Get more out of Medicare

Here’s a shocker: A 65-year-old couple retiring today will spend an average of $295,000 out of pocket on health care throughout their retirement, according to Fidelity — and that excludes long-term care. That’s the bad news. The good news is that retirees can keep health care costs down by making the most of Medicare.

A vital thing to know about Medicare is that enrolling late can leave you paying inflated premiums for the rest of your life. So starting a few months before you turn 65, look into enrolling. Most people get enrolled automatically if they’re already receiving Social Security benefits during their enrollment period, but don’t assume you’re safe — double-check.

One good way to keep your lifetime health care expenses down is to be as healthy as possible. If you need to, lose weight. If you’re not already eating nutritious meals and minimizing junk food, get started. Medicare coverage includes a free wellness visit with your doctor once a year, so be sure to schedule that. Many important screenings are also free; these include mammograms and colonoscopies, and screenings for prostate cancer, heart disease, depression, hepatitis C, alcohol misuse, HIV, sexually transmitted infections, diabetes and osteoporosis. Take advantage of all the preventive care you can, as any problems found early can usually be dealt with less expensively, and treating them may lengthen your life as well.

Note that Medicare comes in several varieties: “Original Medicare” is made up of Part A and Part B, which respectively cover hospital and medical services; many enrollees also sign up for Part D (prescription drug coverage) and/or supplemental Medigap plans. If you’re opting for Original Medicare, be sure to study prescription drug plans and supplemental plans available to you, and choose whichever ones will serve you best. Review your options each year, in fact, as one plan may suddenly become more attractive — perhaps because your medications change.

As an alternative to Original Medicare, you might opt for a Medicare Advantage plan (sometimes referred to as Part C). We’ll cover Part C plans next week.