You have arrived. You’ve built, innovated, and conquered. Perhaps you’ve had a successful exit from your tech startup, or your entrepreneurial ventures have simply afforded you the opportunity to write your own rules for retirement. Congratulations!
Maybe you’re in your 40s or 50s, and excited by the potential to live in a world no longer dictated by corporate schedules or the traditional path to Medicare at 65. It’s the ultimate goal, right?
Early retirement. Freedom.
But there’s one looming question that often dampens the excitement of early freedom: “What about health insurance?” For years, your employer-sponsored plan likely provided a comforting safety net. Now, suddenly, you’re the CEO of your own health coverage, and the landscape can seem daunting.
You’re not alone; and no, you don’t have to stay in the corporate game JUST for the benefits. At Advanced Benefit Solutions, we specialize in crafting personalized health insurance solutions that empower early retirees like you to live the life you’ve earned, without compromising your well-being or breaking the bank.
You don’t have to stay tied to a corporation or wait until you’re 65 to create the life you truly desire.
The Myth of Being Trapped
The Key to Early Retirement? Plan Ahead
Retiring early requires more than just aggressively saving or a windfall from the sale of a business. It takes intentional planning across many categories of your life.
Traditional retirement planning is all about making sure you don’t outlive your money; retiring early just means you’ll have a longer period of time to plan for which can be a bit more involved. You also have to consider key services like healthcare which are often tied to employment in the United States.
Think about these things when planning for an early retirement:
1. Plan for a Longer Retirement
Where most traditional retirements might plan for 20 years without a paycheck, you should be prepared to build a strategy for 40+ years.
2. Tax Strategy
Consider Roth conversions for your IRA and be aware of penalties for early withdrawals from retirement accounts.
3. Diversify Account Types
Taxable brokerage accounts are a good option for access to funds without penalties at any age. Roth IRAs and Roth 401(k)s also mean you can take contributions tax-free. Do what you can to have control over taxes and cash flow in retirement – meeting with a qualified financial advisor might be a good idea.
4. Time Social Security
Remember, you can’t claim Social Security until 62, and claiming early reduces your monthly benefit for life. Consider building a bridge to get you from now until full retirement age, or even age 70, to maximize benefits.
5. Don’t Forget Long-Term Care Planning
You’re young and healthy and probably decades away from ever needing it, but the earlier you consider LTC insurance, the lower the costs and the more options you have.
Unpacking Your Health Insurance Options: Beyond the Corporate Veil
One of the most overlooked challenges of retiring in your 40s or 50s is how to cover health insurance before Medicare kicks in at age 65. This period is sometimes referred to as the “Medicare gap,” and can span a decade or more. Don’t drain your savings!
Here’s the thing: navigating this landscape on your own, or through a giant like the ACA Marketplace, can leave you frustrated and stuck with the wrong plan.
Unlike call centers, government exchanges, or singular carriers, Advanced Benefit Solutions provides personalized guidance to help you find a plan that actually fits your life. You’ll get:
- One-on one support from experienced professionals (not bots or scripted representatives!)
- Access to EVERYTHING: ACA plans, private insurance options, and even outside-the-box options. It’s so much more than what is listed on the federal site.
- Help optimizing your choices based on your income, prescriptions, doctors, travel habits, and more. Trust us, this makes a big difference!
- Strategies for maximizing subsidies or reducing taxable income to make coverage more affordable.
What about COBRA? Often this is expensive and temporary. If you’re leaving a current job, you might be able to extend your employer’s plan for 18-36 months. We’ll help you evaluate whether COBRA is worth it, or if you’re better off transitioning to a more affordable plan sooner.
ACA Marketplace? You can DIY, but should you? These plans are income-based and may work well if you have lower taxable income (this could be the case if you’re living off savings or Roth assets!) or if you need comprehensive coverage with no pre-existing condition exclusions.
However, the application process can be confusing and not all available plans or provider networks are shown. And once you sign up, you’re usually stuck in a call center maze if you need help.
Advanced Benefit Solutions can help you apply for these plans if we find the right one, but we’ll give you real human support and insight.
Contact Us
If you’re retiring early and starting to plan, you definitely need a team on your side to help ensure you’re covered until that magic age of 65. The best part? We can help with long-term-care too. Let us show you what real customer support looks like, and you’ll actually enjoy the process of getting health insurance (we promise!)
Reach out at abenefitsolutions.com/contact or call us at (512) 291-9300 to schedule a consultation.