Working part-time with Social Security at FRA - can I keep employer benefits and delay Medicare?
I'm turning my full retirement age (FRA) in January 2026 and planning to claim Social Security then, but I have some questions about continuing to work. I currently have a part-time job (about 22 hours/week) with pretty good health insurance and retirement benefits. If I start collecting Social Security at my FRA, can I keep working at this part-time job AND keep my employer's health insurance without taking Medicare? I'd prefer to stay on my employer plan as long as possible since it covers some things Medicare doesn't. Also, will there be any reduction in my SS payment if I'm still working part-time after reaching FRA? I'm so confused about how all this fits together!
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GalaxyGlider
Great news - once you reach your FRA, there's no earnings limit that would reduce your Social Security benefits! You can work as much as you want while collecting your full SS retirement benefit. As for your health insurance, you can absolutely keep your employer coverage and delay Medicare enrollment if your employer has 20+ employees. If it's a smaller company, you should enroll in Medicare when eligible to avoid penalties later.
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Jamal Harris
•Thank you! My employer definitely has more than 20 employees (it's a regional retail chain). Does that mean I can just decline Medicare completely until I stop working, or do I need to enroll in Part A but decline Part B? Sorry if these are basic questions - I've been reading the SSA website but getting conflicting information.
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Mei Wong
BE CAREFUL!! I turned 66 last year and kept working and didn't sign up for Medicare because I had my work insurance too. Then I got a HUGE penalty letter saying I missed my enrollment period!! Had to pay extra every month for the rest of my life because I didn't read the fine print. TALK TO SOCIAL SECURITY DIRECTLY, don't trust what people say online!
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Liam Sullivan
•You're getting penalties because your employer probably had fewer than 20 employees. The rules are different depending on employer size. With a larger employer (20+ employees), you qualify for a Special Enrollment Period when you eventually lose that coverage. What happened in your situation is unfortunate but doesn't apply to everyone.
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Amara Okafor
I'm in almost the exact same situation - turned FRA in December and kept my part-time job with benefits. Here's what I learned through extensive research and talking directly with SS: 1. After FRA, there's NO earnings limit - work as much as you want with no SS reduction 2. For Medicare: if your employer has 20+ employees, their group health plan is "primary" and Medicare would be "secondary" - you can delay Medicare enrollment without penalties 3. Many people still enroll in premium-free Medicare Part A at 65 even with employer coverage (doesn't hurt to have it as secondary insurance for hospital stays) 4. You can delay Part B (which has premiums) until you lose your employer coverage My HR department had to fill out a form confirming my coverage was "creditable" so I could delay Medicare without penalties. Get that documentation!
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Jamal Harris
•This is incredibly helpful! I didn't know about needing documentation from HR. I'll definitely ask about the "creditable coverage" form. Did you have to physically go to a Social Security office to sort all this out, or could you handle it through the website/phone?
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Giovanni Colombo
you dont have to take medicare if you dont want it. its your choice. i kept working till 70 and just stayed on my wifes insurance the whole time. never had any problems
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Amara Okafor
•While technically correct that Medicare isn't mandatory, there are significant permanent premium penalties if you don't sign up during your Initial Enrollment Period AND don't have qualifying coverage (like from a large employer). Your situation worked because your wife's insurance counted as qualifying coverage that allowed you to delay without penalties.
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Fatima Al-Qasimi
Going through this exact thing right now with my husband. Trying to call Social Security to get clear answers is IMPOSSIBLE. We've been on hold for hours multiple days in a row and either get disconnected or told to call back another day. So frustrating when you're trying to make important retirement decisions!
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Liam Sullivan
•I had the same problem trying to get answers about my retirement benefits. After wasting days on hold, I finally tried Claimyr.com - it's a service that gets you through to a Social Security representative much faster. They have a video demo at https://youtu.be/Z-BRbJw3puU showing how it works. It saved me hours of frustration and I was able to get my Medicare enrollment questions answered in one call. Just mentioning it since dealing with these work/Medicare/SS questions really requires talking to someone official who can look at your specific record.
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StarStrider
Just to add to what others have said - I'm also working part-time while collecting Social Security. One thing to be aware of is the tax implications. Even though there's no benefit reduction after FRA, up to 85% of your Social Security benefits can become taxable depending on your combined income. For some people, it's worth running the numbers with a tax professional to see if your part-time earnings might push you into paying more taxes on your SS benefits.
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Jamal Harris
•I hadn't even thought about the tax angle! I'll definitely look into that. Do you know if my employer retirement contributions would count toward that combined income calculation?
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Fatima Al-Qasimi
SS and Medicare are TWO COMPLETELY DIFFERENT PROGRAMS! That's what makes it sooo confusing. You can take SS at FRA and have no problems with the earnings limit, but Medicare has its own separate enrollment rules regardless of when you take SS. My sister thought they were connected and missed her Medicare window even though she delayed SS. What a mess!
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GalaxyGlider
•You're absolutely right about them being separate programs with different rules. The only automatic connection is that if you're already receiving Social Security benefits when you turn 65, you'll be automatically enrolled in Medicare Parts A & B (though you can decline Part B if you have qualifying employer coverage). But if you're not on SS when you turn 65, you need to actively enroll in Medicare unless you qualify for a Special Enrollment Period through qualifying employer coverage.
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Mei Wong
Has anyone actually CALLED Social Security lately? I've been trying for WEEKS to get answers about this exact situation and can't get through!!! This system is BROKEN!!! How are we supposed to make important life decisions when we can't even talk to a human being????
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Giovanni Colombo
•try going to the office in person. i gave up on calling and just went there. had to wait 2 hours but at least got my questions answered face to face
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Amara Okafor
One more important detail based on your situation: Since you're reaching FRA in January 2026, you'll be eligible for Medicare in January 2025 (Medicare eligibility starts at 65). The Initial Enrollment Period for Medicare starts 3 months before your 65th birthday month and extends 3 months after. So you'll need to decide about Medicare about a year before you reach FRA. If your employer has 20+ employees, you can decline Part B during this period without penalties, but you'll need to get that employer coverage verification I mentioned. Just be aware of this timeline so you're not caught off guard by Medicare decisions before your FRA.
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Jamal Harris
•This timeline is super helpful! So I need to be ready for Medicare decisions in late 2024, even though I'm not planning to take Social Security until January 2026. I'm going to mark my calendar now so I don't miss anything important. Thank you!
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