631 Financial tips and laws for today and tomorrow

Here are the best tips to avoid unexpectedly high medical expenses in retirement.

Tip 1:

• Proactively plan your healthcare preferences keeping what you can afford in mind. E.g., do you want facility-based or assisted care at home?
• Procure necessary legal documents such as a financial power of attorney, living will, etc.

Tip 2:

• Read more in-depth about Medicare to understand what is covered and what isn’t. Budget accordingly.
• Consider out-of-pocket expenses and see what additional coverage you can opt for.

Tip 3:

• Research more about long-term care insurance to know it’s valuable for you, like limitations, when the premium might increase, etc.
• Check out other options such as Hybrid LTC insurance which includes LTC as a perk.

Tip 4:

• HSAs are triple tax-free, tax-free withdrawals or growth with tax-deductible contributions. You can use it for medical expenses in retirement.
• Consider self-insuring with options like QLACs instead to cover medical costs.