Posted on Friday, 7th October 2022 by Dennis Damp
Print This PostMedicare sent out their Medicare and You 2023 handbook last month to current recipients. The initial enrollment period remains the same. Those approaching 65 can sign up for Part A and/or Part B during the 7-month period that begins 3 months before the month you turn 65, includes the month you turn 65, and ends 3 months after the month you turn 65.
If you sign up for Part A and/or Part B during the first 3 months of your Initial Enrollment Period, in most cases, your coverage begins the first day of your birthday month. However, if your birthday is on the first day of the month, your coverage starts the first day of the prior month.
According to Medicare, “If you sign up and are paying for Part A and/or Part B the month you turn 65 or during the last 3 months of your Initial Enrollment Period, the start date for your Part B coverage will be delayed in 2022.”
New Start Dates
Beginning January 1, 2023, if you sign up the month you turn 65 or during the last 3 months of your Initial Enrollment Period, your coverage starts the first day of the month after you sign up.
If you are approaching age 65 review their 2023 handbook to familiarize yourself with all that Medicare offers.
General Enrollment Period
If you have to pay for Part A but don’t sign up for it and/or don’t sign up for Part B (for which you must pay premiums) during your Initial Enrollment Period, and you don’t qualify for a Special Enrollment Period, you can sign up during the General Enrollment Period from January 1–March 31 each year. You may have to pay a higher Part A and/or Part B premium for late enrollment.
Medicare Premiums 2023
The standard monthly premium for Medicare Part B enrollees will be $164.90 for 2023, a decrease of $5.20 from $170.10 in 2022. The annual deductible for all Medicare Part B beneficiaries is $226 in 2023, a decrease of $7 from the annual deductible of $233 in 2022. Here are links to the income adjusted Medicare rates for 2023, they range from as low as $164.90 to a high of $560.50 per month!
Medicare Resources
- Medicare and FEHB Options – What Will You Do When You Turn 65? (Part 1)
- A Marriage of Convenience – Medicare & FEHB
- What to Consider Before Enrolling in Medicare B (Part 2)
- Should You Change to a Lower Cost FEHB Plan When You Sign Up for Medicare (Part 3)
- Caution – Don’t Lose Your FEHB Coverage
REQUESTING A RMD ON THE TSP WEBSITE
When you reach the age of 72 (or 70½ if you turned 70½ prior to January 1, 2020), you’re required by law to receive a Required Minimum Distribution (RMD) every year. The amount of the RMD is determined by your age and the amount of your savings. Your TSP RMD is listed on the withdrawals and rollover page.
I decided to request my 2022 RMD last week using the updated TSP website online withdrawal process and signed up for electronic funds transfer (EFT). I didn’t realize there is a 7-days waiting period before you can use it and will go back in next week to do the final processing.
Your minimum distribution will be sent in December of each year automatically, unless you withdraw at least this amount yourself. This process protects TSP participants from having to pay a 50% penalty for not taking out an RMD when eligible.
Processing Your RMD
It was a little confusing getting to the withdrawal page. The TSP site was recently updated again. Click on “Quick Links” at the top of the home page or click on the “Withdrawal” icon towards the bottom of the home page. This takes you to a menu where you can select Withdrawals and Rollovers Out. This page lists the amount of your required minimum distribution.
You are presented with three options:
- Annuity Purchase
- Partial Distribution
- Total Distribution
Click on “Get Started” next to the partial distribution heading. Follow the step-by-step guidance and include all information requested. I wanted to set up EFT instead of receiving a check in the mail plus I will use the funds to invest in higher earning Treasury Bills that are yielding considerably more than the G-Fund at this time.
Helpful Retirement Planning Tools
- Retirement Planning for Federal Employees & Annuitants
- The Ultimate Retirement Planning Guide – Start Now
- TSP Guide
- TSP Considerations
- Medicare Guide
- Medicare and FEHB Options – What Will You Do When You Turn 65? (Part 1)
- Budget Work Sheet
- Social Security Guide
Disclaimer: The information provided may not cover all aspect of unique or special circumstances, federal regulations, medical procedures, and benefit information are subject to change. To ensure the accuracy of this information, contact relevant parties for assistance including OPM’s retirement center. Over time, various dynamic economic factors relied upon as a basis for this article may change. The advice and strategies contained herein may not be suitable for your situation and this service is not affiliated with OPM or any federal entity. You should consult with a financial, medical or human resource professional where appropriate. Neither the publisher or author shall be liable for any loss or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.
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Tags: Financial PLanning, Medicare, Medicare Signup, RMDs, TSP Withdrawals
Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, ESTATE PLANNING, FINANCE / TIP, RETIREMENT CONCERNS, SURVIVOR INFORMATION | Comments (0)
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