Do you have a strategy to pay for health care in retirement? Medicare will cover many of your expenses, but it won’t cover everything. You’ll still face premiums, copays, deductibles and other costs. According to a study by Fidelity, the average married couple will pay $275,000 for out-of-pocket medical expenses in retirement. That figure doesn’t even include the cost of long-term care.1
As you get older, it’s possible that you may become more vulnerable to injury and illness. In the later years of retirement, copays for prescription drugs and medical treatment may eat up a big chunk of your monthly income. You could require treatments and services that aren’t covered by Medicare at all, such as dental, vision or physical therapy.
Many baby boomers worry about supporting their adult children. However, it may not be their children who need help. It could be their parents. According to a study from A Place for Mom, 28 percent of Americans are either already caring for their elderly parents or will need to at some point in the future. The same study found that 86 percent of Americans are worried they won’t have the financial stability to do so.1
Americans’ life spans are extending longer than ever, but that longevity can bring big challenges. While living longer is generally viewed as a positive development, it can also lead to an increased need for care and support later in life.