I have blogged before about the issue for people who have any Part of Medicare while they are working and on an employer group health plan that includes an HSA.  In short, you can’t contribute to an HSA account while having even premium-free Part A of Medicare due to IRS regulations.  Medicare-eligibles who are faced with this situation have another element to consider and which I was not aware.  When someone delays enrollment in Medicare due to continuing to work past 65 have another potential surprise.  The Social Security department will make Part A retroactively effective up to 6 months.  This means that even if they knew to delay enrolling in any Part of Medicare while having an HSA, they could still be hit with penalties and taxes for the retroactive credit!

You can research this if you want to learn more.  Or, feel free to call me if any questions about this nuance or anything else related to Medicare.

Based in the Richmond, Va area, David Higgs of Choices In Medicare specializes in helping seniors transition to Medicare.  He can be reached at email:  David@ChoicesInMedicare.com or go to website:  www.ChoicesInMedicare.com