In the past we have noted that in planning your retirement finances you need to factor in health care costs, and the need to anticipate increases. Not doing that may cause a depletion of your retirement savings that you did not anticipate. There has been some discussion about the Affordable Care Act and the indication that for the first time the U.S. Government will negotiate drug pricing for Medicare, hoping that the new law serves as a pilot program for potentially more widespread negotiated pricing. However, we still recommend that you be cautious and anticipate increases as, if the past is prologue, it could years before there are reductions in pricing that you can actually count on in your long-term budgeting. Call us if you’d like to discuss how this might apply to your forecasting during retirement. We’re always here to help.