Retiring Before 65? Here's What Bridging to Medicare Actually Costs
Medicare eligibility starts at 65, so retiring earlier means covering a gap yourself — and that gap can stretch for years, not months. The first stretch is usually handled through COBRA, which lets you keep your former employer's plan, but only for up to 18 months and at the full unsubsidized premium. If your retirement gap runs longer than that — which it will for most people who retire in their late 50s or early 60s — you'll need to shift to an ACA Marketplace plan for the remainder of the bridge. Because COBRA premiums are typically higher than Marketplace premiums, front-loading the expensive phase and switching over partway through changes your total cost picture significantly.
This calculator takes your retirement age, COBRA premium, and ACA Marketplace premium, then splits your path to Medicare into a COBRA phase (capped at 18 months) and an ACA Marketplace phase for whatever time remains. You'll see the total cost of each phase, your blended average monthly cost, and the full multi-year total — a much more realistic picture than comparing COBRA and ACA for a single short stretch.
Frequently Asked Questions
COBRA typically caps out at 18 months. If your gap to Medicare is longer, you'll need an ACA Marketplace plan for the rest.
That kind of tool picks one option for a short period after leaving a job. This one plans the full multi-year retirement gap to age 65.
For most people, yes. Some qualify earlier due to disability, which would shorten the bridge this tool estimates.
※ Simplified estimate; actual premiums depend on your plan, location, income-based subsidies, and household size.