What Are the Best Ways to Plan Ahead for Health Care Costs in Retirement?

Marguerita-Cheng-10-What are the best ways to plan ahead for healthcare costs in retirement

Marguerita Cheng advises planning ahead for healthcare costs in retirement by budgeting specifically for medical, dental, and vision expenses, factoring in inflation, and ensuring your housing and healthcare needs are covered as you age.
Video Transcript

Two of the largest costs in in retirement are housing and health care. Housing, it's not just your, principal, interest, tax insurance, but maintenance. You want to make sure that your home is safe and appropriate for you to age in place. The other expense is health care.

So one of the things that I advise, individuals and couples to consider is planning for health care in retirement. I actually include an extra line item. And even before, we had high inflation, I also, encourage people to factor in inflation because inflation for health care is increasing at a faster rate than overall inflation. Health care does not just include, medication and insurance premium.

It also includes co payments for services. This is a big one. Dental and vision as well. So it's important to make sure when we talk about health care that we're being very specific.