Health Care
How much will health care cost in retirement?
Thanks to medical advances, people are living longer than ever. The longer we live, the more it may cost to maintain our health or provide for long term care. Plan now to ensure your lifestyle isn’t jeopardized by health care costs.
Assuming Medicare benefits remain at their current levels, a couple will need approximately $300,000 to $650,000 to cover their health care expenses in retirement.**
No wonder health care costs rank as one of retirees' biggest financial concerns. But the sooner you plan for this cost, the better you'll feel about your retirement security.
Medicare
One way to manage part of the costs of your retirement health care is to effectively utilize Medicare, the federal government's health insurance plan primarily designed for those aged 65 and over. What's covered under your Medicare plan depends on which of the Medicare "parts" you have.
*"Savings Needed to fund Health Insurance and Health Care Expenses in Retirement." EBRI Issue Brief No 317, May 2008