The Real Costs of Retiree Health Care

Take the guesswork out of health care

For investors at or near retirement, health care costs are a common concern—and not surprising given what they hear in the headlines. Help your clients prepare for these expenses and feel more confident in their decisions.

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2 of top 3

spending concerns for retirees are related to health care costs1

Only 21%

of retirees with advisors receive advice on health care planning2

75%

of annual health care costs are fixed and can be planned for3

Get tools to discuss health care costs with your clients

Planning and paying for retirement health care expenses can be overwhelming for your clients. Use our program, The Real Costs of Retiree Health Care, to ease anxiety and help clients understand that these costs are manageable and can be planned for.

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Transcript

Hi. I’m Stuart Ritter, Certified Financial Planner and Insights Director at T. Rowe Price. For your clients who are in or near retirement, health care costs are a common concern. That’s not surprising given the numbers they see in the headlines. Those things imply someone will need close to $400,000 to pay for their health care expenses. Fortunately, T. Rowe Price’s proprietary research shows that the reality of paying for health care in retirement is much less daunting than what they might expect.

I’d like to invite you to our presentation on the topic, which will demystify retiree health care costs. We’ll cut through the misconceptions to provide an accurate look at what’s really going on. In the presentation, we’ll first bring the challenge down to size, focusing on the much more appropriate annual costs of health care rather than a contrived lump sum. We’ll follow the typical retiree’s health care journey showing you the actual dollars a typical retiree spends, on what, and when. Lastly, we’ll guide you on how to take action with this information and incorporate it into decisions about retirement income, Medicare, and portfolio construction.

Only one out of five retirees with advisors receive advice on health care planning. Be one of the few advisors who stand out by learning more about our program. Reach out to your T. Rowe Price contact or visit us at www.troweprice.com/advisors.

Become a trusted resource on health care costs in retirement

This content is designed to help financial professionals address clients’ anxieties and become trusted partners on their health care planning and retirement journeys.

The Real Costs of Retiree Health Care presentation

From annual spending to end-of-life expenses, help clients plan for what health care expenses in retirement actually look like.

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Program guide

Use this helpful guide of available resources to customize your program journey.

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Key takeaways handout

Help clients recall key points and strategies from The Real Costs of Retiree Health Care presentation.

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CE webinar

Earn CE credit as you explore what health care costs look like in retirement, how innovations could disrupt trends, and how to plan with clients.

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A new way to calculate retirement health care costs

Viewing retirement health care costs as an annual expense makes it easier for retirees to manage and plan for them.

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Medicare

Help your clients understand the confusing topic of Medicare, including coverage options and how and when to enroll.

Medicare handout

Help clients understand Medicare coverage options, steps to enroll, and when.


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The impact of Medicare expenses on retirement income

Learn about important Medicare rules and how income is defined to help structure retirement income sources for your clients.


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Health savings accounts

Explore the best practices and tax benefits of health savings accounts (HSAs) and learn how they can be a powerful savings tool to pay for health care costs in retirement.

How to strategically address health care with employers

As a financial professional, become credible and conversant in HSAs to guide employers toward holistic solutions.

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It’s time to include health care in a holistic retirement strategy

This handout helps employers understand the differences in health care savings options and the benefits of offering an HSA for their employees.

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Getting the most out of your HSA

From how much to contribute to considerations for investing the money, help your clients understand HSAs and take advantage of the triple tax benefit.

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Long-term care

Concerns about the cost of nursing homes, assisted care, and home health care can drive retiree spending patterns. Help clients understand the personal, financial, and planning aspects of late-life care.

11-06-2024 Long-term Care

How advisors can talk long-term care with clients

Though it’s a delicate topic, help investors better understand and plan for the risk and high cost of long-term care.

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Planning for housing and long-term care in retirement

Retirees’ lifestyle choices determine the care options available to them and their peace of mind along the way.

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877.561.7670 877.561.7670 advisorservices@troweprice.com advisorservices@troweprice.com
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1T. Rowe Price Retirement Savings and Spending Study (2024).
2T. Rowe Price Retirement Savings and Spending Study (2023).
3T. Rowe Price estimates based on 2025 Medicare premiums and data from the Health and Retirement Study (2020).

202505-4451523

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