Health care costs can strain your budget in retirement. In fact, Fidelity estimates that a typical retiree will need about $172,500 to cover their medical expenses. Therefore, you should do everything you can to manage healthcare expenses – beginning with the right Medicare coverage.
Unfortunately, the costs and coverage of your Medicare supplement or Medicare Advantage Plan can change from year to year. That’s why it is important to review your plan annually to ensure it provides the coverage you need at the lowest possible cost.
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Transitioning to Medicare and What’s New for 2026
When: Tuesday, November 18th, 6:00 – 7:30 PM CST
Where: Birmingham Botanical Gardens
Speaker: Patricia L. Burris, CFP®
This event will cover the most important aspects of Medicare, including enrollment and important updates for 2026.
Review Your Medicare Plan Annually for Important Changes
During Medicare open enrollment – October 15th to December 7th, 2025 – you can make changes to your coverage for the following year. You will automatically continue with your current plan if you don’t update your plan during this period.
During open enrollment, your insurer will send you documentation detailing any changes to coverage and costs for the following year. You should review this information carefully, paying close attention to changes in your provider networks and drug coverage.
Your In-Network Doctors, Prescription Coverage, and Costs Could Have Changed
If you have a Medicare Select or Medicare Advantage plan, you may be subject to a list of “in-network” and “out-of-network” doctors. These lists can change each year depending on negotiations between medical providers and insurance companies.
Medicare Part D and the prescription drug coverage offered by Medicare Advantage plans can also change from year to year. You could even find that your medications or preferred pharmacy are no longer covered by your plan.
Check your updated coverage information to ensure your doctors and pharmacies remain in-network and your out-of-pocket costs remain manageable. You could find that you need to choose a new doctor, discuss alternative medications with your provider, or choose a new Medicare plan that offers the coverage you need.
Ensure You Have the Right Medicare Plan for Your Situation
While reviewing changes to your Medicare plan, you should also verify that your plan meets your needs at the lowest possible cost. Competing insurers can charge different premiums for the same policies, so it can be a good idea to shop for rates each year. This can help you minimize your costs without sacrificing coverage.
It’s also wise to review your overall Medicare strategy each year to ensure you have the right plan for your situation. Your needs will change over time, so you could be lacking necessary coverage or paying for services you don’t need. These changing circumstances along with adjustments to your coverage could prompt you to choose a different plan during open enrollment.
Before making changes to your Medicare plan, review your options with an experienced financial advisor. This professional can help you balance out-of-pocket costs with monthly premiums and ensure that you are covered for the services you use most frequently.
Get Your Medicare Questions Answered by the Team at Meld Financial
When you have questions about your Medicare options, turn to the team of tax, legal, and investment professionals at Meld Financial. Our decades of retirement planning experience allows us to provide guidance surrounding the Medicare plan that matches your budget and needs.
Our comprehensive wealth management program, Financial Fingerprint®, includes a thorough review of Medicare and Social Security. This nimble plan also encompasses the most important aspects of your financial life to help secure your financial future.
To review your Medicare coverage and get started with Financial Fingerprint®, contact us today.