The No. 1 Cost Threatening Your Retirement Savings

Core Insights - Rising insurance costs post-pandemic are complicating retirement planning, making it difficult for retirees to manage their savings effectively [1] - Healthcare expenses in retirement are significant, with the average American expected to spend nearly $200,000, and couples potentially needing up to $428,000 to cover 90% of healthcare costs [2][3] Supplemental Medicare Coverage - Medicare coverage begins at age 65 but does not cover all healthcare expenses, necessitating supplemental insurance [2] - A survey indicates that 76% of individuals underestimate healthcare costs in retirement, highlighting the importance of understanding these expenses [3] Long-Term Care Insurance - Long-term care is not covered by Medicare, leading to high out-of-pocket costs; approximately 40.7% of retirees have long-term care insurance [4] - The rising costs of insurance can force retirees to reduce spending in other areas, impacting their quality of life [5]