# Medicare part B & FEHB?



## Artfuldodger (May 13, 2017)

Do most federal retirees and perhaps others even take out Medicare part B if they also keep their regular employee health insurance after retirement?

So to fill in the non federal workers, we can carry our health insurance after retirement at the same rate as when we are retired. I would assume most people this if they retire before the age to start Medicare coverage. 

Now if one does wait until later to start plan B they will pay a penalty. So if you want Plan B you'd best decide to sign up for it during your  "Initial Enrollment Period" which I think is 3 months before you turn 65.

I'm guessing one could retire at 62 from federal service, keep his employee insurance until he turns 65, then swap to Medicare plan A & B. I'm not sure this is in one's best interest. 

I'm just not sure if one needs Medicare Plan B if he has a regular insurance policy.

Are there any other situations where one has a regular health insurance policy and keeps in in lieu of Medicare plan B?


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## jimbo4116 (May 14, 2017)

My wife has FEHB and retired.  She is 62 and CSRS.  I am on Medicare and Her FEHB.  I took the Part B because it is relatively cheap and her FEHB serves as my supplemental.

Every benefits expert she talked with said keep the FEHB regardless of what you do with medicare.  Mostly for the drug benefit.

That said I have not paid a dime in medical expenses the last 2 years.  Had skin cancers cut out 2 months ago.  The doctor bill was $2700.  THis was out patient.  As I understand it Part A may not have paid for this.  I paid nothing.  That paid for the Part B and 1/2 of FEHB premium for the year.  THen there is my recent 4 days in the hospital.  I paid nothing.


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## b rad (May 14, 2017)

I'm curious to this as well I have fehb and I'm a reservist navy Seabee I wanted to get out of the reserves Bc I have a navy dod federal  job but my wife says we need it for 30 years from now when I'm 60 bc federal health insurance want be as good as what a reservist who retired gets at 65 so do federal employees get insurance covered when they retire would it be the same kind of Medicare that retired military get bc when they turn 65 they lose tri care and get Medicare


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## Artfuldodger (May 14, 2017)

Brianduffey said:


> I'm curious to this as well I have fehb and I'm a reservist navy Seabee I wanted to get out of the reserves Bc I have a navy dod federal  job but my wife says we need it for 30 years from now when I'm 60 bc federal health insurance want be as good as what a reservist who retired gets at 65 so do federal employees get insurance covered when they retire would it be the same kind of Medicare that retired military get bc when they turn 65 they lose tri care and get Medicare



A federal retired employee will automatically get Medicare part A which I think is the same Medicare retired military and other folks get. I think Medicare A, B, C, and D is the same for everyone. B, C, & D are optional.

It is also optional for a federal employee to keep his same FEHB when he enters retirement. I would think if a military retiree loses his Tri-Care and it transfers to Medicare A, he'd better sign up for B or keep his regular FEHB if he is a federal employee. I'm wondering it I should keep both.

I'm not so sure I would depend on the military, government, or Veterans Affairs for much of a promise in healthcare. The VA changes every year as to who they are giving healthcare too, co-pays, etc.

Perhaps if one is service connected they may can depend on Medicare and the VA.


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## jimbo4116 (May 14, 2017)

Artfuldodger said:


> A federal retired employee will automatically get Medicare part A which I think is the same Medicare retired military and other folks get. I think Medicare A, B, C, and D is the same for everyone. B, C, & D are optional.
> 
> It is also optional for a federal employee to keep his same FEHB when he enters retirement. I would think if a military retiree loses his Tri-Care and it transfers to Medicare A, he'd better sign up for B or keep his regular FEHB if he is a federal employee. I'm wondering it I should keep both.
> 
> ...



Like I said, every benefits expert, both independent and government related advised her to keep her FEHB regardless after she begins Medicare at 65.  If you retire at less than 65 you pretty much have keep it to have health insurance.


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## Oldstick (May 14, 2017)

I am wondering the same thing as Artful, is an FEHB retiree required to purchase part B when they reach 65?  In other words do they have to buy Part B in order to stay in FEHB?

I agree no retiree should ever drop out of the FEHB.  It is too valuable a benefit with the top plans being $1500 a month deluxe packages, where the employee/retiree only has to pay less than a third of it.

I am not 100% sure but I think the answer to my question above is no you are not required to take part B. Some one correct me if wrong on that.

 However I attended a CSRS retirement seminar a few years ago and I remember something about there being strong advantages to do so.  I think maybe the FEHB carriers give you big incentives like waiving deductibles and coinsurance and such.  Plus I imagine you could chosse one of the cheaper FEHB plans and still come out like a rose with A,B and FEHB.


