Health Care Costs for Retirees Rise to an Estimated $275,000 Fidelity Analysis Shows

Fidelity Investments press release ------- Health care is one of the largest costs for people in retirement, so planning for these expenses is a critical part of any retirement savings strategy. To help people understand and plan for these costs, Fidelity annually estimates what a 65-year old couple, retiring in the current year, will need to cover health care and medical expenses throughout retirement. The 2017 estimate is $275,0001, a six percent increase over last year's estimate of $260,000. The six percent increase in 2017 reflects general market trends and expectations for health care costs across a variety of expenses an individual could face in retirement. These include monthly expenses associated with Medicare premiums, Medicare copayments and deductibles and prescription drug out-of-pocket expenses. It assumes enrollment in Medicare health coverage but does not include the added expenses of nursing home or long-term care. To get more in depth information click on the picture below to read the release.