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Post by HeavyDuty on Nov 21, 2023 9:00:28 GMT -5
I’m struggling with this right now. I’m 61 and three months.
I had always planned on retiring at 62.5 to maximize time with my older, ill wife. She passed in 2015, but I kept to that plan.
What I hadn’t foreseen was remarrying to a younger woman, a fellow widow with three young kids. They are 12, 12 and 7.
Now I’m wondering if I should work until at least 65. I have savings, but they pretty much throw money at me for something I enjoy. But, the job is changing and the process is starting to wear me down. If I retire before 65, medical coverage is available through my wife.
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Post by Leftee on Nov 21, 2023 9:04:04 GMT -5
Medical coverage is the elephant in the room. As I look at when to retire, that is the big concern.
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Post by Pinetree on Nov 21, 2023 9:06:50 GMT -5
Have you actually priced health insurance?
Mine was surprisingly inexpensive.
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Post by Leftee on Nov 21, 2023 9:12:54 GMT -5
Not yet. When I get closer I will. I’ve heard stories like yours and also some pretty terrible ones.
My wife retired June 1 of last year. She’s on my medical, now.
The whole medical coverage issue makes my wife very nervous. She’s a cancer survivor and has had chronic migraines since she was in the first grade. So any retirement decisions will be made within her comfort zone. And I’m fine with that.
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Post by Auf Kiltre on Nov 21, 2023 9:23:24 GMT -5
My wife's employee medical insurance went up 18% and doesn't cover spouse, so my coverage is a full price add on. We're currently trying to figure out if I'd be better off getting my own. A lot of factors, such as pre-tax dollars through her policy (which also affects her gross earnings and social security calculations), 2024 anticipated annual household income, the fact that I will qualify for Medicare in October 2024. Either way, it's gonna be expensive as long as she continues to work. It can all be pretty maddening, especially since she isn't 100% certain on a retirement date, or if she'll continue part time or as a contract employee.
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Post by slacker 🐨 on Nov 21, 2023 9:48:55 GMT -5
So...who does one go to to discuss options? I just turned 60, but I could retire at any time. My current best guess is fall of 25, which would put me at 62. Would I need to start drawing $ right away? What would be the implications if I delayed, since I wouldn't be earning a salary any more? What, if any, are the implications to Medicare coverage if I do that? I keep hearing about this penalty....what's the deal with that?
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Post by LTB on Nov 21, 2023 9:56:22 GMT -5
Not yet. When I get closer I will. I’ve heard stories like yours and also some pretty terrible ones. My wife retired June 1 of last year. She’s on my medical, now. The whole medical coverage issue makes my wife very nervous. She’s a cancer survivor and has had chronic migraines since she was in the first grade. So any retirement decisions will be made within her comfort zone. And I’m fine with that. I had frequent migraines that started in neck at base of my skull then quickly went up to top of my head like it would explode and then turned to nausia. Several years ago my doctor put me on Amitryptaline ( origionally made for seizures but they found it keeps neck muscles from knotting up around brain stem due stress. Rare occurrances now.
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Post by Auf Kiltre on Nov 21, 2023 10:36:32 GMT -5
So...who does one go to to discuss options? I just turned 60, but I could retire at any time. My current best guess is fall of 25, which would put me at 62. Would I need to start drawing $ right away? What would be the implications if I delayed, since I wouldn't be earning a salary any more? What, if any, are the implications to Medicare coverage if I do that? I keep hearing about this penalty....what's the deal with that? Check with your financial institution if they offer sit down counseling. Ours did and while it doesn't fill in all blanks is a starting point.
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Post by RufusTeleStrat on Nov 21, 2023 11:01:18 GMT -5
So this is what I do all day. I counsel folks on Med Supplemental and Medicare advantage plans, the timing of B and costs associated with delayed or not delayed assumption of Medicare A, B and D. I will not get into it here, but employer coverage will delay penalty as long as both the medical and prescription coverage meet what is called credible coverage. If you have not triggered B yet, you will not be billed the 174.70 that medicare will charge at a minimum next year for B.
