You Need How Much to Cover This in Retirement?

Via LearnVest By Cheryl Lock ~

health care retirement costsIn the world of retirement health costs, there’s good news and bad news.

We’ll give you the good news first. Fidelity Investments reports that the estimated retiree medical costs for a 65-year-old couple retiring this year dropped by $20,000.


O.K., now for the bad news. Despite the drastic decrease in price, overall estimates for money needed for health costs through retirement for a retired couple is still a whopping $220,000.

Let that number sink in.

The cost assumes a couple of specific retirement scenarios. For example, that number would apply to a couple who has traditional Medicare, assuming a life expectancy of 82 years for the man and 85 for the woman.

The $220,000 number does not, however, cover things like dental care, over-the-counter drugs or any long-term care costs.

Retirees don’t quite seem ready to take on the burden of such a large cost, either. In fact, half of people from 55 to 64 expected to pay only $50,000 for health care in retirement, according to a recent Fidelity survey.

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