The more grown-up you are, the more you realize the importance of good health. You can save for retirement and have a portfolio earning gangbuster returns, but if you’re sick, you won’t be able to enjoy any of the good times ahead. The smart investor knows how to use an asset-based strategy to help manage the rising cost of health care. According to the 2012 Employee Benefit Research Institute, Medicare only pays for about 60% of health care services for those who are retired, and the U.S. Department of Health and Human Services finds that 70 percent of people aged 65 today will need some form of long-term care in the future. Here are three health care investments you can make today to increase your chances for a financially fit future.
INVESTMENT #1: Take Advantage of Regular Wellness Visits
The old saying, “an ounce of prevention is worth a pound of cure” could be altered to read, “a dollar of prevention is worth a hundred dollars of cure”. This is why most health insurance plans including Medicare do NOT charge you anything for annual wellness visits. During these visits, your doctor will go from head to toe, checking your eyes, mouth, ears, nose, and vital signs including heart rate and blood pressure. They will also ask about your personal and family medical history, review any over-the-counter or prescription medication that you are taking, and check your height and weight to determine your body mass index. Routine screenings include a lipid panel screening for cholesterol and a blood sugar test that can indicate pre-diabetes. The visit will cost you about 60 minutes of your time once a year, but think of what it can save you in terms of prevention. When you make a wellness appointment with your health care provider, it means you are making your health a priority in your life.
INVESTMENT #2: Prepare Your Budget
The numbers for health care expenses keep getting more discouraging. According to the latest retiree health care cost estimate from Fidelity Benefits Consulting, a 65-year-old couple who retired in 2016 will need an average of $260,000 to cover their medical expenses. This doesn’t include the costs for long-term care, and this number is bigger than the $245,000 estimated in the previous year.Don’t let these numbers have power over your well-being and happiness. Meet these expenses head-on by planning for stable income. When you work with a financial expert, they can help you analyze your expected expenses, establish a budget, and investigate the different way your portfolio can generate reliable income. An annuity is one way you can use a portion of your portfolio to get the stable income you need so that stock market upsets don’t wreck your financial health. If you don’t know how you will get an income during retirement, contact us to schedule your complimentary consultation.
INVESTMENT #3: Take Advantage of an Asset-Based Strategy
Most people think that planning for long-term care means buying an expensive long-term care insurance policy. That may have been the only option in the past, but today’s investors have asset-based strategies that can leverage the investment dollars in your portfolio. For example, if you have a future condition you want to prepare for, today’s permanent life insurance policies can turn $1 invested into $2 or $3 paid to you to cover long-term care expenses. In the event that you don’t need the long-term care, no problem – all the money invested in the policy reverts back to your beneficiaries. Asset-based solutions can also be tailored to your preferences. For example, if planning for the income needs of a spouse is your priority, then you can leverage your $500,000 investment by turning it into a $1.5 million death benefit – payable to your spouse tax-free. Asset-based strategies offer some of the most effective solutions to the problem of long-term care, so you really owe it to yourself to see if you or your spouse qualifies. It is your health that determines eligibility, so you don’t put this off another day! Fill out our simple form or call us at (888) 440-2468 and one of our advisors will get back to you, no fees and no strings attached. Here’s to your health!