The One Expense Many Retirees Forget
In order to calculate how much money you need to have for retirement, you first need to anticipate the expenses you will be expected to pay during your retired years.
As you get older, you will likely need to visit the doctor from time to time. After all, your health plays a vital role in your happiness and longevity! While Medicare will typically cover hospital visits, doctor appointments, and lab tests, it does not cover everything. For example, neither Medicare Part A or Part B will cover the cost of dental care.
Routine oral hygiene appointments alone can easily cost $1,000 a year. This includes regular cleanings and X-rays. And if you decide to forego regular dental care, you’re opening yourself up to health complications and much more expensive dental issues down the road! Instead, plan for dental costs in retirement accordingly. Retirees have a few options if they want to prepare for and possibly reduce their dental healthcare expenses in retirement:
Additional Medicare or Dental Insurance: Some retirees purchase a Medicare Advantage Plan, whose costs and benefits vary depending on the plan. Some Medicare Advantage plans will help cover the cost of dental care, vision, and prescription drugs. However, Medicare Advantage, unlike Medicare parts A and B, is provided through a third-party insurer. The price of your plan will vary depending on your eligibility and location and the type of coverage you think is right for you.
Alternatively, some retirees decide to buy stand-alone dental plans from private insurance companies. The breadth of these policies vary. Some may only cover cleanings, while other, more expensive plans can reduce the cost of more serious procedures. The pricing and coverage of these plans will not be right for everyone. Make sure you read the terms and have a clear sense of the coverage before signing up for ANY type of dental insurance.
Increase Your Retirement Saving: Some retirees decide that they do not need dental insurance in retirement and decide to pay out-of-pocket. No matter what you decide, if you haven’t factored dental care into your retirement, now’s the time to do so. You want to be sure you can afford dental care expenses in retirement without disrupting your financial security or peace of mind.
One way to boost your retirement savings to cover dental costs and more is to generate additional income. Consider building a business that offers you flexibility and provides a new income source.
Have questions about retirement? Visit us at www.syncis.com/blog.