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By Mark McGregor, CRPC®, CFF®

Choosing health insurance can get complex at any time in your life, and no other time seems more perplexing than when you’re thinking about Medicare, your healthcare in retirement.

But that doesn’t have to be so. You may simply need a guide to show that Medicare is just health insurance broken into separate parts to pay for hospital stays, doctor visits, and prescription drugs. Another part is a private, comprehensive plan for healthcare in retirement.

When you talk to a financial planner with McGregor Wealth Management, healthcare planning is woven into your overall strategy for retirement. We wrote the following guide to help demystify Medicare.

What Is Medicare?

Medicare is health insurance from the federal government for people age 65 and older. Some people younger than 65 who have certain disabilities might also be eligible for Medicare.

Understanding the Parts of Medicare Without the Headache

Medicare comes in four parts, with each covering distinct aspects of your healthcare in retirement. Medicare coverage includes:

• Part A (Hospital Insurance): For hospital stays and skilled nursing, hospice, and some home healthcare
• Part B (Medical Insurance): For doctors’ visits, outpatient care, preventive services, medical equipment, and some home healthcare
• Part C (Medicare Advantage): Alternative health insurance (hospital, medical, and sometimes prescription drugs) offered by companies approved by Medicare
• Part D (Prescription Drug Insurance): For prescription drugs

When you hear someone talk about original Medicare, that person is referring to Medicare parts A, B, and C. “Original Medicare” distinguishes the federal coverage from private Medicare Advantage plans.

How Much Does Medicare Cost?

While Medicare can cover most of your healthcare needs, it’s not free. You still pay premiums, deductibles, copayments, or coinsurance.

If you paid Medicare payroll taxes for at least 10 years, you won’t have to pay a premium for Part A. However, your deductible for Part A is $1,676 in 2025. Your premium for Part B is $185 in 2025, with a deductible of $257.

You may also have to pay daily coinsurance for a hospital stay longer than 60 days or a skilled nursing center stay more than 20 days. For doctor and outpatient services, you’ll also pay 20 percent coinsurance. Preventive care is free.

Key Deadlines and Enrollment Periods

Consider getting prepared for Medicare enrollment months before you turn 65. Missing key enrollment periods can lead to higher costs and limited coverage.

Here are the enrollment periods to look for:

Initial Enrollment

Your first opportunity to enroll in Medicare is a six-month window starting three months before your 65th birthday and for three months after. You can delay enrolling without penalty if you work and have insurance.

General Enrollment

You can enroll from January 1 through March 31 each year. However, you may pay a late penalty for Parts A and B.

Medicare Open Enrollment

This annual period runs from October 15 through December 7. You can change existing coverage, which begins January 1 of the following year.

Special Enrollment

You can enroll in Medicare outside the above periods if you lose employer insurance or move.

You may be enrolled automatically if you receive benefits from Social Security or the Railroad Retirement Board at least four months before your 65th birthday.

Managing the Cost of Healthcare in Retirement

You may face the need for increased healthcare in retirement. Consider these strategies for managing your costs:

• Maximize your Medicare coverage.
• Use tax-advantaged health savings and retirement accounts.
• Plan for your long-term care.
• Make preventive care and a healthy lifestyle a priority.
• Negotiate medical bills.
• Compare prescription prices.
• Check for employer-sponsored retiree health benefits.

A financial advisor can help you plan for maintaining quality healthcare.

Plan for Your Healthcare in Retirement

Maintaining good health after you leave the workforce can be central to enjoying the retirement you worked hard for. Medicare can play a significant role in your healthcare in retirement.

At McGregor Wealth Management, we can help you build a holistic strategy for maximizing your golden years by including your healthcare in retirement planning. If you’d like to get in touch, call 303.681.0113, email mark@mgswealth.com, or schedule a meeting online.

About Mark

You probably have people helping with your investments, legal matters, and taxes…but who makes sure you are getting all the benefits you’re owed? I do. My name is Mark McGregor. I scour federal, state, local, and corporate databases to find benefits you are owed but NOT receiving. That’s what I do. Yes, we do all the other things as well, such as providing investment management, tax planning, long-term care planning and other services. Those are the big things, but I also help to make sure the little unknown things are taken care of for you. It’s also making sure that the little things don’t become big problems for you down the road.

I got into this business to fill a void I noticed after the passing of one of my friends’ parents who was experiencing hardship due to poor planning. I saw the issues they had to deal with firsthand, and this left me feeling that there were lots of financial salespeople, but not many true advisors making sure people were getting all the available benefits they had worked so hard for. I use the skills I gained from my bachelor’s degree from California Polytechnic State University and 24 years of industry experience to get all the benefits my clients are owed. I live in Castle Rock, and we are actively involved in sports and charitable organizations, such as Unbound, which provides personal attention and direct benefits to children, youth, the aging, and their families so they may live with dignity and achieve their desired potential and participate fully in society.

Investment Advisory Services offered through Retirement Wealth Advisors, Inc. (RWA) an SEC Registered Investment Advisor. McGregor Wealth Management and RWA are not affiliated.

Information provided is not intended as tax or legal advice and should not be relied on as such. You are encouraged to seek tax or legal advice from an independent professional.