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## jimbo4116 (May 14, 2017)

Oldstick said:


> I am wondering the same thing as Artful, is an FEHB retiree required to purchase part B when they reach 65?  In other words do they have to buy Part B in order to stay in FEHB?
> 
> I agree no retiree should ever drop out of the FEHB.  It is too valuable a benefit with the top plans being $1500 a month deluxe packages, where the employee/retiree only has to pay less than a third of it.
> 
> ...



I didn't think anyone was required to sign up for Part B.
I thought that you were automatically enrolled when you started Medicare and had to request  no part B.  Otherwise it was deducted from you SS benefits or you had to submit payment if you were not yet drawing SS.

At least that is the way it worked for me.  I start drawing SS at 62 and began M/C last year.


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## Oldstick (May 14, 2017)

jimbo4116 said:


> I didn't think anyone was required to sign up for Part B.
> I thought that you were automatically enrolled when you started Medicare and had to request  no part B.  Otherwise it was deducted from you SS benefits or you had to submit payment if you were not yet drawing SS.
> 
> At least that is the way it worked for me.  I start drawing SS at 62 and began M/C last year.



You are undoubtedly correct Jimbo on how it works.  Thanks for the info, because I have been pondering this subject myself, since I recently retired CSRS and will be 65 in 5 years.

Since you are the spouse of a CSRS retiree, I figure the same would apply to me and my spouse.  Pretty much mandatory for both spouses to stay on the FEHB plans (for life) and very highly recommended to opt-in for Part B Medicare at 65.

I have talked to other people who say the same as you.  Have Medicare A/B + FEHB and pretty much ever medical cost is covered 100%.

That is except when it comes to long term living care, like nursing homes and such.  (But that is another subject.)


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## king killer delete (May 14, 2017)

Medicare part a&b, tricare for life for retired military


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## Artfuldodger (May 14, 2017)

king killer delete said:


> Medicare part a&b, tricare for life for retired military



Brian Duffey said he'd lose his Tri-Care when he turned 65 and Medicare kicked in.


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## Artfuldodger (May 14, 2017)

jimbo4116 said:


> Like I said, every benefits expert, both independent and government related advised her to keep her FEHB regardless after she begins Medicare at 65.  If you retire at less than 65 you pretty much have keep it to have health insurance.



I'm most definitely gonna keep my FEHB. The main question was should I also buy Medicare part B? Others seem to suggest buying it as well.

I only paid in enough social security to make the quarter quota. So I'll probably only get about $300.00. Because of the "windfall elimination tax" I'll only get about half that. So basically I'd be spending all my SSN on medicare part B. Not a big deal if I need to. My wife will only draw on my social security so she won't be getting much either. I'm CSRS with 42 years if service.

Does one continue to pay for Medicare A when they draw social security or do they just take out of for Medicare B, C, & D if one elects one of those?


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## king killer delete (May 14, 2017)

Artfuldodger said:


> Brian Duffey said he'd lose his Tri-Care when he turned 65 and Medicare kicked in.


Doesn't work that way. Medicare is primary and Tricare is secondary. Where non military retired folk must buy another insurance policy to supplement Medicare, Tricare works as supplemental insurance.


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## Artfuldodger (May 14, 2017)

king killer delete said:


> Doesn't work that way. Medicare is primary and Tricare is secondary. Where non military retired folk must buy another insurance policy to supplement Medicare, Tricare works as supplemental insurance.



Oh ok, Maybe Brian will read this. He thought retirees lose Tri-care when they turn 65. I did read that one must elect Medicare B to receive Tricare.


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## Oldstick (May 15, 2017)

I the Medicare A (hospital coverage) is automatic and "free" if one has paid the Medicare tax over the years.  Which most CSRS employees did.

It's not that great though, with a $300 per day copayment for a routine, short hospital stay.


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## king killer delete (May 15, 2017)

Artfuldodger said:


> Oh ok, Maybe Brian will read this. He thought retirees lose Tri-care when they turn 65. I did read that one must elect Medicare B to receive Tricare.


This is true.


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## jimbo4116 (May 15, 2017)

Artfuldodger said:


> I'm most definitely gonna keep my FEHB. The main question was should I also buy Medicare part B? Others seem to suggest buying it as well.
> 
> I only paid in enough social security to make the quarter quota. So I'll probably only get about $300.00. Because of the "windfall elimination tax" I'll only get about half that. So basically I'd be spending all my SSN on medicare part B. Not a big deal if I need to. My wife will only draw on my social security so she won't be getting much either. I'm CSRS with 42 years if service.
> 
> Does one continue to pay for Medicare A when they draw social security or do they just take out of for Medicare B, C, & D if one elects one of those?



