There was a time when becoming 65 entailed receiving both Medicare and your entire Social Security retirement benefits at the same time. However, the Social Security Administration (SSA) has altered the full retirement age twice in recent years: first, for individuals born between 1948 and 1954, it was raised to 66, and then, for those born in 1955 or later, it was raised to 67.
Medicare eligibility still starts at age 65, regardless of the full retirement age needed to receive full Social Security benefits (which you can easily find using the chart below). 1.
The full retirement age for people born in 1956 is 66 and 4 months. This means that if you were born in 1956, you can start receiving your full Social Security retirement benefits at age 66 and 4 months. However, you can also choose to start receiving benefits as early as age 62, or you can delay receiving benefits until after your full retirement age.
Early Retirement Benefits
If you choose to start receiving benefits early, your benefit amount will be reduced by 6.67% for each year that you start receiving benefits before your full retirement age. This reduction will continue for up to 36 months, after which your benefit amount will be permanently reduced by 5% per year.
Delayed Retirement Benefits
If you choose to delay receiving benefits until after your full retirement age, your benefit amount will increase by 8% for each year that you delay receiving benefits. This increase will continue until you reach age 70, at which point your benefit amount will no longer increase.
Medicare Eligibility
Regardless of your full retirement age, you will become eligible for Medicare at age 65. However, if you continue to work past age 65 and have creditable employer coverage, you can delay enrolling in Medicare until you lose that employer coverage. In most cases, people turning 65 will need to get Medicare during their 7-month Initial Enrollment Period (IEP) to avoid financial penalties for enrolling late.
Social Security Benefits and Medicare Premiums
If you are receiving Social Security benefits, your Medicare Part B premium will be automatically deducted from your monthly benefit payment. If you are not receiving Social Security benefits, you will receive a bill for your Medicare Part B premium.
As you are starting to think about Medicare and retirement, it is important to do some research and make sure you understand how your Social Security benefits can or will play a role. By understanding your full retirement age and how it affects your Social Security and Medicare benefits, you can make informed decisions about when to start receiving benefits and how to best manage your retirement income.
Frequently Asked Questions
What is the full retirement age for people born in 1955?
The full retirement age for people born in 1955 is 67.
Can I delay receiving Social Security benefits until after my full retirement age?
Yes, you can delay receiving Social Security benefits until after your full retirement age. If you do so, your benefit amount will increase by 8% for each year that you delay receiving benefits.
How do I enroll in Medicare?
You can enroll in Medicare online at www.medicare.gov, by calling 1-800-MEDICARE (1-800-633-4227), or by visiting your local Social Security office.
What is the Medicare Part B premium?
The Medicare Part B premium is the monthly premium that you pay for Medicare Part B coverage. The premium amount varies depending on your income.
How can I pay for my Medicare Part B premium?
You can pay for your Medicare Part B premium by check or money order, a credit or debit card, or through online bill pay services.
Additional Resources
Disclaimer
This information is intended for general knowledge and informational purposes only, and does not constitute professional financial or legal advice. It is essential to consult with a qualified professional for any specific questions or concerns you may have.
Important things to know about Social Security benefits
Prior to discussing how this might affect Medicare decisions, there are three things to consider.
- As early as age 62, you are eligible to begin receiving benefits; however, you will forfeit six 67 percent of your total benefit amount up to three years, and then five percent per year after that
- You are able to postpone receiving benefits until after you reach retirement age, and in fact, your benefits will increase by 8% annually until you reach age 70, at which point the incentive will cease.
- Whatever amount you start receiving is locked in for life.
How Social Security helps pay for Medicare
If you are receiving Social Security or Railroad Retirement Board (RRB) benefits, your Medicare Part B premium will also be automatically deducted from your monthly benefit payment in addition to automatically enrolling you in Medicare.
A “Notice of Medicare Premium Payment Due” (CMS-500) bill will be sent to you if you have not yet received Social Security or Railroad Retirement Board (RRB) benefits. Payment options for bills include credit or debit cards, money orders, checks, and online bill payment services.
Finally, as you begin to consider Medicare and retirement, make sure you do your homework and comprehend the potential and actual roles that your Social Security benefits will play.