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Indestata > Debt > 5 Medicare Enrollment Mistakes That Lead to Higher Bills
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5 Medicare Enrollment Mistakes That Lead to Higher Bills

TSP Staff By TSP Staff Last updated: February 14, 2026 6 Min Read
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Medicare can feel like it should be simple—sign up, get covered, move on—but the timeline and plan choices can get expensive fast. A lot of retirees don’t realize how many costs are “self-inflicted,” meaning they come from missed windows, wrong assumptions, or paperwork that didn’t get finished. The frustrating part is that the bills don’t always show up right away, so it’s easy to think everything is fine until a penalty or denial hits. A little planning now can prevent years of higher premiums and surprise out-of-pocket costs. Here are five Medicare enrollment mistakes that commonly lead to higher bills and how to avoid them.

1. Enrolling Late Because You Thought It Was Automatic

Many people assume Medicare starts automatically at 65, but that’s not always true. If you miss your initial enrollment window, you may face late penalties that stick around for years. Some retirees also end up with gaps in coverage that trigger bigger out-of-pocket costs when they finally need care. The fix is to mark your key dates early and confirm exactly which parts you must actively enroll in. Avoiding Medicare enrollment mistakes starts with treating the timeline like a deadline, not a suggestion.

2. Medicare Enrollment Mistakes Involving Part B When You Still Work

If you’re still working at 65, you might think you can “just wait” on Part B without consequences. That can be true for some people, but only if you have qualifying employer coverage and you follow the rules. The costly error happens when someone delays Part B without valid coverage and then gets hit with a penalty. Another common trap is assuming a spouse’s plan counts the same way as your own, when it may not. The safest move is to verify your coverage type and get clear guidance before you decide, because Medicare enrollment mistakes in this area can be very expensive.

3. Skipping Drug Coverage Because You Don’t Take Medications

It’s tempting to skip Part D when your prescriptions are minimal or nonexistent. The problem is that late enrollment penalties can apply later, even if you “didn’t need it” at the time. You can also end up paying more when you suddenly need a medication and have to wait for a valid enrollment period. Many retirees find that a low-cost plan is cheaper than risking future penalties and coverage gaps. If you want to reduce Medicare enrollment mistakes, don’t treat drug coverage like an optional extra you can add anytime.

4. Choosing A Plan Without Checking Doctors, Hospitals, And Networks

A plan can look affordable on paper and still cost you more if your providers aren’t in-network. This is especially common when people pick quickly and assume they can keep the same doctors without confirming. Out-of-network charges, denied claims, and higher copays can turn a “good deal” into a monthly headache. Provider directories can be outdated, so it’s smart to call your doctor’s office and ask what they actually accept. A big part of avoiding Medicare enrollment mistakes is making sure your plan fits your real healthcare habits.

5. Ignoring The Total Cost And Focusing Only On The Premium

A low premium feels like a win until you add deductibles, copays, coinsurance, and out-of-pocket maximums. Some retirees choose the cheapest monthly option and then get slammed by costs when they need tests, specialists, or hospital care. You also want to consider travel, frequent appointments, and predictable needs like physical therapy or ongoing medications. Comparing plans is easier when you estimate a “typical year” and a “bad year,” then see which plan holds up under both. Medicare enrollment mistakes often happen when the premium is treated as the only price that matters.

The One-Pager Check That Prevents Costly Surprises

Before you enroll, write down your enrollment dates, your current coverage, your doctors, and your top medications on a single page. Then compare plans using total annual cost, not just the monthly premium, so the math is clear. Keep copies of any proof of employer coverage or credible drug coverage in case you need it later. Recheck your plan every year during open enrollment because costs and networks can change. If you do this simple review, you’ll sidestep the most common Medicare enrollment mistakes and keep your healthcare budget steadier.

What part of Medicare feels most confusing right now—the timing, the plan choices, or the drug coverage rules?

What to Read Next…

10 Medicare Part D Deductible Rules That Are Costing Retirees More in 2026

8 Healthcare Costs Seniors Notice Only After January

7 Medicare Plan Features That Sound Helpful But Limit Access

8 Healthcare Scams That Target Older Adults

5 Medicare Notices You Must Read Before You Toss the Envelope

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