Part of improving, or maintaining, your physical and financial wellness is preparing for future needs and making plans to meet those needs.  Physically that involves keeping an eye on the food you’re eating, the calories you’re taking in, making time to exercise and getting regular checkups.  Financially it means keeping an eye on your spending, looking for ways to trim costs and boost savings, and making plans now for future financial needs including future healthcare costs.   

As you age and your family grows it becomes increasingly important to estimate, budget and save for those costs.  Healthcare costs have been rising faster than the rest of the U.S. economy for many years.  An estimated 50 million people younger than 65 year old live in families that spend more than 10 percent of their family income on healthcare.  In addition out-of-pocket payments are increasing which, in turn, are creating real financial worries for families and forcing them to make some difficult financial choices.  A 2003 Health Confidence Survey found that Americans who have experienced financial stress due to medical bills reported that because of their healthcare costs they have:

• spent less than usual on other items (69% of those surveyed)
• had difficulty paying other bills (49%)
• used up all or most of their savings (36%)
• borrowed money or gotten a loan or another mortgage on their home (22%)
• been unable to pay for basic necessities like food, heat, or housing (21%)
• declared bankruptcy (6%)

The good news is that there are ways to anticipate, budget and save for, and lower or manage your healthcare costs.