If anyone needs specifics DM me and I can send my work # so I do not get into insurance jail.
Not to derail or hijack, and I understand if you don't want to answer because of employment requirements, but... My wife turned 65 today. She has medical and prescription coverage through her employer which starts a new year December 1st. She has already applied for for Medicare Part A. If she elects to retire or go to part time next year and not qualify for medical coverage through her employer before December 2024 she won't be penalized for applying for part B, right? As long as you have what is called credible coverage you are not required to activate b or d. The issue is A automatically starts at 65.
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Post by Larry Madsen on Nov 21, 2023 11:08:07 GMT -5
I keep hearing about this penalty....what's the deal with that? The penalty is quite punishing. My understanding is if you have no other medical coverage and do not sign up for Medicare at 65 the penalty is: 10% this year Another 10% next year (read now 20%), Another 10% on a third year (now 30%) And so on every year ... And it is a permanent penalty ... you will pay that increased "penalized rate" every year for ever.
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Post by Seldom Seen on Nov 21, 2023 11:35:07 GMT -5
Uncle Sam wants retirees paying into Medicare ASAP. I had planned to defer Part B because my buyout allowed me to continue private group insurance coverage until the deal was complete. Then I discovered I would need to work a full-time schedule or risk the penalties. I effectively live in three states so a flexible Medigap policy with no coverage network restrictions was my choice. My premium costs increased by a factor of four so the switch to Medicare was painful for me based on my circumstance and need. My wife’s Advantage plan costs her nothing.
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Post by Pinetree on Nov 21, 2023 12:01:24 GMT -5
Your best bet is to contact Social Security or medicare.gov for the answers you seek. There's a lot of misinformation and rumors that may steer you wrong.
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Post by Auf Kiltre on Nov 21, 2023 12:19:36 GMT -5
I recall handling a lot of medical stuff for my mom in her final years. My late dad's pension/medical was shifting from simple to convoluted (around 2010,2011) and my mom's cognition wasn't what it once was. She was already stating things like "maybe I've lived too long" when despairing over all the processes. I can't imagine how she'd be in today's world. It seems beyond convoluted and almost a deliberate shell game at times.
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Post by Larry Madsen on Nov 21, 2023 12:38:49 GMT -5
Your best bet is to contact Social Security or medicare.gov for the answers you seek. I fully agree there. Note all I have stated is prefaced with "My Understanding" is ... I don't see a problem with a group like us discussing things, but the final say will always be "The Mother Ship" and its representative professionals. An open discussion sometimes opens the door to discover things you have questions about.
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Post by Leftee on Nov 21, 2023 13:49:43 GMT -5
I always pick up things from these discussions.
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Post by Larry Madsen on Nov 21, 2023 14:34:39 GMT -5
I always pick up things from these discussions. I do as well. Discussions where no one is willing to say anything are pretty useless. I'm always interested in hearing how people did things and how it worked out for them. Those stories often illuminate situations I might face and that require clarification.
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Post by Laker on Nov 21, 2023 15:07:27 GMT -5
Does your city/town have an Aging and Disability Resource Center that can advise you on things like SS, filing for disabilities, etc? One of the local musicians I have worked with was a government employee who worked at our local center and he is very helpful in guiding you through the SS process. He now works primarily with retirees adding insurance to Medicare.
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Post by slacker 🐨 on Nov 27, 2023 9:06:04 GMT -5
Your best bet is to contact Social Security or medicare.gov for the answers you seek. There's a lot of misinformation and rumors that may steer you wrong. Yeah, I wouldn't take this discussion as gospel, but it is at least making me aware that I need to know a lot more about that stuff before I retire. I plan to retire at about age 62 or 63. I just turned 60.
