Still Working After 65? Here’s What to Know About Delaying Medicare
If you or your spouse have job-based insurance, you might delay Medicare — but it’s not without risk.
If you’re still working at 65 with employer insurance, you may not need Medicare right away. But delaying Medicare enrollment incorrectly can cause costly penalties or gaps.
When You Can Delay
You can delay enrolling in Medicare Part B (and sometimes Part A) if:
• You (or your spouse) are still working.
• You have active, creditable employer coverage.
• Your employer has 20+ employees.
This lets you keep employer insurance, skip Part B’s monthly premium, and sign up during an 8-month Special Enrollment Period (SEP) later. You might even enroll in Part A (often free) unless you have an HSA.
When You Shouldn’t Delay
• No job-based insurance — COBRA, retiree, and Marketplace plans don’t count.
• Employers with under 20 employees.
• If you rely on VA coverage, Medicare suggests still enrolling in Parts A & B.
If you delay Part B without proper coverage, you’ll face a 10% lifetime penalty for each year you wait. That’s why it’s critical to understand the rules if you plan to delay Part B enrollment while working, so you can avoid costly Medicare delayed enrollment penalties down the line.
HSA Users, Be Careful
Enrolling in any part of Medicare stops your ability to contribute to an HSA. If you want to keep contributing, don’t sign up for even free Part A. Stop contributions at least 6 months before enrolling to avoid IRS issues.
What to Do Next
1. Ask HR if your plan counts as creditable.
2. Get written proof.
3. Plan ahead for SEP.
4. Don’t assume you’ll be auto-enrolled — take action.
We’re Here to Help
Call us today at 1-855-890-2583 to talk with an Education Specialist about delaying Medicare Part B or to learn how to delay Medicare while working without penalties.
