When reviewing financial forecasts with clients, they are often shocked at projections for medical expenses in retirement 1. I utilize cutting edge software to estimate the increase in costs and frequency for out-of-pocket medical expenses as a retiree ages. Often, when presented with the charts and graphs, they’ll ask what can be done to lower the burden of these expenses.
From a purely financial planning perspective, there’s not much that can be done to lower many such medical expense forecasts. However, from a health stance, there’s a lot that can be done to improve and maintain one’s health and lower potential healthcare costs in the future, as explained by Dr. Robert Brown in this edition of Retirement & Financial Focus.
Every month, the RFF video series features a local guest expert covering a topic related to financial and retirement interests. This month, Krista McBeath’s guest is Dr. Robert Brown of Elite Chiropractic and Rehab, covering the topic we introduced last week, “Health or Wealth; Which is More Important?”. Watch this video as he explains methods for potentially reducing incurred expenses, while enjoying a healthier retirement:
It’s true that as we age, we can expect higher medical expenses. It’s also no surprise that living a healthier lifestyle can defray the magnitude of the escalating expenses. Yes, accidents and many other health expenses may be unavoidable. But, there are measures that can be taken to reduce the chance and frequency of medication and treatments in the future. Dr. Brown recommends a focus on exercise, proper nutrition, chiropractic and an overall focus on a healthier lifestyle right now, as a strategy for avoiding future catastrophic expenses. He explains how investing in health now, can pay in dividends later.
For those interested in a healthier and more prosperous future, please call Dr. Brown and get started today. Elite Chiropractic and Rehab can be reached at 309-663-9900.
Krista McBeath is the founder and president of McBeath Financial Group in Normal IL. The firm covers all areas of financial management, from investment wealth management and retirement planning to risk management, strategic income planning and estate conservation solutions. To schedule a complimentary financial appointment call 309-808-2224 or e-mail [email protected].
According to Employee Benefit Research Institute, in 2015, a 65-year-old man needs $68,000 in savings and a 65-year-old woman needs $89,000 if each has a goal of having a 50 percent chance of having enough money saved to cover health care expenses in retirement. If either instead wants a 90 percent chance of having enough savings, $124,000 is needed for a man and $140,000 is needed for a woman. This analysis does not factor in the savings needed to cover long-term care expenses.