I am turning 65 in September and plan to retire on December 31. I contribute to an HSA account and have been told I need to stop 6 months before the end of the year if i want to retire. Is this true? I am trying to put as much as allowed into my HSA to use in retirement.

Hi. Here is what you need to know. You can't file for Social Security benefits to start at age 65 or later without also applying for Part A of Medicare. When you apply for your Social Security benefits, your Part A coverage will start automatically with the earlier of a) the month in which you reach age 65, or b) 6 months prior to the month of your application if you apply for benefits more than 6 months after reaching age 65.

For example, let's say Jane will turn 65 on September 15 2021, and she applies for Social Security retirement benefits in January 2022. Jane's Part A Medicare coverage will then automatically start retroactively to September 1st 2021.

By the way, Medicare Part B enrollment rules are completely different than the rules for Part A enrollment. If you want your Part B coverage to begin effective with the month you reach age 65 you'll need to file an application with Social Security sometime during the 3 months that precede the month you turn 65. For more information on Part B enrollment periods, refer to the following Medicare website: https://www.cms.gov/Medicare/Eligibility-and-Enrollment/OrigMedicarePart....

My expertise is limited to Social Security benefits, and not the IRS regulations regarding HSAs. My understanding is that you could continue to make HSA contributions up to the month that your Medicare coverage becomes effective, but you should consult IRS's website for confirmation.

Also, prior to filing for your Social Security benefits you may want to strongly consider using our software (https://maximizemysocialsecurity.com/purchase) to fully analyze the options available to you in order to determine your best strategy for maximizing your benefits.

Best, Jerry