Retirement calculators focus on withdrawal rates and interest on investments but fail to identify one of the biggest costs of retirement—the cost of health care.
Retirees should be more concerned about how much money they have saved for health insurance premiums and out-of-pocket costs in retirement, an Employee Benefits Research Institute report said.
A couple with 90th percentile drug expenses could need up to $349,000 in savings in order to have a 90 percent chance of covering their retirement health care expenses, EBRI said.
