Plan for Health Care Costs in Retirement

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The mantra for most people is financing a good retirement. With 401 (k)s and Roth IRAs, saving for those retirement excursions or financing a hobby is at the forefront of most individuals.

But what about health care costs? Those usually increase with age. How do these expenses factor into your retirement fund? In a worst-case scenario, a 65-year-old couple is projected to need $315,000 saved, after taxes, for future health care costs. How does someone anticipate and plan for these expenses?

Plan by Breaking It Down Monthly

Many retirees had their health insurance subsidized by their employer, so this is a new expense. About 44 percent of retirees struggle to predict these costs. By not predicting the expenses, it may be hard to manage them.