Health care costs are a major concern for everyone, but especially those planning for retirement. While incomes may be fixed, the numbers on medical bills aren't.
Edgar Norton, Director of Illinois State University's Institute for Financial Planning and Analysis, said the average 65-year old couple will spend about $250,000 on health care. While that may seem like a large amount of money, Norton said there are ways to help reduce the impact.
- Medicare supplements: These help cover co-pays, deductibles, long nursing home stays, eye and dental care.
- Long Term Care insurance: It's best purchased in your 50s. Remember, premiums go up the older you get.
- Health Savings Accounts: Only available if you have a high deductible health plan. A single person in 2016 must meet a deductible of $1,300. For a family, the limit is $2,600.