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.
This article will explore how the changes in retirement age impact your eligibility for Medicare and Social Security benefits, specifically for individuals born in 1955 or later.
When Can I Retire if I Was Born in 1955?
If you were born in 1955, your full retirement age for Social Security benefits is 66 years and 2 months. This means you can start receiving your full benefit amount at that age. However, you have the option to start receiving benefits as early as age 62, but your benefit amount will be reduced. Conversely, you can delay receiving benefits until after your full retirement age, and your benefit amount will increase by 8% each year up to age 70.
How Does Retirement Age Affect Medicare Eligibility?
Regardless of your full retirement age for Social Security benefits, you are still eligible for Medicare at age 65. This means you can start receiving Medicare coverage even if you haven’t started receiving Social Security benefits yet.
How Do Social Security Benefits Impact Medicare Enrollment?
If you are already receiving Social Security benefits when you turn 65, you will be automatically enrolled in Medicare Part A and Part B. Additionally, your Medicare Part B premium will be automatically deducted from your monthly Social Security benefit payment.
However, if you are not yet receiving Social Security benefits, you will need to enroll in Medicare during your Initial Enrollment Period (IEP). This period begins 3 months before the month of your 65th birthday and ends 3 months after. If you miss your IEP, you may face late enrollment penalties.
How Can I Delay Retirement and Maximize My Benefits?
If you are considering delaying retirement, here are some things to keep in mind:
- Calculate your potential benefit increase: By delaying retirement, you can increase your Social Security benefit amount by 8% each year up to age 70. Use the Social Security Administration’s retirement planner to estimate your potential benefit increase.
- Consider your health and financial situation: Make sure you are in good health and have sufficient financial resources to support yourself during your delayed retirement years.
- Explore part-time work options: Consider working part-time to supplement your income and stay active during your delayed retirement.
- Plan for Medicare enrollment: Make sure you understand your Medicare enrollment options and deadlines.
While the retirement age for Social Security benefits has increased for individuals born in 1955 or later, you still have options to maximize your benefits. By understanding how retirement age affects Medicare and Social Security, you can make informed decisions about when to retire and how to manage your benefits.
Frequently Asked Questions
Q: What is the full retirement age for Social Security benefits if I was born in 1955?
A: The full retirement age for Social Security benefits if you were born in 1955 is 66 years and 2 months.
Q: Can I start receiving Social Security benefits before my full retirement age?
A: Yes, you can start receiving Social Security benefits as early as age 62, but your benefit amount will be reduced.
Q: Can I delay receiving Social Security benefits after my full retirement age?
A: Yes, you can delay receiving Social Security benefits until after your full retirement age, and your benefit amount will increase by 8% each year up to age 70.
Q: When am I eligible for Medicare?
A: You are eligible for Medicare at age 65, regardless of your full retirement age for Social Security benefits.
Q: How do Social Security benefits impact my Medicare enrollment?
A: If you are already receiving Social Security benefits when you turn 65, you will be automatically enrolled in Medicare Part A and Part B. However, if you are not yet receiving Social Security benefits, you will need to enroll in Medicare during your Initial Enrollment Period (IEP).
Q: What are the benefits of delaying retirement?
A: By delaying retirement, you can increase your Social Security benefit amount, have more time to save for retirement, and potentially work part-time to supplement your income.
Q: What should I consider before delaying retirement?
A: Before delaying retirement, you should consider your health, financial situation, and Medicare enrollment options.
Medicare enrollment can be impacted by Social Security benefits
Depending on your circumstances, you might be able to postpone signing up for Medicare until you are 65 years old. You can probably postpone enrolling in Medicare until you lose that employer coverage if you work past age 65 and have creditable employer coverage (or creditable employer coverage via a spouse). People turning 65 must typically enroll in Medicare during their 7-month Initial Enrollment Period (IEP) in order to avoid paying late enrollment penalties. Three months prior to your 65th birthday and three months following, your IEP is in effect.
Social Security benefits have a unique place in the Medicare enrollment process. When you first become eligible for Medicare, you will automatically be enrolled in Parts A and B if you are receiving Railroad Retirement Board benefits or Social Security benefits for retirement or disability.
SSA benefits and Medicare
Now let’s return to the possible interactions between Medicare and your full retirement age. The most significant thing is that, in the past, you both received SSA benefits and qualified for Medicare at age 65. This meant that Medicare could be partially funded by your SSA benefits. However, if you wish to use your SSA benefits to pay for Medicare costs, you must carefully consider when to take them because the full retirement age is at least one year past 65.