Health Care Costs In Retirement Fidelity
Are you concerned about the shocking reality of what health care costs in retirement fidelity might run you? You are not alone. As of today the largest aging population in our society faces a certain concerning destiny in terms of what their health care costs in retirement fidelity may be. As this massive portion of society nears retirement and the working class force is left to be a mere fraction of what it has been in the past, numbers point to a deficit in the amount of money earned to support the number of aging citizens. The scariest part of it all is that as our historical societal pyramid flips and for the first time in history the elderly outnumber the adolescents and middle aged working class, it will simply be impossible to support the promises of our government in terms of health care funding costs in retirement. Fidelity analyses revealed, as a result, an estimated increase in health care costs for retirees.
Planning For Your Future? Don’t Forget To Include Health Care Costs In Retirement Fidelity
In all of your years spent planning for retirement has anyone ever made you aware of the one piece of the puzzle that is often forgotten or rather overlooked– the costs of your fidelity health care in retirement? Surprisingly, many financial planners, advisors, employers and even mentors forget to mention to those planning for their future retirement that the cost of health care in retirement is capable of wreaking havoc on even the most detailed financial planning. Though the cost itself will depend largely on a number of factors, you must plan for a large expense in terms of health care costs in retirement. Fidelity’s retiree health care costs has recently been revealed to be expected to increase to a whopping $245,000 per couple for those retiring in 2015! Imagine not accounting for that in your financial planning? Talk about a budget breaker.
Income Has An Effect On Your Health Care Costs in Retirement Fidelity
The Baby Boomer generation’s average income and savings greatly exceeds the next generation up to bat. As history’s largest generation and most affluent population of elderly individuals begins to all make their way into retirement, they will soon start tapping into those large savings accounts that they have worked so hard to build up. However, little do most know that this very lump sum of savings that they have spent their lifetime accruing, will be the very determining factor in their health care costs in retirement fidelity.
All along we have been told that maximizing returns and minimizing taxes are the key ingredients in building future financial success. However, a minor detail has been overlooked – health care costs in retirement fidelity are dependent on one’s income. That’s right, the very income that you have worked your lifetime to build-up can actually hurt you in retirement in terms of your health. That means that, contrary to common belief, in this day in age maximizing Social Security benefits and building your 401k may actually hurt you financially as far as your health care is concerned.
Legislative Changes Lead To Increased Health Care Costs In Retirement Fidelity
Due to recent changes in legislation and an array of Congressional provisions, health care in retirement is now a mandatory cost. For the first time in history retirees can look forward to being forced to spend their hard earned money on a mandatory expense and further expect to be penalized for their hard work. Retirees today face the unavoidable truth that with regards to their health care costs in retirement, their fidelity will ultimately cause them to pay more for coverage.
Key Factors Affecting Increasing Health Care Costs In Retirement
According to health care cost estimates a couple retiring in 2015 can expect to spend $245,000 on health care. That is up from $200,000 in health care costs for retirees in 2014. Why the sudden increase, you may be wondering? Experts say there are two main contributing factors to increased cost of health care in retirement:
– Increasing medical and prescription drug cost; and
– Updated mortality assumptions.
Don’t Rely Too Heavily On Medicare
When it comes to your health care costs in retirement and fidelity it is recommended that you not rely too heavily on Medicare. Though Medicare does cover a wide array of medical expenses, it does not cover them all. In fact, the above mentioned estimate for retiree health care costs in 2015 is assuming that the couple takes advantage of Medicare options and does not have employer-provided retiree health coverage.
Medicare coverage is often misunderstood by recent or nearing retirees, where it is believed that it will cover all medical expenses. What most retirees (or those almost to the point of retirement) do not know is that there are many different parts of Medicare. Options that must be selected and supplemental policies that must be purchased, and yet still the result is the retiree having to pay out of pocket for some medical costs.
What Can You Expect For Your Health Care Costs In Retirement Fidelity To Be?
Are you suddenly concerned that perhaps you did not plan well financially for your retirement. Concerned that medical expenses may be your demise? Do not worry. At Jester Financial Technologies we are here to help properly educate you on how you can best prepare for a seamless transition into your golden years. Use our exclusive FREE calculator for a quick estimate of what your expected health care costs in retirement fidelity could be and contact us put your mind at ease today!