The Last Five Years Of Life Might Cost Us The Most

Most retirees know they'll spend more on health care as they age, however, a new study suggests the last five years of life are doomed to put the biggest strain on their wallet and Medicare won't be enough to cover it.

A report in the Journal of General Internal Medicine surveyed 3,209 Medicare beneficiaries between 2002 and 2008 and found they spent more out-of-pocket in the five years prior to death that at any other point in their lives.

Factoring out-of-pocket co-payments and deductibles, researchers found 25 percent of seniors spend more on home care, long-term nursing and assisted living combined than they do on non-housing assets. (via Health News).

And in examining out-of-pocket costs spent annually, they saw individuals spent $38,688 on average, while couples shelled out $51,030 when one of the spouses died. Ten percent of Medicare beneficiaries spent at least $89,000 out-of-pocket, while 5 percent spent more than $139,000. Finally, eleven percent of single and 9 percent of married households spend more than $100,000, while 75 percent spent more than $10,000.

More