Health Care
It should come as no surprise that health care costs are higher in retirement and continue to grow as we age.
As a matter of fact, according to a study carried out by The Employee Benefit Research Institute, the percentage of a household’s overall spending on health care increases from 8% before retirement to 19% by the time the household members are past the age of 85.
The bulk of these health care costs come from general health needs, health insurance, prescription medication, medical supplies and medical services but unforeseen expenses and expensive new diagnoses and hospitalizations also add up to the overall spending increase of the average retiree.
