What you'll learn
- The Part B penalty adds 10% to your premium for each full 12-month period you could have had Part B but didn't.
- The penalty is usually charged for as long as you have Part B.
- Group coverage from a current job, yours or your spouse's, lets you delay Part B. You then get 8 months to sign up after the job or coverage ends.
- Special Enrollment Periods for exceptional situations, like a declared disaster, let you sign up without a penalty.
Most Medicare choices can be changed every fall. The Part B late enrollment penalty is different. Miss your window without the right coverage in place, and the extra cost can follow you for as long as you have Part B.
How the penalty is calculated
If you don't sign up for Part B when you're first eligible, and you don't qualify for a Special Enrollment Period, your premium goes up 10% for each full 12-month period you could have had Part B but didn't.
Here's how that works with the 2026 standard premium of $202.90:
| Full years without Part B | Penalty | 2026 monthly premium |
|---|---|---|
| 1 year | 10% | about $223.19 |
| 2 years | 20% | about $243.48 |
| 3 years | 30% | about $263.77 |
| 5 years | 50% | about $304.35 |
Because the penalty is a percentage of the standard premium, it rises whenever the premium does. CMS announces each new year's premium in the fall.
Who can safely wait
You can delay Part B without a penalty if you or your spouse have group health coverage from current employment. When that job or coverage ends, whichever comes first, you have an 8-month Special Enrollment Period to sign up.
Employer size matters. If the employer has fewer than 20 employees, Medicare usually pays first, and your plan may expect you to have Part B. Our guide to delaying Part B while you're still working has the details.
Coverage that doesn't protect you
These are common ways people end up with a penalty:
- COBRA. Your 8-month window starts when the job ends, not when COBRA runs out. Don't wait for COBRA to end.
- Retiree coverage. It isn't coverage from current employment. Retiree plans may also not pay unless you have both Part A and Part B.
- Individual coverage, including Marketplace plans, which isn't employer group coverage.
Military retirees, take note: TRICARE For Life requires both Part A and Part B. With several large military bases across Texas, this catches some families off guard. See our TRICARE For Life guide.
Exceptions that matter in Texas
Since 2023, Medicare has offered exceptional condition Special Enrollment Periods. If one applies, there's no late penalty.
| Situation | Window to sign up |
|---|---|
| A federally declared emergency or disaster, such as a Gulf Coast hurricane | From the month it occurs until 6 months after it ends |
| Incorrect information from an employer, group health plan, or agent/broker | 6 months from when you notify Social Security |
| Release from incarceration | Through the 12th month after release |
| Losing Medicaid | Until 6 months after Medicaid ends |
| Other situations beyond your control | Decided case by case by Social Security |
Forgetting or not knowing the rules doesn't qualify. If you think one of these applies, contact Social Security at 1-800-772-1213 before assuming you'll owe a penalty.
If you already pay a penalty
You usually can't remove it, but you may be able to get help with your premium. Texas Medicare Savings Programs, run through Texas Health and Human Services, can pay the Part B premium for people with limited income and resources, and Medicare says people who enroll in one generally won't pay a Part B penalty. Income and resource limits change each year, so check with Texas HHS or call HICAP at 1-800-252-9240. Our guide to Part B premium help in Texas explains the programs.
Common questions
How much is the Part B penalty in 2026?
It's 10% of the standard premium for each full year you went without Part B. With the 2026 standard premium of $202.90, a two-year delay adds $40.58 a month, for a total of about $243.48.
Does the penalty ever go away?
Usually not. Medicare says late enrollment penalties are usually charged as long as you have that coverage. One way to get help is a Medicare Savings Program, which can pay your Part B premium if you qualify.
Can a hurricane or other disaster let me sign up late without a penalty?
Yes, in many cases. If a federally declared emergency or disaster kept you from signing up, you can generally enroll from the month it occurs until 6 months after it ends, with no late penalty.
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