You only pay FICA taxes if you have earned income.  If you work while collecting SS, SS/MC taxes withheld from your pay.

My wife has 42 years of CSRS and never paid any SS taxes, paid Medicare.  She retired this year and will not be eligible for M/C for 2 more years.  THe FEHB is a valuable resource.


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## hipster dufus (May 15, 2017)

ok, recent retiree,csrs.medicare part A is hospitalization. we all paid for it, so we all get it at 65. at 65 we r eligible for part B. do we want to pay for that in addition to our fehb premium? that is the question. i am planning on getting enough SS quarters to, hopefully, cover just my part B premium. i will keep a cheaper fehb plan.the plan i have know is about 275 a month for wife and i, if we add part B  that would be about 220 more a month when she is 65. so  maybe 600 a month for the 2 of us , but that should  keep my co pays to little or nothing. i am 58 now so this plan can change. i do have a neighbor that retired out of lockheed and ending up dropping his company heakth plan because part B w a supplement was cheaper. less then 200 a month. everyone is different.fehb has a lot of plans to choose from every year.good luck


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## Stroker (May 15, 2017)

Retired in 2013 at 62 and kept my FEHB. At 65 I started Medicare which became my primary(opted out of part B) and my federal BCBS became secondary. I haven't paid a penny out of pocket for any medical service since turning 65 and my meds run me about $3.00 a month. If you keep your FEHB I see no benefit of paying for part B. I will never drop my FEHB.


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## Oldstick (May 16, 2017)

Stroker said:


> Retired in 2013 at 62 and kept my FEHB. At 65 I started Medicare which became my primary(opted out of part B) and my federal BCBS became secondary. I haven't paid a penny out of pocket for any medical service since turning 65 and my meds run me about $3.00 a month. If you keep your FEHB I see no benefit of paying for part B. I will never drop my FEHB.



Now you have me curious, are you saying there have been no deductibles, co-payments, or anything with BCBS after you turned 65?  Even without having MC part B?


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## hipster dufus (May 22, 2017)

yes i am also curious. part A is free, it is hospitalization only. you dont have B, but you have no copays? enlighten us please


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## Stroker (May 22, 2017)

Oldstick said:


> Now you have me curious, are you saying there have been no deductibles, co-payments, or anything with BCBS after you turned 65?  Even without having MC part B?


My mistake, I do have part B, my monthly payment comes out of my SS and I've hardly noticed the small monthly payment. In February this year had a $1900+ visit to the ER after I went lights out at home and done a face plant on the bed foot board due to dehydration, zero deductible/co-pay. Had a $925 colonoscopy last month, zero deductible/co-pay. Been visiting my chiropractor twice a week since January, zero deductible/co-pay. No matter what I ain't giving up my BCBS Fed. Just my experience so far, YMMV.


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## Oldstick (May 23, 2017)

Thank you very much for that info Stroker.  That is exactly what I had envisioned would be the case, when we turn 65.

Most definitely keep the FEHB and get medicare part B.  But no need for part D with the FEHB.

I am going to add just one more note, though. I too have had the BCBS family plan for the last 25 years or more as an employee.  Fine with it, and could afford it while working, and my family of 5 would have gone bankrupt many, many times over without it all those years.  I retired in Dec 2015 on CSRS and I continued with BCBS for 2016.

But I spent some time during the open season in 2016 and switched to the NALC plan (operated by CIGNA) for this year.  It was $350 a month vs. $550 for BCBS.  So far all the doctor co-payments have been lower $20.  All their other coverage seemed as good or better than BCBS.  I felt I was taking a risk, but so far the only problem I have run into is they insist you go either mail order Caremark or to CVS Pharmacy for any long term medications you have.  So I had to transfer several over from Walmart, which was a minor inconvenience.

Haven't had any emergencies or hospital visits yet, so time will tell on that.  One difference for us now is there are only 3 of us, me, wife and a disabled son.


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## Oldstick (May 23, 2017)

In keeping with this thread, how do they determine the cost of Medicare Part B for us CSRS retirees?  

When I reach 65 I anticipate having zero or very little Social Security between me and my spouse.  So do they base it on your actual SS income, or if you are currently getting earned income as a retiree, or do they figure your retirement pension income into the equation?


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## Artfuldodger (May 27, 2017)

Oldstick said:


> In keeping with this thread, how do they determine the cost of Medicare Part B for us CSRS retirees?
> 
> When I reach 65 I anticipate having zero or very little Social Security between me and my spouse.  So do they base it on your actual SS income, or if you are currently getting earned income as a retiree, or do they figure your retirement pension income into the equation?



