As you plan for retirement, it can be easy to overlook potential future healthcare costs, which can wind up derailing an otherwise carefully planned retirement. The good news, however, is that more and more information and resources are available regarding the potential pitfalls surrounding healthcare costs during retirement.

First things first, set up a meeting with a Stifel Financial Advisor to discuss the Stifel Wealth Strategist Report®. The Stifel Wealth Strategist Report® is a comprehensive financial plan and can integrate future healthcare costs into your retirement analysis. With the help of your Stifel Financial Advisor, the Stifel Wealth Strategist Report® can instantly include your average healthcare costs for your state of residence. These estimated costs include Medicare expenses and private health insurance expenses if you are retiring before Medicare eligible. If you have a better estimate of your expenses, you can even customize these future costs using what you expect to pay. If you plan on retiring a few years before becoming eligible for Medicare, you can input your potential healthcare costs for that age gap before inputting what they expect to pay for Medicare Parts B, C, D, and Medigap coverage.

Medicare, however, was never designed to cover all of a retiree’s future healthcare costs. These costs can be unlimited, and Medicare only covers about half. Various Medigap policies can help cover most, if not all, of the costs that Medicare leaves to the recipient. These policies often come with premiums of around $200 per month, so if Medicare does not pay first, a Medigap policy will not pay secondarily. Therefore, anything healthcare related that’s not covered by Medicare can potentially be an out-of-pocket healthcare expense, including dental and vision services.

According to the United Nations, an estimated 10,000 baby boomers are turning age 65 each day in the U.S. Given that this trend is expected to continue, you can bet that Medicare and retiree healthcare planning will soon enjoy the popularity that Social Security has today. Your Stifel Financial Advisor can help you learn more about coverage levels, potential costs, key dates, and other important details that might impact your retirement as well.

Stifel can help you make sure your retirement is not disrupted by unforeseen, out-of-pocket costs. Discuss with your Stifel Financial Advisor the potential future costs and adjustments today to help you gain the affordable coverage you may need tomorrow.