In retirement, personal finances and healthcare costs go hand in hand. A lack of preparation for one can expose a retiree to serious risks in the other, as illustrated by research jointly published in March by eHealth Inc., an online private health insurance marketplace, and Retirable, a platform offering products and services for retirement, investing, and financial planning.

About 520 responses to a survey from Americans 60 to 70 years old were collected. Key findings from the report include:

  • The cost of health care is the leading financial concern in retirement: Overall, 63 percent cite the costs as a top worry in retirement, ahead of running out of money (58 percent) and inflation (53 percent).
  • Worry about costs is cramping retirees’ lifestyles. Fifty-five say healthcare costs cause them to spend less than they would otherwise.
  • Only one-third have saved money specifically for health care costs:  33 percent of those currently retired saved any money specifically for healthcare costs they might face after retiring.

“Selecting the right Medicare health plan for your personal needs and budget is an incredibly important financial consideration in retirement,” said Fran Solstman, eHealth’s chief executive officer. “Affordable premiums are key, but it’s also important to look beyond premiums. By choosing a Medicare insurance plan that properly aligns with your personal health care needs, you can minimize or avoid unnecessary out-of-pocket costs.”

The survey also revealed:

  • Most don’t think their money will last through retirement. Among current retirees, only 42% believe they will have enough money to last through retirement; among those not yet retired, that figure is 29%.
  • Non-mortgage debt is a hurdle for many: Overall, 46% of respondents have non-mortgage debt; among these, nearly 80% are in debt $5,000 or more.
  • Financial scams and identity theft worry many: 73% express concern about financial fraud and identity theft; 39% have had their identity stolen or been a victim of fraud.
Keeping up with the Frank Tobey Joneses

(Pictured: Franke Tobey Jones in its early days.)

Franke Tobey Jones, a Tacoma senior living community, is celebrating its 100th year. A lot has changed in that time.

It started in 1924 in a single-family house with accommodations for 14 people and caught the eye of a neighbor, Mrs. Franke Tobey Jones, who established an endowment fund to provide income for the home. Now, the community–a 20-acre campus near Point Defiance Park–is home to 220 people.

“We are incredibly proud to commemorate this milestone in our history,” said Judy Dunn, president of Franke Tobey Jones. ” As we look ahead to the next 100 years, we remain steadfast in our commitment to enriching the lives of seniors and their families.”

As a not-for-profit organization, Franke Tobey Jones gives back to the community through programming and outreach. Its Senior University program offers weekly programs for anyone 55-plus, as does its Wellness/Fitness programs and Holistic Wellness offerings.

Throughout 2024, Franke Tobey Jones will host a series of events and community programs to celebrate with the community. More information is at https://www.franketobeyjones.com/centennial/, including a 10-decade timeline with images, resident and team-member stories, and a video history and commemorative book.

Franke Tobey Jones offers independent living, assisted living, memory care, and skilled nursing services.

Wanted: Volunteer tax preparers

Tax filing season is months away, but the local AARP Foundation TaxAide program is already seeking volunteers to help provide free tax preparation service. 

Started by a small group of volunteers in 1968, TaxAide is now the nation’s largest free, volunteer-based tax assistance and preparation program. The service isn’t limited to any specific age or income range, but it’s focused on seniors with low to moderate income.   

In the United States during the 2024 filing season, over 27,700 volunteers at 3,600 TaxAide sites helped more than 1.6 million taxpayers file accurate returns. Those returns recovered tax refunds totaling $1.2 million-plus.

In Pierce County, 2,244 returns were filed by volunteers at eight sites located in Tacoma, Puyallup, Milton, Sumner, and Buckley, according to Linda Reiter, the local district coordinator for TaxAide. 

“Many people find tax time stressful, and I love that we make it easy to file a return for free.  With more volunteers, we can do even more,” Reiter said.

Information about how to volunteer in Pierce County is available from Point Defiance-Ruston Senior Center at 253-756-0601 or by e-mail at kgray@franketobeyjones.com.

Not all volunteers prepare tax returns.  Some serve as greeters who help keep the tax preparation sites running smoothly; others provide technical or administrative support, recruit more volunteers, or translate. Every position is important to the program, said Reiter, who has been an AARP volunteer for 13 years. She noted volunteers come from a variety of backgrounds, ranging from college students to retirees.  All levels of experience are welcome.   

Training is provided, but for tax preparers, being comfortable with computers is a plus.  Volunteer training is held in December and January for the upcoming tax filing season. The amount of training depends on the position. 

Tax preparation sites will open the first week of February next year and close at the end of the filing season, typically April 15.  Depending on the position and the time a volunteer can offer, the time commitment during training and the tax filing season ranges from a few hours to as many as 40 hours per week.

Changes coming to Medicare Part D

By Kenneth Thorp
Congress recently made a number of changes to Medicare’s “Part D” prescription drug benefit. The changes were part of President Biden’s signature legislation, the Inflation Reduction Act. The legislation was intended to make it easier for seniors to afford their medicines. 

Some of the changes will indeed help seniors. But other changes could inadvertently raise seniors’ costs, reduce their access to medicines, and stifle the development of new treatments. 

With open enrollment season just around the corner — it’ll run from Oct. 15 to Dec. 7 this year — every senior should know about the Inflation Reduction Act and how it has impacted Medicare.
First, the good news. Seniors using insulin now have their costs capped at $35 each month. This has already made a huge difference for those living with diabetes.

Starting next year, seniors’ yearly out-of-pocket Part D drug costs will be capped at $2,000. Seniors will also have the option to spread these costs out over the entire year through a new program called the Medicare Prescription Payment Plan. Both of these changes can help seniors who rely on multiple brand-name medicines and are on fixed incomes. But very few enrollees are aware of this new program. Medicare could do more to alert seniors to this new feature, especially since seniors interested in this benefit will need to opt in. During open-enrollment season, seniors should consider contacting their Part D insurers if they’d benefit from spreading out their pharmacy costs.

Because of the Inflation Reduction Act, Medicare can now set prices on some covered drugs for the first time ever. Unfortunately, this policy has had some unintended effects on the development of new medicines. Thus far, it has already resulted in the discontinuation of at least 36 research programs and 22 experimental drugs. 

The Inflation Reduction Act has also resulted in higher premiums for seniors. This year, standalone Part D plans were on track to cost 21 percent more than they did last year, on average. As a result, many seniors switched to lower cost options. The number of plans available has also dropped, down about 25 percent since 2020. 

Because of the law, many insurers have also shifted some medications to non-preferred or specialty tiers that require higher out-of-pocket costs, restricting beneficiaries’ access to previously covered drugs. Some insurers have also created rules that make it harder to get the drugs your doctor recommends, like making patients first try cheaper options.

It’s important that seniors learn about these changes — and the impact they’re having on their access to medicines — before Medicare’s open enrollment begins in October. 

Kenneth E. Thorpe is chairman of the Department of Health Policy and Management at the Rollins School of Public Health at Emory University. He is chairman of the Partnership to Fight Chronic Disease.