 3 months before your birth month, the month of your birth and 3 months after that month giving you a 7-month initial enrollment period.  Depending on when you enroll, coverage can start as early as the month of your 65th birthday.

2.   If you miss your Initial Enrollment, you can sign up every year between January 1st and March 31.  If you enroll at that time, your coverage is effective July 1st of that year.

3.   Under certain circumstances, you may be eligible for a special Enrollment Period.  If you have questions about that, you can set up a time to come in and speak with us.

*If you are still working and covered under employee group insurance you can either enroll in Medicare and drop your group coverage or you may be able to delay enrollment and stay with your employee program.  You need to compare your plan at work side by side with your Medicare coverage and decide which is better for you. Before deciding to leave your employer plan, always discuss all of your options with your benefits administrator, insurer, or plan provider. In most cases once you leave, you cannot return to the employer plan.

And how do I sign up for Medicare?

1.  If you are collecting Social Security the enrollment in Medicare is Automatic and your card will arrive in the mail 3 or 4 months before your 65th birthday

2 If you are NOT collecting SS. You can sign up 100 days before your birthday month!

A. You can call social security to schedule an appointment

B. Or you can go online to medicare.gov

C. Once you have signed up for A & B ; you are eligible to sign up for Medicare Part C which we will talk about later.  And this is where we can help you the most.

There are 3 types of medicare

Part A – this covers hospital care; First 60 days of hospital are covered at 100% and first 20 Days of skilled nursing is covered at 100%; there is a $1364 deductible per occurrence

Most people are eligible for part A at no cost if they or their spouse has worked in the past

Part B – This covers medical services outside the hospital like doctors visits, x-rays, emergency room and lab work

Medicare pays 80% and you are responsible for the other 20%.  And there is a $185 annual deductible for Part B if you and your spouses’ joint income is less than $170,000 a year.  If your joint income is higher, unfortunately the part B deductible will be higher as well. For example.  A joint income over $267,000 increases the part B deductible to $352.20/year

It is very important to note there is a penalty for delaying part B. The only reason you should delay taking part B is if you or your spouse is still working and you and your spouse are covered until a group health plan.  In this case, you may delay Part B but you must notify Medicare that you will be delaying it and show proof of covera