Many people wait until 65 to retire because that’s when Medicare coverage begins. However, Medicare doesn’t cover everything, such as routine dental care. Costs for services like cleanings, fillings, and root canals can add up, making it important to plan for these expenses in retirement.
Vision care is another expense not covered by Medicare. Eye exams and prescription glasses can be pricey, with average costs ranging from $136 for an exam to $350 for glasses without insurance. Saving on vision care by going to retail chains like Walmart can help.
Long-term care, like home health aides or nursing homes, is not covered by Medicare either. Costs can be significant, ranging from $77,796 for a home health aide to $127,750 for a private nursing home room. Investing in long-term care insurance can help cover these expenses.
To help prepare for high healthcare costs in retirement, consider contributing to a Health Savings Account (HSA). HSAs allow you to save money tax-free for medical expenses and can be a valuable tool for covering healthcare needs in old age. Maxing out HSA contributions can be beneficial for future expenses.
If you’re unsure how to budget for healthcare costs in retirement, speaking with a financial advisor can provide guidance on setting up a plan to cover potential expenses. Advisors can help you navigate options like maxing out your HSA contributions, ensuring you have a solid financial plan for your golden years.
Read more at Yahoo Finance: Medicare doesn’t cover these 3 expenses that total over $100K. Make sure you’ll have enough in your HSA to cover them