#168 - Using Your HSA To Slay The Health care Dragon
Hello everyone and welcome! I am Roger Whitney the Retirement Answer Man and today on the show we are talking about the Healthcare Dragon and the threat that it poses to your retirement as well as the lives of your family. It’s no surprise to hear that health care costs are rising; each year this beast continues to grow and unless you do something to combat it now, you might be in for a rough retirement. Tune into this episode to get some actionable tips to arm yourself against the Healthcare Dragon.
The Healthcare Dragon might burn up your retirement.
It’s growing, it’s hungry, and it eats retirement savings for breakfast! A recent survey showed that the average couple retiring in 2016 will need approximately $260K for health care costs during their retirement years. That’s a lot of money and can bite a sizeable chunk out of your retirement savings. If we are not proactive, our retirement savings could fall prey to this Healthcare Dragon. We have the perfect weapon to combat this threat, the Health Savings Account. Unfortunately, in our modern world, this sword is a bit dull. Join me on this episode of Retirement Answer Man as I discuss some practical ways to sharpen your HSA sword and defend you family and your retirement.
80% of people don’t plan for long-term health care.
Our special guest Margie works with people who are in need of long-term health care in their later years, whether that be because of an accident or simply old age. She walks families through the challenges of long-term care and has seen how being prepared can save you a lot of heartache. She estimates that 80% of her clients are unprepared for long-term care. Having no plan puts stress on the individual as well as on the family and friends. If you want to avoid stress and have confidence in the midst of a health crisis, listen to this episode to hear Margie’s suggestions.
Why you MUST understand your healthcare plan.
If old age strikes or you are injured and in need of long-term health care there will be many things that need to be paid for. Some will be covered by your medical plan, some won’t. Being knowledgeable of your plan and knowing what it covers will help you prepare for the possibility of long-term care, giving you and your family peace of mind. Our guest Margie walks us through many of the aspects of health care that may not be covered by your plan. Listen to this episode to hear them all.
Invest in yourself for a secure retirement.
With health care during retirement requiring such a sizeable amount of money, it is wise to start preparing now. Starting an HSA or maximizing your current HSA can work wonders but that is not the only thing you can do. Investing in your health and your relationships can minimize the need of future long-term care and give you a strong community of people to turn to in your time of need. Click play on this episode of Retirement Answer Man to learn how to prepare.
OUTLINE OF THIS EPISODE OF THE RETIREMENT ANSWER MAN
[0:29] The Live Dragon of long term Health Care
HOT TOPIC SEGMENT
[2:20] Dragon slaying weapons
[3:16] How a savings account works.
[4:41] Our HSA sword is dull.
[6:17] Steps we can take to improve our HSA.
PRACTICAL PLANNING SEGMENT
[9:37] Conversation with Margie about helping families navigate long-term care.
[11:09] 80% of Margie’s clients have no long term care plans in place.
[12:05] The benefit of thinking ahead.
[15:15] The potential dangers of living independently.
[21:35] Preparing for retirement and long-term care if you have no family.
[23:17] The importance of understanding your medical plan.
[26:07] How do people generally pay for long term care?
[28:27] Do long-term care policies make the transition easier?
TODAY’S SMART SPRINT SEGMENT
[32:05] Look at your HSA. What is the maximum you can contribute and can you make that happen? If you don’t have an HSA, give some thought as to whether or not it would be a smart move for you and your family.
THE HAPPY LAB SEGMENT
[32:56] The average couple will need $260K for health care costs in retirement.
[33:33] Take small steps to get an HSA if applicable, invest in your health, and invest in your life to make you feel more empowered to face the future.
RESOURCES MENTIONED IN THIS EPISODE
Roger’s YouTube Channel - Roger That
BOOK - Rock Retirement by Roger Whitney
3-video Series: 5 Minute Retirement Makeover
Roger’s Retirement Learning Center
The Retirement Answer Man Facebook Page
TWEETS YOU CAN USE TO SPREAD THE WORD