Where should I put my health care savings?
- When I retire, can I keep the health plan I have now?
- What is COBRA?
- What if I retire and have no health plan?
- How much will health insurance cost me in retirement?
- Where can I purchase individual health coverage?
- Does my spouse need a separate policy when I retire?
- What if I can't get individual coverage?
- How can I keep my health costs down in retirement?
- Where should I put my health care savings?
- How does a Health Savings Account (HSA) work?
- Who can participate in an HSA?
- What is Medicare?
- Who pays for Medicare?
- What is Medicare Part A?
- What is Medicare Part B?
- What is Medicare Part C?
- What is Medicare Part D?
- What is Medigap insurance?
- Which Medigap policy should I buy?
- What is Medicaid?
- What does Medicaid cover?
First, max out on any and all tax-deferred retirement savings plans for which you're eligible, such as 401(k)s or IRAs. The standard annual maximum contribution to a 401(k) is $15,500 in 2008. But if you are at least 50 years old, you can turbocharge your account by adding $5,000, so your 2008 maximum will be $20,500. The same idea applies with IRAs. The standard maximum annual contribution is $5,000 in 2008. If you are at least 50 years old you can stash away an extra $1,000 a year for a max of $6,000 in 2008.
Do it. And make sure you check back with your benefits office every fall; the annual contribution limits are set by the federal government and adjusted for inflation. So there's a good chance you may be eligible to invest even more in 2009 and beyond.
Once you have stuffed your tax-deferred accounts to their annual limits, consider adding a Health Savings Account (HSA) to your investing lineup.