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Post by Pinetree on Nov 27, 2023 9:10:19 GMT -5
Quick example - SS is a month behind.. my first check arrived while I was still working. One of my coworkers was dumbfounded because he had "heard" you had to wait.
Plus, at least here, the local Social Security office is quite friendly and helpful.
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Post by rickyguitar on Dec 1, 2023 21:41:27 GMT -5
Almost every time I have called SS the rep has been pleasant and VERY helpful. That said, take notes that include date, time, reps name, questions you asked, answers you received. My notes saved me from a penalty triggered by misinformation from a rep.
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Post by Larry Madsen on Dec 1, 2023 21:59:31 GMT -5
I’d be interested to hear what sorts of errors the SS Rep made in the information they gave you.
That is a bit scary. 😧
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Post by reverendrob on Dec 2, 2023 12:05:32 GMT -5
What I've learned from living off my savings when I got sick and waiting to file for disability: when I hit retirement age, I'm filing DAY 1. Period.
It's especially galling in my cases as I paid both employer and employee share of everything to basically get shafted because I waited.
You only live once, and well...
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Post by samspade on Dec 2, 2023 13:13:24 GMT -5
I have 10 years before I can consider this, but believe as the world mindset shifts, it might be later, or not even there. Dog eat itself.
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Post by Larry Madsen on Dec 2, 2023 13:27:31 GMT -5
I think I am about 7 weeks away from time to file.
Meaning … retirement benefit as well as Medicare Part B.
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Post by Larry Madsen on Jan 20, 2024 13:39:26 GMT -5
The debate is over.
I signed up for retirement benefits and Part-B on Tuesday (1-16-2024)
We will see how long it takes to kick in.
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Post by Larry Madsen on Jan 21, 2024 8:01:54 GMT -5
in my cases as I paid both employer and employee share of everything Yes, as did I from 1996 to 2018.
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Post by ninworks on Jan 21, 2024 9:12:52 GMT -5
Everyone's situation is different. I took SS at 62 when I retired. COVID had hit and the job I was at was going nowhere. I was making crap money and it wasn't going to get any better anytime soon so I bailed and signed up. I was getting too old for the physical toll the job was putting on me anyway.
Just before I turned 65 I took a state sponsored Medicare class at a local retirement center as well. That was one of the smartest things I have ever done. I had no clue about all of the inner workings of Medicare. My personal medical insurance was beyond ridiculously expensive and the premium went up right at 10% every year without fail. I was never so glad to be older and be able to get into Medicare. Even with Part B and the Supplemental policy I bought my premiums went down $1300 per month and that was still with my wife on private insurance. She was able to get on Medicare 4 months later. Now I pay about $200 per month for both of us. Taking the class made me comfortable with the choices I made. Medicare is too complex and there are too many possible outcomes if you don't know what you're doing. Take the class!!
Social Security was a no-brainer for me. We have enough investment income to get by so taking the lower SS payout wasn't important for us. It is for some people. YMMV
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Post by Larry Madsen on Jan 21, 2024 14:50:31 GMT -5
I assume the complexity you refer to is all beyond Part-A and Part-B?
I had assumed those simply are what they are.
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Post by RufusTeleStrat on Jan 21, 2024 16:24:38 GMT -5
A and B are a start. They leave you with 240 deductible and 20% co payments on any Dr. Services, the Part A has both a Deductible for Hospitalization and 20% co-payment as Well. Once 65 and with A and B you still need credible part D or face a penalty for no prescription coverage. In addition you can get a Medigap or a Medicare Advantage policy to pick up the costs associated with medical care. The MA product generally has the prescription coverage, while this is optional for those with VA or other drug coverage.
I do this for a living, but am limited on what I can say here because of regulations. I do not intend this a solicitation for business or offer of any insurance products. But I can answer general questions.
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Post by Pinetree on Jan 21, 2024 17:26:21 GMT -5
Okay, I have one.
Does the VA qualify as "credible coverage" for prescriptions?
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