Working past age 65
Still Working at 65?
Here's what you need to know about Medicare.
If you plan to keep working after turning 65 — or have health coverage through a spouse — your Medicare enrollment timeline may be different. The size of your (or your spouse’s) employer and the type of coverage you have will help determine whether you need to enroll now or can delay without penalty.
Do you need to enroll in Medicare now?
- If your employer has 20 or more employees, you can usually delay Medicare without penalty.
- If your employer has fewer than 20 employees, Medicare typically becomes your primary insurance, and you may need to enroll in Part A and B to avoid gaps.
- You should also confirm that your employer coverage is "creditable" — meaning it meets Medicare's minumum standards, especially for Part D.
What happens if you delay Medicare?
If you don't have creditable coverage and delay Medicare, you may face late enrollment penalties:
Part B: 10% added to your monthly premium for every 12 months you delay.
Part D: Penalty added based on the number of months without drug coverage.
These penalties are permanent — so it's important to make the right choice at the right time.
If you delay enrolling because you have employer coverage, you’ll qualify for a Special Enrollment Period when that coverage ends.
- You'll have 8 months to enroll in Part A and B without penalty.
- Medicare Advantage and Part D plans have a shorter 2-month window, so don’t wait.
Even if you’re eligible to delay, switching to a Medicare Advantage plan might be the better value if:
- You're paying high premiums at work.
- You're on a high-deductible health plan.
- You want extra benefits like dental, vision, or hearing.
- Our team can help compare your employer plan to Medicare — and do the math for you.
Frequently Asked Questions
Can I enroll in just Part A and keep working?+
Yes — many people do, especially if Part A is premium-free. But it may affect HSA contributions.
Can I keep contributing to my HSA if I enroll in Medicare?+
No — once enrolled in any part of Medicare, you can no longer contribute to an HSA.
What if I retire mid-year?+
You’ll get a Special Enrollment Period and may need to coordinate the timing of your retirement and Medicare coverage.
What’s “creditable coverage”?+
Coverage that’s at least as good as Medicare. This matters most for prescription drug coverage (Part D).
Our AAA Licensed Insurance Agents are here to help you
Our AAA Licensed Insurance Agents will talk with you to understand your personal situation and help you sort through your options. We’ll give you unbiased advice about the coverage options that are best for you. If you have questions, please call us at (877) 477-7120.
By calling, you agree that a AAA Licensed Insurance Agent may contact you. AAA Insurance is provided through AAA Members Insurance Agency of Western & Central New York, Inc, which offers products through AAA-affiliated companies and non-affiliated companies. Not affiliated with any government agency including Medicare. We do not offer every plan available in your area. Currently we represent 10 organizations which offer 80+ products in your area. Please contact Medicare.gov, 1-800-MEDICARE, or your local State Health Insurance Program (SHIP) to get information on all of your options.