Mar 26, 2015 | By Warren S. Hersch
Boomer couples building up a nest egg for their golden years might need to revise existing retirement plans to appropriately account for substantial — and rising — healthcare costs.
This is one conclusion to be drawn from research unveiled by HealthView Services in its “2015 Retirement Health Care Costs Data Report.” Culled from 50 million health care cases, the report draws on claims data from year-end 2014, the company’s actuary and physician-reviewed cost projection methodology, plus other data sources.
According to the report, average lifetime retirement health care premium costs for a 65-year-old healthy couple retiring this year and covered by Medicare Parts B, D, plus a supplemental insurance policy, will be $266,589. When factoring additional health care costs — dental, vision, co-pays and out-of-pockets — the number rises to $394,954. The figure ratchets up again to $463,849 for a 55-year-old couple retiring in 10 years.
“The report demonstrates that health care costs will account for a very significant and growing portion of retirees’ budgets,” says HealthView Services Founder and CEO Ron Mastrogiovanni. “The data also shows that Medicare-related costs are only part of the story. Retirees need to plan for health-related expenses not covered by Medicare, and the potential impact of income-based Medicare surcharges.”