Retirees often pay more for health care than they saved for thanks to unexpected penalties, premiums, and out-of-pocket expenses.
There are 3 key points to understand about health care in retirement:
- If you do not enroll in Medicare on time, you will pay a monthly penalty.
- If you do not get the right private insurance to go with Medicare, you may pay too much in premiums or out-of-pocket costs.
- If you do not plan for higher health care costs in retirement, you could run out of money or not be able to get the care you need.
Not following the protocols of your health benefits can quickly cause financial illness. And that can mean you outlast your money or have less to leave to your kids and grandkids.
Be prepared to enjoy your retirement savings—not spend it on unnecessary penalties, premiums or out-of-pocket expenses you hadn’t expected.