If you’re thinking about moving to a different state, it’s important to consider how your health care costs could change depending on where you end up. The average cost for Medicare, Medigap and nursing homes could become cheaper, or more expensive.
The following two maps of the United States illustrate the average cost for each based on state. On one level, the cost of Medicare and comprehensive Medigap plans varies from state to state.
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Source: JP Morgan Asset Management. SelectQuote, 2013. Traditional Medicare costs are based on national average cost estimates for Medicare Parts A, B, D and Medigap Plan F. Vision, dental and long-term care expenses are not included. Not shown on the chart: costs for Medicare Advantage. Medicare Advantage costs may vary from less than $500 per year to more than $10,000 per year. Data for Alaska and Hawaii not available.
On another level, the cost of nursing home care can vary greatly from state to state, and if looked at on an annual basis can also be rather costly:
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Source: JP Morgan Asset Management. New York Life Insurance 2014 Cost of Care Survey developed in partnership with Univita. Average daily costs annualized over 365 days and weighted by city population for each state.
Working with your financial advisor to make sure your investment plan factors in the possibility of rising expenses is crucial. If you can say today that you’re unsure whether part of your retirement plan addresses this need, we’d encourage you discuss it with your financial advisor right away. It’s an important consideration that matters to just about everyone.
One of our Wealth Managers can help you plan for healthcare costs during retirement, while projecting how those costs may rise over time.
Call us today at 1-800-541-7774, or get started now by answering a few questions here.