Important dates for Social Security and Medicare

For millions of Americans, including federal employees and annuitants, Social Security and Medicare represent foundational pillars of retirement, providing financial support and health care coverage.

In addition to the FERS Basic Retirement Benefit and the Thrift Savings Plan, Social Security provides the foundation for a comfortable retirement from federal employment. Navigating these programs can be complex, and missing key dates can impact your benefits, costs or eligibility. Today, we will explore the crucial dates associated with Social Security and Medicare, helping you keep track and make informed choices. 

Age 62: Earliest eligibility for Social Security 

At age 62, you become eligible to claim Social Security retirement benefits. However, starting benefits at this age means accepting a permanent reduction in your monthly payments compared to waiting until your full retirement age. 

• Thanks to passage of the Social Security Fairness Act, CSRS retirees are no longer affected by the Windfall Elimination Provision or the Government Pension Offset. Contact Social Security if you haven’t filed for retirement or spousal benefits to find out if you are eligible. This also means if you are divorced but your marriage lasted at least 10 years, you may have entitlement to benefits based on your former spouse’s work record. See the Social Security Fairness Act update for more information. 

Age 65: Medicare enrollment begins 

Age 65 is a milestone for health coverage: it’s when most Americans, including federal employees and retirees, become eligible for Medicare; the health insurance program for people age 65 and older (and at earlier ages for those with renal failure needing dialysis or transplant and for individuals receiving Social Security disability insurance benefits for two years). If you receive Social Security benefits by age 65, you will be automatically enrolled in Medicare Parts A (Hospital Insurance) and Part B (outpatient and doctors’ coverage). There is no premium for Part A if you (or your spouse) has paid the Medicare payroll tax during your career. The only reason you may decide not to enroll in Part A is if you are enrolled in a High-Deductible Health Plan and making contributions to a Health Savings Account.  

Enrolling on time for Part B is crucial to avoid late enrollment penalties. It is an important time to consider reviewing your Federal Employees Health Benefits program or the Postal Service Health Benefits program coverage to see if your current plan will “wrap around” Medicare A and B to provide 100%coverage for most inpatient and outpatient health care by waiving your cost sharing (deductible, copays and coinsurance for inpatient and outpatient services). You may find that a less expensive plan may provide more comprehensive coverage once Medicare becomes the primary payer for your healthcare and some plans will rebate some of the Part B premium or in some cases, reduce the premium for Part B. 

Medicare Part C or Medicare Advantage coverage is available through most FEHB carriers and through private insurance options available at https://www.medicare.gov/plan-compare/. There is no need to suspend coverage if using an FEHB or PSHB Medicare Advantage option. However, if using a private Part C plan at Medicare.gov, you may suspend your FEHB or PSHB and not pay premiums, but these plans may have more restrictions on healthcare along with additional out-of-pocket expenses. Medicare Advantage plans (i.e. Part C) require enrollment in Medicare A and B. There are incentives in these plans such as non-emergency medical transportation, meal delivery following a hospital stay, gym membership, dental coverage, vision discounts and hearing benefits that will vary per plan. Most of these plans will reduce your Part B premium. 

Medicare Part D is the prescription drug coverage part of Medicare. Medicare drug benefits accessed through FEHB/PSHB plans offer expanded access to drugs at a lower cost than the drug coverage included in your FEHB/PSHB plan. You may only be covered by one Medicare Part D or Medicare Advantage plan at a time. Although FEHB members may opt out of Part D drug benefits available through FEHB, the following important information applies to PSHB enrollments: 

• Part D or Medicare drug benefits accessed through your PSHB plan are your only access to drug benefits. If you’re eligible for Part D, you will be automatically enrolled in your plan’s Medicare drug benefits. If you opt-out of or disenroll from the Medicare drug benefits provided under your PSHB plan and don’t enroll in a separate Part D plan, you will not have drug coverage at all. Please understand the consequence of your decision before opting out or disenrolling from Part D coverage. 

• If you opt-out or disenroll from Medicare drug benefits accessed through your PSHB plan, you can enroll again during the annual Federal Benefits Open Season or if you experience a qualifying life event. 

• If you opt out or disenroll from Medicare drug benefits accessed through your PSHB plan in error, you may have a limited grace period to re-enroll. You should contact your PSHB plan within 90 days for assistance. 

Check your FEHB/PSHB plan brochure (See Section 9) or your plan website for additional information on coordinating coverage with Medicare. Most Postal retirees will be required to enroll in Medicare A & B to maintain coverage under PSHB. 

• General Enrollment Period: The GEP runs from Jan. 1 – March 31 every year. Be aware of the late enrollment penalty for Part B coverage that starts 12 months after your initial enrollment period ends (unless you are covered by current employment health coverage).   

Ages 66-67: Full Retirement Age for Social Security 

For those born after 1954, the full retirement age—the age at which you can claim 100% of your Social Security benefit—ranges from 66 to 67, depending on your birth year. If you were born in 1960 or later, your full retirement age is 67. Once you reach this age, there is no longer an earning limit which means you may claim benefits even if you continue working. 

Age 70: Maximum Social Security benefit 

If you delay claiming Social Security past your full retirement age, your benefit grows each year until it maxes out at age 70. There is no further increase in waiting beyond this age, so it makes sense to claim benefits at 70 if you haven’t already. 

• Strategy: Waiting until age 70 can provide the highest possible monthly benefit, which can be a critical part of retirement income planning, especially for those with longevity in their family history. 

• Spousal Strategy: The older spouse and/or higher earner delays claiming to age 70 while the younger or lower earner claims at full retirement age or between age 62 and 67, depending on whether retired or continuing employment. 

Social Security application timing 

Cost-of-Living Adjustments 

The annual COLA announcement is in mid-October for Social Security as well as federal retirement benefits. Adjustments take effect in January of the following year. 

Survivor and spousal benefits 

Widow/Widower Benefits: Eligible at age 60, or age 50 if disabled. Surviving spouses may be eligible for benefits on their deceased spouse’s record. 

Divorced spouse benefits: Must be age 62 or older and the marriage must have lasted at least 10 years. 

Annual Earnings Test 

Before Full Retirement Age: If you work while receiving benefits before reaching FRA, your benefits may be reduced if your earnings exceed the annual limit ($23,400 for 2025). The Social Security Administration sets this limit each year. 

Year You Reach FRA: The earnings limit increases, and after you reach FRA, your earnings no longer reduce your benefits. 

Keeping track of important dates for Social Security and Medicare ensures you maximize benefits, avoid costly mistakes and maintain health and financial security throughout retirement. Make a habit of reviewing your eligibility, coverage options and any official notices each year, and seek advice whenever you’re unsure about a deadline or requirement. With proactive planning and attention to key dates, you can make the most of the resources these essential programs offer. Next week we will look at important dates to remember for your financial well-being with your retirement and TSP benefits!