Social security and Medicare are key components of our client's retirement plan. We often answer questions about social security benefits, Medicare costs, deadlines and enrollment processes. Below is a link to the social security website's Social Security and Medicare Online Enrollment Checklist.
Here are a few things you should be aware of before you enroll into either Social Security or Medicare;
- Understand social security's spousal, divorcee and survivorship benefits.
- Understand the impact continued work can have on your social security. In some cases, it can reduce your social security benefit. In other cases, it can increase it.
- Understand how social security benefits are taxed and take this into consideration when developing your retirement income plan
- Understand the impact early or delayed claiming can have on your social security benefit as well as any spousal or survivorship benefit
- Understand the different parts of Medicare including the difference between a Medicare Supplement and Medicare Advantage plan
- Understand and plan for the costs of Medicare
- Understand how investment withdrawals, sale of secondary property and financial decisions can increase your Medicare premiums in retirement
- Remember that there can be late Medicare enrollment penalties if you miss important Medicare enrollment deadlines
- If contributing to an HSA Plan, understand how enrolling into Medicare may impact your ability to contribute to an HSA plan and the penalties that can apply.
- If you are a Connecticut public school teacher, you have unique Medicare options offered though the CTRB.
If you want to better understand how social security and Medicare factor into your retirement planning, we are here to help. At Reed Financial Planning Services, we are focused on the retirement planning and investment needs of people ages 50 and over.
Click on the link below to schedule a complimentary phone consultation.