Indeed Says the Hiring Process Is Broken. He’s Waiting for a New Job at 65, but Medicare’s Eight-Month Part B Clock Keeps Running
At 65, he lost his job and figured a new offer was weeks away, so he held off on Medicare Part B. But a federal clock started the moment his coverage ended, and it has no interest in his job…
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A 65-year-old loses his job and the employer health plan that came with it. He expects a new offer within weeks, so he puts off Medicare Part B while he applies. The search drags on, and a federal deadline keeps running the whole time. Anyone who turned 65 while covered through a current job, then lost that job, is on the same schedule.
The job market gives him reasons for caution. In September 2026, Indeed chief executive Hisayuki Idekoba called hiring a ” “vicious cycle.” Greenhouse data cited alongside his comments showed applications per job climbed 111% between 2022 and 2025 while the average number of recruiters per organization sank 56%. A search he expects to last a few weeks can easily eat up much of Medicare’s eight-month window.
Eight Months Start When His Coverage Ends
Because he had group coverage from an active job at 65, he could skip Part B without a penalty. Losing that job opens a Special Enrollment Period (SEP) that generally lasts eight months after active employment or its group health coverage ends, whichever comes first.
Two common assumptions fail here. Waiting for another job does not restart the eight-month clock, and neither does taking COBRA. COBRA and retiree health coverage don’t count as current employer coverage. COBRA has a second catch: it does not replace Part B. When Medicare is primary, COBRA may pay only after Medicare, so skipping Part B can leave him responsible for costs Medicare would have covered.
Here is how the calendar works. Say his job and his coverage both ended in March. His window runs April through November, and November is his final month to sign up penalty-free.
Missing the Deadline Costs Him Coverage First, Then Money
If November passes, his next chance is the General Enrollment Period, January 1 through March 31, and coverage starts the month after he signs up. If he signs up in March, he goes a full year without Part B. An ER visit, an MRI or a biopsy during that gap lands on him, or on a COBRA plan that pays second.
One full year without Part B raises the premium by 10%. At the 2026 standard premium of $202.90, that works out to about $20.30 extra a month, bringing the total to roughly $223.20. Two full years pushes the penalty to 20%, or about $40.60 a month, for a total premium of roughly $243.50.
At two years, the penalty adds about $487 a year at 2026 rates. Hold that rate flat and it comes to roughly $4,870 over 10 years and $9,740 over 20. The real cost can climb higher because the penalty rises when the standard Part B premium rises. The base premium rose to $202.90 in 2026 from $185.00 in 2025, and every increase raises his penalty too. The $283 annual Part B deductible still applies on top of the premium.
The start date of Part B matters for one more reason: it also starts his six-month Medigap open enrollment window. That window is his one guaranteed chance to buy a supplement without medical underwriting. After it closes, insurance companies in most states can turn him down or charge more. Some states, including New York, Connecticut, Massachusetts and Maine, give residents additional Medigap protections, so he should check his own state’s rules.
Three Dates to Write Down
The safer move is to sign up for Part B inside the SEP, even if a job offer seems close. If a large employer hires him and offers a group plan, he can drop Part B and get a new SEP when that job ends. Paying $202.90 a month for a few months costs far less than a year without coverage or a penalty that lasts for life.
- The exact date employment ended. Get his last day on payroll in writing from HR.
- The date employer coverage ended. The plan termination letter shows it, and it often falls at the end of the month. His schedule starts with whichever date came first.
- The final month of his SEP. Count eight months starting the month after the earlier date, and file before that month ends. He needs the Part B application plus the employment verification form his former employer fills out (CMS-40B and CMS-L564). He should ask HR for it now, while his contacts there still answer email.
Indeed’s chief executive may call hiring a vicious cycle. Medicare does not wait for the next offer letter. Once that eight-month clock starts, even a promising interview does nothing to stop it.
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Gerelyn Terzo is the author of dividend investing handbook "Dividend Investing Strategies: How to Have Your Cake & Eat It Too." A veteran financial journalist, she covers agri-finance for outlets like Global AgInvesting and the broader stock market and personal finance for 24/7 Wall Street. She began at CNBC and later helped launch Fox Business in New York. Gerelyn currently resides in Woodland Park, Colorado and dabbles in nature photography as a hobby.
