BOSTON (AP) — New retirees can expect to pay 4 percent more to cover medical bills after their working lives are over than those who retired a year ago. That's according to the latest annual projection released Wednesday by Fidelity Investments.
The estimated $240,000 that a newly retired couple will need marks a return to the typical pattern of projected annual increases. Fidelity cut the estimate for the first time last year, citing prescription drug cost savings for seniors from President Barack Obama's health care overhaul.
But Fidelity says overall health care cost trends are on the rise again, so it's raising its cost estimate from last year's $230,000 figure.
The study is based on projections for a 65-year-old couple retiring this year with Medicare coverage.