Retirement and Social Security
Definition
Federal health insurance for people 65 and older, and for some younger people with disabilities or certain conditions.
What it means
Medicare has several parts. Part A covers hospital stays and is premium-free for most people with 40 work credits. Part B covers doctor visits, outpatient care and preventive services and has a monthly premium. Part D covers prescription drugs through private plans. Medicare Advantage (Part C) plans are private plans that combine Parts A and B and usually D. Most people first sign up during a seven-month initial enrollment period around their 65th birthday; signing up late for Part B or Part D without other qualifying coverage can mean a lifelong penalty. People already receiving Social Security are enrolled in Parts A and B automatically. The yearly open enrollment period, October 15 to December 7, lets you change plans. Medicaid can help people with limited income pay costs.
Example
Someone whose 65th birthday is in July 2026 has an initial enrollment period from April 1 to October 31, 2026, three months before through three months after the birthday month.
Illustrative numbers only. Your situation will differ.