Published by Taylor Financial Group (for women)
At the end of the day, we all strive to be healthy. I do my best to stay healthy by jogging during what little free time I get, eating foods that are good for my body (that doesn’t mean I don’t enjoy the occasional donut once in a while!), and by taking time to reflect on my thoughts and feelings. However, remaining healthy goes much deeper than this. And, since health care can become quite an expensive burden, it’s important to make every effort you can to stay as healthy as possible. Here are 5 tips to help every woman save on health care. After all, health is wealth, right?
Get a high-deductible health plan. The difference between a high deductible plan and a low deductible plan can be significant. For instance, a family premium on a typical employer-offered low deductible plan could be $467, compared to a high deductible plan at a premium of $321. This strategy can pay off (even if you aren’t in tip top shape) as long as you have enough cash on hand to cover the higher deductible.
Open and fund an HSA (Health Savings Account). One of the benefits of having a high deductible plan is that you can also open an HSA. This gives you the opportunity to set aside annual pretax dollars (up to $6,550) for medical expenses now or in the future! Plus, once you’re retired, you can use HSA money for Medicare premiums (it’s a win-win situation!). In fact, HSAs are beginning to be looked at as another form of retirement account.
Check if your employer offers incentives. Many large companies offer wellness programs that give financial incentives to participate in actively improving your health, like gym memberships, annual medical tests, etc. (make sure to ask your employer!). Imagine earning money for running on the treadmill or getting your cholesterol checked! The average employee wellness incentive can add up to $742! That’s a lot of “free” money.
Use Groupon! The site most often used to find discounted Zumba classes and 20% off all you can eat sushi, can now also be used for wellness visits! Groupon offers discounted eye, dental, and chiropractic exams. For example, if you’re insurance doesn’t pay the $68 average fee for the chiropractor your seeing twice a week, Groupon can save you around $1,000 by lowering that fee to just $25.
Sign up for Medicare on time. Don’t be that woman who’s always late, especially not when it comes to signing up for Medicare. If you don’t sign up for Medicare Part B by age 65 ¼, your monthly premium increases by 10% for every 12-month period that you’re late. This means that enrolling a year late will cost you $1,000 extra after just six years. Think about all the other ways you can spend that money.
Don’t let health care costs cause you financial trouble. If you have questions about planning for health care costs in retirement, give us a call. We are happy to help you figure it all out.
Money Magazine, Hone Your Health Care, December 2017