Retirement Savings Goal Calculator
Free retirement savings goal calculator. See how much you need to save each month to reach your retirement nest egg target using the 4% rule and inflation-adjusted projections.
Retirement Healthcare Cost Calculator
Free retirement healthcare cost calculator. Estimate lifetime medical expenses including Medicare premiums, Medigap, Part D, and out-of-pocket costs with medical inflation projections.
Historical avg: 5-7%
%
%
If retiring before 65
$
2026 standard: $202.90/month
$
$
$
Dental, vision, copays
$
Estimated Lifetime Healthcare Cost
$328,108.00
Present value: $178,913.00 | 20 years in retirement
First Year Cost⧉
$9,923.00
$827.00/month at age 65
Final Year Cost⧉
$25,075.00
$2,090.00/month at age 84
Cost Growth⧉
2.5x
5% annual inflation
Present Value⧉
$178,913.00
Discounted at 4%
Year-by-Year Healthcare Cost Projection
| Age | Part B | Medigap | Part D | OOP | Annual | Cumulative |
|---|---|---|---|---|---|---|
| 65 ★ | $3,107.00 | $2,450.00 | $536.00 | $3,829.00 | $9,923.00 | $9,923.00 |
| 66 | $3,263.00 | $2,573.00 | $563.00 | $4,020.00 | $10,419.00 | $20,342.00 |
| 67 | $3,426.00 | $2,702.00 | $591.00 | $4,221.00 | $10,940.00 | $31,282.00 |
| 70 | $3,966.00 | $3,127.00 | $684.00 | $4,887.00 | $12,664.00 | $67,494.00 |
| 75 | $5,062.00 | $3,992.00 | $873.00 | $6,237.00 | $16,163.00 | $140,972.00 |
| 80 | $6,460.00 | $5,094.00 | $1,114.00 | $7,960.00 | $20,629.00 | $234,749.00 |
| 84 | $7,852.00 | $6,192.00 | $1,355.00 | $9,675.00 | $25,075.00 | $328,108.00 |
★ = Medicare starts | * = Pre-Medicare coverage (ACA/COBRA)
Lifetime Cost by Medical Inflation Rate
| Inflation | Lifetime Cost | Present Value | |
|---|---|---|---|
| 3% | $242,186.00 | $135,378.00 | |
| 4% | $281,678.00 | $155,496.00 | |
| 5% ← | $328,108.00 | $178,913.00 | |
| 6% | $382,733.00 | $206,199.00 | |
| 7% | $447,038.00 | $238,026.00 | |
| 8% | $522,772.00 | $275,179.00 |
Uses 2025 Medicare premiums as baseline. Does not include long-term care, IRMAA surcharges, or dental/vision unless added to out-of-pocket. Actual costs vary by location and health status. Consult a financial advisor.
Planning notes, formulas, and examples
About the Retirement Healthcare Cost Calculator
The Retirement Healthcare Cost Calculator estimates total medical expenses from retirement through life expectancy, accounting for Medicare premiums, supplemental insurance, prescription drug coverage, and out-of-pocket costs with medical inflation.
Healthcare is often one of the largest and least predictable retirement expenses. Costs vary widely based on health status, coverage choices, geography, and longevity. Even before long-term care enters the picture, Medicare premiums, Part D coverage, supplemental insurance, and recurring out-of-pocket costs can absorb a meaningful share of a retirement budget.
This calculator projects annual and lifetime healthcare spending so you can plan savings, HSA use, and insurance choices with a dedicated healthcare line item rather than burying those costs inside a general retirement-spending estimate.
When This Page Helps
Medical costs consistently rise faster than general inflation (5-7% historically vs 2-3%). Many retirees underestimate healthcare expenses because Medicare covers only about 80% of Part B services. Medigap, dental, vision, hearing, and long-term care are additional costs that add up significantly over a 20-30 year retirement. Using this calculator ensures these expenses are included in your overall retirement plan.
How to Use the Inputs
- Enter your age and expected retirement age.
- Enter your life expectancy (or use the default).
- Set annual out-of-pocket and supplemental insurance costs.
- Adjust the medical inflation rate (default 5%).
- Review the year-by-year healthcare cost projection.
- See the total lifetime cost and present value.
- Use the results to set your healthcare savings target.
