Healthcare Could Be Your Greatest Retirement Expense. Here's a Great Way to Save for It

Once you retire, you may find that some of your living costs manage to shrink. You might, for example, spend less on housing if you manage to pay off your mortgage ahead of retirement, or if you downsize once you become an empty-nester. And you might save some money during retirement by virtue of dumping an expensive commute.

But if there's one expense that you're likely to spend more on during retirement, it's healthcare. In fact, the average healthy 65-year-old couple retiring in 2021 could spend as much as $662,156 on healthcare throughout their senior years, according to recent projections from HealthView Services. That figure accounts for general healthcare inflation as well as rising Medicare costs.

If you're worried about affording healthcare once you stop working, then it pays to allocate money specifically for that expense during your working years. And there's one account that's the ideal place to park and invest that cash.

Source Fool.com