Taking Medications in Retirement

Post by: Valley Financial Group & Billy Wolfe Jr.

For those who either plan to retire soon or have just recently retired, money and financial security may be of the highest priority. Paying for the necessities is a topic that you, your family, and a financial professional have most likely gone over and over and over, but one essential item's prices have skyrocketed to the point of concern for those who have been saving for retirement their entire life. Despite an inflation rate of only 1% in the year 2016, prescription drug prices rose by almost 10% in that 12-month period, the third year in a row with at least 10% increase. https://www.google.com/amp/amp.timeinc.net/time/money/4406167/prescription-drug-prices-increase-why/ 

Since many medications are literally needed in order to survive in many cases, patients will continue to pay ludicrous amounts for their medication, and so the prices may well continue to increase in this manner. Some Medicare plans, the most prominent of which is Part D, does little to nothing to aid in paying for prescription medication. With a basic premium of $32.50 on average, patients can rack up almost $400 additionally per month to pay for only two or three medications. So with prices rising and payments going through the roof, how can we save for retirement when we know this steady increase is inevitable? Firstly, talk to a financial professional team (Hopefully, that would be Valley Financial Group) to make sure your financial plan has a blue print to hedge against the rising price of goods like medicine and food throughout your retirement. Secondly, review your Medicare or insurance plan every year, particularly which medications are covered, as different drugs are covered on different plans, because being uninformed as to coverage could put a serious dent in your wallet. So be in the know when preparing for retirement, and stay on top of your health care plan and the ever changing world of coverage and medication costs. Your bank account will definitely be grateful.