Formula used
Annual Cost = Medicare Part B + Medigap + Part D + Out-of-Pocket
Each component grows at the medical inflation rate annually
Lifetime Cost = ∑ Annual Cost from retirement age to life expectancy
Present Value = ∑ Annual Cost / (1 + discount rate)^yearExample Calculation
Result: Lifetime cost: ~$387,000 (present value: ~$240,000)
Starting at age 65 with the example Medicare assumptions above, annual cost begins at about $7,560. With 5% medical inflation over 20 years, costs reach about $19,000/year by age 85. The sum totals approximately $387,000 in nominal dollars, or about $240,000 in present value at a 4% discount rate.
Tips & Best Practices
- Max out an HSA before retirement if available — it's triple-tax-advantaged for medical costs.
- Medigap Plan G is often the best value: covers nearly all gaps except the Part B deductible.
- Medicare doesn't cover dental, vision, or hearing — budget $1,000-$3,000/year for these.
- Long-term care is NOT covered by Medicare and can cost $60,000-$120,000/year.
- If you retire before 65, budget $500-$1,500/month for ACA marketplace coverage.
- Consider a higher-deductible Medigap plan if you're healthy to lower premiums.
The Healthcare Cost Crisis in Retirement
Healthcare costs are the single largest variable expense in retirement planning. Unlike housing or food, medical expenses tend to increase sharply with age and are subject to medical inflation that far outpaces general price increases. A couple retiring at 65 may spend $300,000-$400,000 on healthcare over their lifetime.
Medicare Coverage Framework
Medicare Part A covers hospital stays (mostly free). Part B covers doctor visits and outpatient care ($202.90/month standard premium in 2026, 20% coinsurance). Part D covers prescription drugs, with premiums varying by plan. Medigap supplemental insurance fills the gaps in Part B coverage. Medicare Advantage (Part C) bundles everything with different cost structures.
Pre-Medicare Gap
Retirees between 55 and 65 face the most expensive healthcare years. Without employer coverage, ACA marketplace plans or COBRA are the primary options. Careful income management can help qualify for ACA subsidies: keep modified AGI under 400% of the federal poverty level for premium tax credits. This is another reason Roth accounts are valuable — Roth withdrawals don't count as income for ACA subsidy calculations.
Sources & Methodology
Last updated:
Methodology
This worksheet projects retirement healthcare costs year by year, separating the pre-Medicare years from Medicare-eligible years and then inflating the selected annual cost assumptions over the retirement horizon. It is a planning aid, not a quote for insurance premiums or a guarantee of future medical inflation.
Sources
- 2026 Medicare Parts A & B Premiums and Deductibles (CMS) — Official 2026 Medicare Part B premium and deductible amounts.
- Medicare & You 2026 (Medicare.gov) — Official consumer guide for Medicare coverage, Part D, and supplemental-cost context.
- CPI Inflation Calculator (BLS) — Official U.S. inflation reference used for long-run cost escalation context.
Frequently Asked Questions
For 2026, the standard Medicare Part B premium is $202.90/month and the annual Part B deductible is $283. Part D varies by plan, and many retirees also buy Medigap (supplemental) insurance at a plan- and location-specific cost.
Medicare does not cover dental, vision, hearing aids, most long-term care, overseas medical emergencies, or cosmetic procedures. Part B also has a 20% coinsurance with no out-of-pocket maximum, which is why Medigap is important. These gaps can add $2,000-$5,000/year in additional costs.
Medical inflation measures the annual increase in healthcare costs. Historically, medical inflation has averaged 5-7% per year, roughly double the rate of general inflation. Medicare premiums, drug costs, and out-of-pocket expenses all tend to increase at this rate. Even at 5%, costs double roughly every 14 years.
If you retire before 65, you need bridge coverage. Options include: COBRA (18 months, expensive), ACA marketplace plans (subsidies available based on income), spouse's employer plan, or health-sharing ministries. Budget $500-$1,500/month per person for pre-Medicare coverage.
About 70% of people over 65 will need some form of long-term care. Nursing homes average $95,000-$115,000/year. Long-term care insurance, self-insurance, or hybrid life/LTC policies are the main options. This calculator focuses on routine healthcare but long-term care should be planned separately.
Fidelity estimates $315,000 for a 65-year-old couple. For a single person, plan for $150,000-$200,000. These figures exclude long-term care and dental/vision. If you retire early, add $12,000-$18,000 per year of pre-Medicare coverage.
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