When do I apply for Medicare?
Start the enrollment process approximately 90 days before you need your Medicare to begin.
Medicare Part B
If you are on a group health plan when you turn 65, you do not need to sign up for Medicare Part A or Part B. Medicare Part B is only required if you do not have other group health insurance. There is a penalty of 10% if you do not have group health insurance for each year you choose not to apply. However, the penalty is waived if you are actively working and covered by group health insurance or your spouse is actively working and you are covered by their group health insurance.
Medicare and HSA
You and your employer are not eligible to contribute to an HSA once you are enrolled in Medicare Part A and/or Part B or Social Security. If you register on the Medicare website to waive Part B, you will automatically be enrolled in Part A. Once you are enrolled in Part A you cannot decline it and you would then not be allowed to contribute to an HSA.
The year that you retire and sign up for Medicare, stop making contributions to your HSA 6 months prior to taking Medicare because Medicare Part A will back date 6 months prior to your start date and per IRS regulations you are not eligible to contribute once on Medicare. For more information go to the HSA Page.