Retirement rainy day (illness) fund

[Dave Hess]

For those already retired, outside of what you need for normal living expenses, who much do you have set aside for unexpected medical costs? I have a good Medicare Advantage Plan but I am sure it does not cover everything that might possibly happen? I am thinking $100K per person?

One year of gross pay saved should be the bare minimum.

 

[ARCOgraphite]

You can keep type F if you have it but it cannot be purchased by others anymore. Your best choice in Medigap is now Type G.

Have you read about plan N?

G is getting to be mucho dinero in many states.

 

[Nick1994]

My grandparents have all passed, but with Medicare Advantage plans they had very little out of pocket medical costs. Like a few hundred bucks here and there max.

My maternal grandmother was in the hospital every month or so for a long time. Small bills here and there.

My paternal grandmother had an awful injury with an expensive surgery and 5-6 weeks in the hospital before she passed away. I’m sure in the millions. Maybe $600 out of pocket?

Where you need the money is for Long Term Care for when you are unable to care for yourself. Unless you have insurance specifically for that.

 

[Dave Hess]

Yep.

Had a relative that was in the hospital for 3 months and 2 surgeries with ICU stay for a month….. total bill was $3.3M. Luckily they had a excellent heath insurance and really no worries.

Long Term Care is very important if person needs assistance for rest of their life.

 

[Donald]

My grandparents have all passed, but with Medicare Advantage plans they had very little out of pocket medical costs. Like a few hundred bucks here and there max.

My maternal grandmother was in the hospital every month or so for a long time. Small bills here and there.

My paternal grandmother had an awful injury with an expensive surgery and 5-6 weeks in the hospital before she passed away. I’m sure in the millions. Maybe $600 out of pocket?

Where you need the money is for Long Term Care for when you are unable to care for yourself. Unless you have insurance specifically for that.

My Mom went to a memory care place and then to a nursing home for Alzheimer's. The long term care covered 12 or 18 months. But between the memory care and nursing home it was probably 4 years of care she needed. So I cannot say the long term care coverage provided all the care she needed. Far from it.