Turning 65 is a major milestone. For many people, it’s the start of retirement, Social Security, and Medicare. But that’s also when the questions start rolling in. One of the biggest ones we hear is simple but important: Is Medicare free when I turn 65?
The answer is a bit more complicated than most people expect. Some parts of Medicare are free for those who qualify, but there are other expenses you must pay for. You will be responsible for things like deductibles and out-of-pocket expenses when you use your coverage. The kind of Medicare plan you choose also plays a big role in what you’ll pay.
If you’re trying to plan for healthcare during retirement, it’s important to understand how Medicare works and what costs to expect. At Absolute Best Insurance, we’ve been helping South Florida residents make informed Medicare decisions for over 20 years.
We work with clients from Broward County to the Space Coast and help you sort through your options with confidence.
What Does “Free” Actually Mean?
The question “Is Medicare free?” comes up all the time, but the truth is that Medicare is rarely 100% free. Most people qualify for premium-free Part A, but everyone has to pay for Part B, unless they qualify for a special program or financial help.
You also need to know that you can’t just sign up for Part A by itself. When you enroll in Medicare, you must enroll in Part B as well, unless you have other qualifying health coverage. Choosing to skip Part B when you’re first eligible can result in penalties that follow you for life.
Part A: Often Free, But Not Always
Part A is hospital insurance. It covers inpatient hospital stays, skilled nursing facilities, hospice care, and some limited home healthcare.
Many people do get it without paying a monthly premium. As long as you meet some basic requirements, there is no monthly premium.
You qualify if:
- You or your spouse worked and paid Medicare taxes for at least 10 years (40 quarters)
- You receive or are eligible for Social Security or Railroad Retirement Board benefits
But not everyone qualifies; some people will have to pay a monthly premium if their work history is shorter
Reasons for Paying a Premium and What it Will Cost
- Insufficient work history: If you or your spouse haven’t worked and paid Medicare taxes for at least 10 years, you’ll need to pay a monthly premium.
- Premium amounts for 2025:
- $278 per month if you or your spouse worked and paid Medicare taxes for 30–39 quarters
- $518 per month if you or your spouse worked less than 30 quarters
Out-of-Pocket Expenses
Even if your Part A is premium-free, you’re still responsible for:
- Inpatient hospital deductible: $1,676 for every inpatient hospital visit per benefit period in 2025
- Daily coinsurance:
- $419 per day for hospital days 61–90
- $838 per day for each lifetime reserve days 91-150
- You pay for everything after 150 days
Once you use up your lifetime reserve days, you pay all remaining hospital costs out of pocket.
Part B: Always Has a Cost
Part B covers outpatient medical services. That includes doctor visits, preventive care, lab work, durable medical equipment, and more.
This plan part always comes with a monthly premium, even if you qualify for Social Security or have a long work history.
Here’s what to expect in 2025:
- Monthly premium: $185 for most people
- Annual deductible: $257 (paid once a year)
- After meeting your deductible, you’ll typically pay 20% of the Medicare-approved amount for services and equipment
Higher-income individuals may pay more through a surcharge known as IRMAA (Income-Related Monthly Adjustment Amount).
What Is Medicare Advantage?
Medicare Advantage (also called Part C) is a private insurance plan that covers all the benefits of original Medicare, and can include additional coverage like dental, vision, hearing, and prescription drug coverage.
Here’s how it compares to Original Medicare:
- You still pay the Part B premium
- Some plans have $0 or low monthly premiums
- Most plans have copays, coinsurance, and out-of-pocket costs when you use services
- Part C plans must cap your annual out-of-pocket costs
- Plans often have provider networks, so you may be limited to in-network doctors and facilities
Original Medicare doesn’t offer dental or vision benefits and has no annual out-of-pocket limit, which is why some people choose to add a Medigap (Supplement) plan.
Answers to Commonly Asked Questions
Q: Is Medicare free if I’m still working at 65?
A: You may still qualify for premium-free Part A, but you’ll still need to pay for Part B if you enroll. If you have employer coverage, you might delay Part B without penalty.
Q: Can I just take Part A and skip Part B to save money?
A: No. You are required to enroll in both if you want Medicare coverage. Skipping Part B could mean penalties later.
Q: Do Part C plans cost extra?
A: Some have $0 monthly premiums, but you’ll still pay the Part B premium. You may also have copays and other service costs throughout the year.
Q: What happens if I can’t afford the premiums?
A: You may qualify for programs like Medicaid, Medicare Savings Programs, or Extra Help. These can reduce or eliminate premiums and out-of-pocket costs.
Q: Will I still pay deductibles with Medicare?
A: Yes. original plans have their own deductibles and cost-sharing. Medicare Advantage plans have their own structure as well.
Work With Local Experts Who Know Medicare
So, is Medicare free? Only partly. If you worked long enough, Part A may come without a monthly premium, but Part B always costs money. Then you have to factor in deductibles, coinsurance, and other service costs.
Choosing between Original Medicare and a Part C plan also affects how and what you pay.
Absolute Best Insurance has been helping South Florida residents make smart Medicare decisions for over two decades. Our team of licensed agents in Deerfield Beach, Greenacres, Tamarac, Sebastian (Micco), Vero Beach, Melbourne, and Port St. Lucie will help you compare your options and find a plan that fits your needs.
“We believe in keeping things clear, honest, and personal,” says Stacy Murphy. “We’ll walk you through your options, explain your costs, and make sure you feel confident in your Medicare coverage.”
Let us help you find a plan that fits your life, now and in the future. Click here or give our team a call for a free, no-obligation quote.
Tamarac: (954) 642-2101
Deerfield Beach: (754) 778-8700
Greenacres & Vero Beach: (561) 420-0280
Port St. Lucie & Melbourne: (772) 828-2840
Sebastian (Micco): (772) 321-0813