How will YOU pay for healthcare when you need it most at age 62, 67 or 70?I know it's difficult to relate to being that age, but like it or not, you can count on the fact that you are going to need some sort of healthcare in your old age.
Health care costs are not budget friendly and out-of-pocket, even with Medicare, are high, including the cost of supplemental insurance premiums.
Will you have Medicare in 20 years or will you need to pay for your own healthcare insurance premium?
Medicare is a government sponsored and mandated health care program for Americans 65 years and older.
Medicare was enacted 50 years ago in 1965.
In 2010, Medicare provided health insurance to 48 million Americans—40 million people age 65 and older and eight million younger people with disabilities.
In 2011, Medicare provided health care for 44 million seniors and that number grew to 52.3 million in 2013.
According to every known source -- the Medicare Hospital Insurance Trust Fund will soon become insolvent. Empty. Vacant. Zero.
There is no backup plan in the law to ensure that hospitals continue to be paid when the fund is depleted.
This means YOUNG people should NOT count on Medicare, because even if you have Medicare, it will be more limited than it is now.
US News reports, "We are seeing people [who have Medicare] with a 20 percent co-pay requirement who are not able to pay the 20 percent for a hospital stay or a series of doctors' bills for a serious illness ... It's often already a choice of either food or medicine."
Without Medicare -- even with limited Medicare -- you need to add insurance premiums to your budget.
According to the ‘Cost & Benefits of Individual and Family Health Insurance Plans’ report, released by eHealth, Inc, the average premium paid for individual health insurance coverage in the United States in 2011 was $2,196 per year ( $183 per month ); couples paid an average annual premium of $4,968 ( $414 per month ).
The report also found that the average deductible for individually-purchased health insurance plans in 2011 was $2,935 for individuals and $3,879 for couples.
When you do the math on what you are going to need to live on in the last 20 and 30 years of your life… ADD a big premium for health insurance -- and savings to cover the deductible. I could cry.
Every American must have a realistic plan for the future and must absolutely stick with it.
You want self employment to give you extra money for now and later.
Aging Health
Retirement typically coincides with deterioration of a person's health because of being an older age and poor health often plays a major role in depression.
The good news is that healthy elderly and retired people are as happy or happier than when they were younger.
Retirement in itself may not contribute to depression but rather the lack of money or quality of life.
Due to failing health, many people in the later years of their lives require assistance and some need extremely expensive treatments that must be provided in a nursing home. Those who need care, but are not in need of constant assistance, may choose to live in a retirement home, but once again income and money on hand is the deciding factor.