Male Medicare beneficiaries with supplemental insurance such as Part D or MediGap will need $86,000 in savings for retirement health costs, while women in a similar situation would need on average $125,000 in retirement, because of their longer life spans. A couple with average drug and medical expenses would need about $210,000 in savings.
This nest egg would give retirees about a 50-50 chance of being able to afford their healthcare. To have a 90% chance that all healthcare costs would be affordable over the course of retirement, couples would need savings of upward of $807,000, in addition to Medicare and supplemental insurance, according to the report.
Many retirees will need even more money than these estimates because they exclude long-term care expenses and other basic living costs such as shelter and food, according to the report.
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