Strategies for a successful retirement

The soaring costs of healthcare in the United States are not just a present-day burden—they pose one of the biggest threats to a secure and comfortable retirement.

A recent West Health-Gallup survey highlights how millions of Americans are already making painful trade-offs to afford medical care, with ripple effects that extend far into the future, often forcing people to delay or rethink their retirement plans.

According to the West Health-Gallup Center on Healthcare in America, roughly one-third of U.S. adults—equivalent to more than 82 million people—reported making at least one sacrifice in their daily living expenses to cover healthcare costs in 2025.

This nationally representative survey, conducted from June to August 2025 with nearly 20,000 respondents across all states and D.C., revealed widespread financial strain amid rising premiums, out-of-pocket expenses, and overall living costs.

These trade-offs include cutting back on essentials like food, utilities, or gas, borrowing money, or even stretching prescription medications by taking smaller doses or skipping them altogether.

The problem hits hardest for those without insurance: 62% reported at least one sacrifice, with 32% borrowing funds and 24% prolonging medications. Even among insured individuals, nearly 30% made similar concessions. Lower-income households felt the pinch most severely—55% of those earning under $24,000 annually made trade-offs—though the issue spans income levels, affecting even some in six-figure households.

Timothy Lash, president of the West Health Policy Center, noted a concerning trend: "We’re actually finding that people are reporting higher incidences of metabolic disease or depression and anxiety. We’re not getting healthier as a society, we’re actually getting sicker, and the healthcare cost is going up on top of it." This creates a vicious cycle where poor health drives higher costs, which in turn exacerbate financial and emotional stress.

A companion West Health-Gallup survey of over 5,600 adults (conducted October to December 2025) underscores the long-term consequences.

Many Americans have delayed major life events due to healthcare expenses in recent years, including buying a home, taking vacations, changing jobs, or pursuing medical treatments. Strikingly, nearly 9%—representing an estimated 24 million people—have postponed retirement specifically because of these costs. Twice as many delayed a job change, often staying in the workforce longer to maintain employer-sponsored insurance or income.

This delay is no small matter. Retirement is meant to be a time of financial independence and enjoyment, yet escalating healthcare expenses can force prolonged work, reduced savings contributions, or dipping into nest eggs prematurely. For many nearing retirement age, the expiration of pandemic-era subsidies under the Affordable Care Act has led to steeper premiums in 2026, compounding the issue for those on marketplace plans.

Recent estimates paint an even clearer picture of the challenge ahead. Fidelity Investments' 2025 Retiree Health Care Cost Estimate projects that a 65-year-old retiring today could spend an average of $172,500 on healthcare throughout retirement (for an individual; couples face higher totals). This figure, up over 4% from the prior year, accounts for Medicare premiums, supplemental coverage, and out-of-pocket costs, assuming no employer retiree benefits.

Other analyses, like HealthView Services' 2026 Retirement Healthcare Costs Data Report, forecast long-term healthcare inflation at around 5.8% annually—more than double the projected 2.4% average Social Security cost-of-living adjustments. For some couples, lifetime healthcare could consume 84% to over 100% of expected Social Security benefits, leaving little room for other retirement needs like housing, travel, or leisure.

These trends highlight healthcare as a "wildcard" in retirement planning. Unexpected medical issues or chronic conditions can accelerate spending, while preventive care gaps due to current affordability issues may lead to more expensive problems later.

The surveys serve as a wake-up call: healthcare affordability isn't just a working-years problem—it's a retirement killer if unaddressed. To safeguard your future:

As society grapples with rising chronic illnesses and unchecked medical inflation, these findings emphasize proactive planning. Ignoring healthcare's role in retirement could mean working longer than desired or living with financial insecurity in your later years. Start the conversation today—your future self will thank you.

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