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10 expensive Medicare costs that catch retirees off guard

Many people assume Medicare will cover most of their health care costs in retirement. While it’s a valuable program, there are significant gaps that can catch retirees off guard. If you’re not prepared, these expenses can take a serious bite out of your savings.

Here are some of the most common hidden Medicare costs and tips to help you prepare.

1. Hearing aids and exams are not covered

Roughly 63% of adults over 70 have some level of hearing loss. Yet, Medicare does not cover routine hearing exams or hearing aids, which can cost up to $7,000. Some Medicare Advantage plans include hearing benefits, and FDA-approved over-the-counter options are also available.

2. You’ll pay for most vision care

Original Medicare does not cover routine eye exams, glasses, or contact lenses. Cataract surgery is an exception, but annual eye care can still cost hundreds. Medicare Advantage plans with vision coverage or low-cost retailers like Costco can help.

3. Routine dental care comes out of pocket

Dental health is essential to overall health, but Medicare doesn’t cover routine dental work. Cleanings, fillings, crowns, and dentures are your responsibility, with a single crown costing as much as $2,500. A Medicare Advantage plan with dental benefits or a stand-alone dental insurance policy can reduce costs.

4. In-home care is limited

Medicare covers in-home care only when it’s medically necessary and prescribed by a doctor. Custodial care, such as bathing, dressing, or cooking, is not covered. These services can average $43 per hour, so it’s wise to plan for potential expenses.

5. Some doctors may charge more than Medicare allows

If a provider does not accept Medicare as full payment, they can charge up to 15% more than the Medicare-approved amount. To avoid higher bills, choose participating providers.

6. Late enrollment penalties can be permanent

Delaying Medicare Part B or Part D enrollment can lead to lifetime penalties. For Part B, the penalty is 10% for every 12 months you delay. For Part D, it’s 1% per month based on the national base premium.

7. High-income retirees may face higher premiums

Medicare adds surcharges to Part B and Part D premiums for higher-income individuals through the Income-Related Monthly Adjustment Amount (IRMAA). In 2026, some could pay up to $689.90 per month for Part B alone.

8. Medigap premiums add up

Medigap helps cover costs that Original Medicare does not, but premiums can go from $100 to $300 per month, varying by plan. Shopping during your open enrollment period and reviewing plans annually can help you save.

9. Long-term care is generally not covered

Medicare does not cover custodial long-term care, such as assisted living or nursing homes, which can average $10,965 per month. Planning ahead with long-term care insurance, hybrid life insurance, or dedicated savings is key.

10. Travel abroad isn’t covered

If you plan to travel internationally, Medicare usually will not cover medical expenses outside the U.S. Purchasing foreign travel insurance can protect you from high overseas medical costs.

Bottom line

Medicare is a critical part of retirement planning, but it doesn’t cover everything. Understanding these gaps now can help you budget more effectively, avoid money mistakes, and protect your savings for the long term.

From FinanceBuzz Money

RFK Jr. threatens to pull Medicare payments from hospitals serving Jell-O

The Department of Health and Human Services has issued a directive to hospitals, urging them to adopt new dietary guidelines that restrict sugary and ultra-processed foods for patients.

Health Secretary RFK Jr. said in a press conference last month that the agency wants hospitals to “align their food purchases with the dietary guidelines in order to enjoy continued eligibility for Medicaid and Medicare payments.”

“We shouldn’t be giving people … who are sick Jell-O and Cheerios and rubber chicken and sugar drinks,” he said in a video posted by Mo News. “The most important tool of medicine today is good food.”

Despite the administration’s firm stance, experts are questioning the legality of the move. Lawyers and dietitians told CBS News that it’s unclear how the HHS would be able to enforce its threat without going through a formal rulemaking process.

“Most of this is political theater. HHS doesn’t have the power to do much,” Kevin Klatt, a dietitian and research scientist who is an assistant professor at the University of Toronto, told the media outlet. “Also, if it’s to the point that you’re trying to control people’s choices, well, you look a little fascist.”

Calley Means, one of Kennedy’s top advisors, share a post on X earlier this month, asking members of the public to report hospitals that serve sugary drinks to the Centers for Medicare and Medicaid Services.

“If a hospital is serving patients sugary drinks, they are out of compliance with government standards and are putting their reimbursements in jeopardy,” Means wrote.

From Mass Life