Is part B based on SSI income? I'm CSRS with barely enough SSI credits to qualify. I hope it's enough to pay for my part B.


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## hipster dufus (Jun 1, 2017)

dodger part B is about 105$ a month. iam also hoping my little ss check will cover it. if not i will not get it. granted i have a cheaper hmo plan. i always thought bcbs was way high, geha was a cheaper alternative. the saving grace for kaiser is the price and the all in one place service. no going here for labs hera for xray here for rx. a lot of people get a cheaper fehb plan and go to medicare B also. if u did that w bbcbs u would be paying an awful lot every month.evenwhen i add in my deductible for wife and i it doesnt come  close to the bcbs yearly premium.


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## Artfuldodger (Aug 25, 2018)

Ok, I'm retired now from the Federal Government under the old CSRS program. With the social security windfall elimination provision I will only receive $243.00 a month of my $631.00 that I should get from Social Security. My wife who is drawing on my social security will only get $121.00 a month. That's $364.00 a month for the both of us.

I will definitely keep my FEHB health plan through retirement. Still wondering if my wife & I should get medicare part B? It's $134.00 x 2 = $268.00 a month.
I could get a cheaper FEHB plan if I did get part B. I'm not getting the $364.00 a month yet but it sure would come in handy. I really hate spending it all on insurance.


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## Artfuldodger (Aug 25, 2018)

In hindsight, based on my wife not working, I may should have switched to the FERS retirement. Then again social security benefits will drop by 20% in 2034. The average Social Security annuity alone is way less than my CSRS annuity but the matching TSP savings funds would have been nice.


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## jimbo4116 (Aug 26, 2018)

Artfuldodger said:


> Do most federal retirees and perhaps others even take out Medicare part B if they also keep their regular employee health insurance after retirement?
> 
> So to fill in the non federal workers, we can carry our health insurance after retirement at the same rate as when we are retired. I would assume most people this if they retire before the age to start Medicare coverage.
> 
> ...



We had the same question. The Benefits person with USDA recommended my wife take the part B medicare along with her FEHB plan.  She will start Medicare in December.

I have been on Medicare A & B plus FHEB for over 2 years now . I have yet had to pay even a copay on medical including a 4 day stay in the Hospital last year.


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## hipster dufus (Aug 26, 2018)

i myself have 29 qtrs of SS coverage. just started a part time gig w the county and am paying SSwill work to 67, full SS age for me< and then collect. what kind of check can i expect with the WEP ?i was hoping to get enough to cover medicare B. problem is i have to enroll at 64, even if i am working?i wouldnt mind the 264$ check less medicare B payment. i am presently keeping a cheaper FEHB plan and am in good health. if my health deteriorated i would get a more expensive FEHB plan. wife will get a small SS check of her own. i still believe CSRS is a better system, especially if u  use your TSP option. i am making more now working part time with my pension and TSP. i also dont have to worry about earning too much and getting my SS cut like i would if i was FERS. i also just starting receiving VA medical coverage, though i am loathe to use it.


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## Artfuldodger (Aug 26, 2018)

hipster dufus said:


> i myself have 29 qtrs of SS coverage. just started a part time gig w the county and am paying SSwill work to 67, full SS age for me< and then collect. what kind of check can i expect with the WEP ?i was hoping to get enough to cover medicare B. problem is i have to enroll at 64, even if i am working?i wouldnt mind the 264$ check less medicare B payment. i am presently keeping a cheaper FEHB plan and am in good health. if my health deteriorated i would get a more expensive FEHB plan. wife will get a small SS check of her own. i still believe CSRS is a better system, especially if u  use your TSP option. i am making more now working part time with my pension and TSP. i also dont have to worry about earning too much and getting my SS cut like i would if i was FERS. i also just starting receiving VA medical coverage, though i am loathe to use it.



You'll need 40 quarters to qualify for social security. You should make it. I think you can get up to 4 credits a year.  So you'd only have to work about 3 years. You only have to make $5,280.00 a year to get those 4 credits.
I have no way of knowing how much these 3 years will add to your 29 quarters but at least they will be added now instead of back in the day.

This WEP chart will show you the max your annuity can be reduced based on when you turn 62. There is also an online calculator but may be hard for you to do since you are planning on getting your extra quarters now.

https://www.ssa.gov/planners/retire/wep-chart.html

I would assume you'll get enough to pay for your medicare part B even with the windfall.


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## Ruger#3 (Aug 27, 2018)

Retired Military at age 65 lose their Tricare standard and are pushed onto Medicare and Tricare for life. These are not equivalent benefits. I have Medicare and use Tricare for my part D.


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