Healthcare in Retirement: Money Saving Tips Every Retiree Should Know
As a retiree, you will face a lot of different expenses. And of all those expenses, healthcare in retirement is the one that will cause you the biggest headache. According to Fidelity, It is estimated that the average couple will need $280,000 in today’s dollars for medical expenses in retirement, excluding long-term care.
Good thing, there are steps you can take to manage healthcare costs in retirement. Here are some tips.
Money Saving Tips for Healthcare in Retirement
1. Preventive Services
It is better to prevent than to cure. Once you become a Medicare beneficiary, you should be aware of the different preventive services that Medicare is providing.
One of the Medicare tips you should know is to take advantage of the three Medicare benefits to get ahead of illnesses are. These are:
· Annual Wellness exams
· Preventive Screenings
· Immunizations and vaccines
2. Address health issues early
If you encounter health problems, it is best to manage it early before it turns into a major problem. If it does, the potential damage it can do not just to your health but also to your finances are devastatingly huge.
Don’t wait for a small cough or cold to make its way to become a major illness before you seek consultation. The cost difference will be far cheaper when an illness is managed early than a full-blown disease.
3. Consider a Medicare Supplement plan
If you are someone who always visits the doctor’s office and predicts the frequent need for medical services, considers a Medicare Supplement plan. What is a Medicare Supplement plan what does it do to save you from hefty healthcare costs? A Medicare supplement plan, also called as Medigap, is additional health insurance that works with Original Medicare. It covers the healthcare expenses, such as deductibles, copayments, and coinsurance that Medicare does not cover and you will usually pay out-of-your pocket.
Medigap will pay all or part of out-of-pocket expenses that Medicare doesn’t cover. If ever you’ll need extensive healthcare services, you can rely on Medigap to cover the leftover expenses that Medicare doesn’t cover.
Yes! You got it right, Medicare does NOT cover everything.
4. Look for the best prescription drug plan
If you have prescription drugs, it is best to also find the best ways to save on them! If you are on Original Medicare or with Medicare Supplement plan, you will have to look for separate Prescription Drug Plan or Medicare Part D.
To save on the cost of the plan, you’ll have to be diligent on shopping around and comparing the costs of plans. That way, you will be able to find who offer the best deals that will cover the medications that you are taking.
5. Take care of your long term care
It is understandable if you don’t want to think about something in the distant future, but not long term care. Most of us will require some forms of long term care at any point in our lives, therefore long term care is something you should think about.
In addition, long term care cost can also cause you an additional burden on top of your healthcare expenses. To make matters worse, Medicare doesn’t cover long term care, same with Medigap plans.
If you don’t want to use up all your assets, dry up your savings, and burden your family, take care of your health and health expenses ahead of time. That’s the wises thing to do.