If you want to save money on healthcare after 55, read this article!
Healthcare takes up more and more of our time and finances as we become older. After the age of 55, many people face rising medical costs, whether through out-of-pocket payments, insurance premiums, or unexpected procedures. But just because things are getting increasingly expensive by the day doesn’t mean there aren’t easy ways to save money on healthcare.
From taking advantage of insurance alternatives to looking into preventive care and reasonably priced prescription drugs, there are several methods to reduce these costs in your golden years. You can reduce short-term and long-term medical expenses thanks to flexible spending accounts (FSAs), health savings accounts (HSAs), and even simple lifestyle changes. So, if you want to save money on healthcare, here’s what you can do:
1. Maintain a healthy weight
Did you know that roughly 41% of Americans over the age of 50 are obese? As experts from the Center for Health Policy at Georgetown University say, obesity is one of the most concerning health issues in the world.
Moreover, obesity-related conditions include stroke, certain types of cancer, heart disease, and type 2 diabetes. Just imagine how expensive these treatments are. According to experts, the annual medical expenses for people with obesity are approximately $1,900 higher than those of adults with healthy weight.
2. Get preventive screenings
Prevention is always key, especially if you want to save money on healthcare in the long run. Experts recommend seniors go for preventive screenings like colonoscopies, mammograms, and prostate exams as early as possible to detect potential health issues before it’s too late.
Don’t be discouraged, because plenty of insurance plans cover these screenings after a certain age. If your plan includes them, take advantage, because they’re helpful. By monitoring your health regularly, you can identify possible problems early on, when treatment is frequently simpler and more affordable.
The Trust for America’s Health estimates that by 2030, the annual cost of treating preventable chronic diseases will increase between $48 billion and $68 billion.
3. Compare prescription drug prices
It may be easy to go with the first price you get from prescriptions, but if you want to save money on healthcare costs, you’d better look around for more affordable options. For example, experts recommend using apps such as GoodRx, which compare prices across pharmacies and highlight the options that are easier on your finances.
If you manage multiple medications, this app can be a game-changer for your budget, so check it out!
4. Choose generic medications
Medications can strain your finances, so finding easy ways to save on prescriptions is always welcome—especially if you’re taking more than one. You already know that brand-name drugs can be pretty expensive, so ask your doctor if you can switch to generic versions to save some money.
You may be lucky because generic medications often contain the same active ingredients as brand-name drugs but are a lot more affordable.
5. Review your insurance cover
How often do you review your insurance coverage? As you age, your healthcare needs change, so it’s important to ensure your insurance plan evolves with you. Review your coverage annually and consider switching to a plan that better suits your current needs, potentially lowering your monthly premiums.
6. Live a healthy lifestyle
One of the easiest ways to save money on healthcare is to live a healthy lifestyle. Move your body regularly, eat healthy foods that are both delicious and nutritious, and keep up with preventive care to help you avoid running into skyrocketing healthcare costs down the road.
You don’t have to diet or spend hours doing bicep curls or running but rather aim for 70% healthy choices and 30% treats. It will do wonders for your mental and physical health, as well as for your finances.
7. Have the proper health insurance
Do you have the proper health insurance? If the answer is yes, you’re lucky because you can save money on your healthcare in the long run. Insurance offers financial protection against catastrophic illnesses and injuries, which are more likely to occur after the age of 55, besides covering preventative care.
Treatments for major illnesses, including cancer, heart attacks, and strokes, can easily cost tens of thousands of dollars or even more. According to a research, having health insurance decreased out-of-pocket expenses for significant medical occurrences by an average of more than 80% for adults over 55. This emphasizes the financial security that health insurance offers, especially to senior citizens who may have to pay more for medical care because of age-related illnesses.
8. Pay attention to your blood pressure
According to Harvard Medical School, more than 70% of men over 55 have high blood pressure, which is defined as a reading of more than 120/80. High blood pressure can harm blood vessels over time, which can raise your risk of heart attack, stroke, er*ctile dysfunction, kidney issues, and dementia, just to mention a few symptoms.
To save money on healthcare while staying healthy, make it a priority to check your blood pressure annually. If it’s high, follow your doctor’s advice to manage or lower it—it can make a big difference in preventing costly health issues down the line.
9. Enroll in Medicare
Everyone can enroll in Medicare at the age of 65. But you may not be able to sign up. The seven-month initial enrollment period begins three months before your 65th birthday and concludes three months following that date. You may have to pay a costly late enrollment penalty for the rest of your life if you miss this opportunity, so pay attention.
To prevent fines and guarantee complete coverage and still save money on your healthcare, review your state’s regulations and enroll when it’s most convenient for you and your needs.
…Another easy way to save money on healthcare is to understand what Medicare covers. Keep reading to discover what you should know!
10. Understand Medicare
Medicare Part A takes care of hospital insurance. This plan covers inpatient hospital stays, hospice care, care in a skilled nursing facility, and even some home health care.
Medicare Part B, on the other hand, is all about medical insurance. This one covers particular doctors’ services, medical supplies, outpatient care, and also preventive services. If you need prescription drug coverage, Medicare Part D should be your go-to.
Medicare Advantage, or Part C, is a comprehensive substitute for original Medicare provided by private organizations that have been authorized by Medicare.
…If you want to learn more about Medicare and all the mistakes people usually make, check out this book!
11. Invest in healthcare savings accounts
Another way to save money on healthcare is to invest in savings accounts like Flexible Spending Accounts (FSAs) and Health Savings Accounts (HSAs). These offer you the chance to set aside pre-tax dollars for medical expenses.
Moreover, these methods can lower your taxable income, and you can invest your cash and use it for qualified medical expenses tax-free. As experts say, having an HSA in retirement is a fantastic way to stretch your income further and keep all your tax bills low.
Here’s another thing that you’ll like: one of the best things about an HSA compared to an FSA is that your money doesn’t expire—it simply rolls over into the next year, so you never lose what you’ve saved!
What are your thoughts on these easy ways to save money on healthcare? Would you implement any of these tips? We have many other suggestions to help you make the most of your income, so if you’d like to read part II, leave a comment below and we’ll take care of it sooner than you think.
Until next time, here’s another great post from Frugal Americans to check out: Avoid These 10 Unnecessary Insurance Policies
