Lending Club Blog

Retirement Healthcare Costs

On March 5th, Fidelity Investments [fidelity.com] released the results of the company’s study on the costs of retirement. The conclusion was that a 65-year-old couple retiring this year would need $225,000 to cover healthcare costs.

What makes this number even worse (it’s up 4.7% from last year) is that retirement savings have to go to more than just healthcare. Rising life expectancy also means that other costs, like food and housing, will require more savings in retirement as well. The study included costs for Medicare premiums, co-payments, deductibles, and prescription costs not covered by Medicare.

The good news is that not everyone will face such high costs. The study assumed that the couple did not have retiree health insurance from a former employer. Some people, particularly those who worked in the public sector, do have such benefits. The only other good piece of news is that this year’s increase (4.7%) is less than the average increase (5.8%) since the study began in 2002.

As part of the release, Executive Vice President of Fidelity Investments Brad Kimler said, “With health care costs continuing to outpace wage increases and companies trimming retiree health benefits, financing health care has to be central to retirement planning. Given current economic conditions, this is especially true for those planning to retire in the next few years or before they qualify for full Social Security or Medicare benefits.”

These latest results stress the importance of proper retirement planning. Gone are the days when fat pension checks and benefits for life were the norm. Taking personal responsibility for your retirement isn’t just a smart option; in many cases it’s the only option. If credit card debt is getting in the way of fully funding your retirement accounts, get rid of it quickly by consolidating with a person-to-person loan from Lending Club. Your ailing future self will certainly appreciate it.

Thursday, March 27th, 2008 at 6:13 am

Comments (0)

Recommended

Welcome Home

Lending Club named #5 on Forbes’ Most Promising Companies List

Get ready for tax season with Lending Club’s Tax Form Guide

New Adjusted Return Metric

See more
Lending Club Awards
  • Archives z

Recent Posts

Welcome Arkansas, Iowa, and Oklahoma Investors!

We recently welcomed residents of Arkansas, Iowa, and Oklahoma… Read More »
July 14, 2015

Renaud Talks Marketplace Lending on Jo Ann Barefoot’s Podcast

This week, CEO Renaud Laplanche… Read More »
June 24, 2015

Lending Club Teams Up with Sam’s Club to Deliver Small Business Financing

Read More »
June 8, 2015

New Lending Club TV Commercial Makes its Debut!

Last week we began testing a new TV commercial showcasing… Read More »
May 26, 2015

Lending Club Honored with Entrepreneurial Company of the Year Award from Harvard Business School Association of Northern California

Read More »
May 15, 2015

Renaud Talks to Jim Cramer

A few months ago, Jim Cramer remarked that he… Read More »
April 15, 2015

Lending Club 2 – Back in the Race

We’re excited to see Renaud back at the helm!… Read More »
March 26, 2015

Lending Club Store’s Grand Opening

We were thrilled at the support we received from… Read More »
March 20, 2015

LendIt is just one month away!

Congratulations to the LendIt team, who rang the opening… Read More »
March 13, 2015

Nearing Retirement – How an IRA Can Help

An Individual Retirement Account (IRA) can help you prep… Read More »
February 25, 2015

2014

We went public today!

Ringing the bell this morning at the New York… Read More »
December 11, 2014

New and Improved Statistics Page

We recently redesigned our Loan Statistics page to make… Read More »
November 13, 2014

Lending Club Honored with Economist Innovation Award

This month I was honored… Read More »
October 15, 2014

Welcome Vermont Investors!

Today, we’re thrilled to welcome residents of the state… Read More »
September 4, 2014

We filed to go public today

We filed a registration statement with the SEC today… Read More »
August 27, 2014

Our Billion Dollar Quarter

We’re excited to announce  that we’ve facilitated over $5… Read More »
July 8, 2014

Is Lending Club Available in My State?

Is Lending Club available in my state? That is… Read More »
July 7, 2014

Lending Club Joins Senator Cory Booker to Discuss Improving Access to Capital for Small Businesses

Read More »
June 20, 2014

Lending Club Named a CNBC Top 50 Disruptor for a Second Year

For the second year in… Read More »
June 17, 2014

PRIME is now Automated Investing

Lending Club is excited to announce that PRIME has… Read More »
May 14, 2014
View All w