FINANCIAL STRATEGIES GROUP
36
CHAPTER 6
HEALTHCARE
certain costs of healthcare in retirement, there are strategies and concepts that can
help offset those costs.
Individuals who have high deductible plans often have Health Savings Accounts.
It's not uncommon for health insurers to offer these savings accounts. Each year
you decide how much to contribute to your HSA. However, you cannot exceed the
government mandated max (see current year tax rules). These dollars are pre-tax,
grow tax-free, and if you use these funds for eligible health expenses, you don't pay
tax on the distributions. Health savings accounts are a great way to save for future
expected medical expenses.
As you are approaching retirement, it may not be wise to take on all these decisions
on your own. Pairing with a professional to guide and work cooperatively with
you will often lead to the best outcomes. It's incredible to think that by the time
of this publishing, it's likely that our health insurance options will have changed
or evolved again. Due to this moving target, it's easy to see why there is a fear
or lack of decisiveness when it comes to retirement. The unknown is what drives
many individuals to continue to work. Health insurance is yet another area where
the burden has been shifted from the government and employers to you. Personal
responsibility is the name of the game and partnering with a trusted professional and
educating yourself are the best strategies in that game.
"The unknown is what
drives many individuals
to continue to work."
https://www.fidelity.com/viewpoints/personal-finance/plan-for-rising-health-care-costs
https://www.healthcare.gov/see-plans/#/plan/results
