Close Close
Sign In
Newsletters
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
Podcast Center Video Center Webcasts Resource Center Events
About ThinkAdvisor Contact Us Advertise With Us Asset & Logo Licensing Sitemap Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.
ThinkAdvisor

Life Health > Long-Term Care Planning

Even with Medicare, seniors pay and pay

By Staff Writer

X
Your article was successfully shared with the contacts you provided.

A new study by Boston College’s Center for Retirement Research shows that although they may be covered by Medicare once they reach the age of 65, seniors may still face steep out-of-pocket health care expenses in retirement.

According to the study, the average 65-year-old couple with no chronic health conditions will be forced to pay $197,000 for out-of-pocket expenses throughout their retirement.

The figure accounts for premium costs, co-payments, uncovered expenses (such as dental, hearing and eye care), long term care and health care inflation but does not include nursing-home care.

A recent Fidelity Investments study resulted in similarly large numbers. That company determined that a couple who were both 65 in 2009 would need nearly $240,000 to cover retirement medical expenses.

The Employee Benefit Research Institute concluded that the same couple would need $210,000 to have a 50 percent chance of covering health expenses and $338,000 to have a 90 percent chance of doing so.

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.