But as the good times roll for active workers, companies are cutting medical coverage for their retired workers, the ones who most need the safety net. Facts on Medical Savings Accounts Consult your tax adviser about your eligibility and restrictions. Eligible expenses include office visits, hospital care, dental and glasses.
Unspent money continues to build tax free for future medical expenses or retirement.
Only 28 percent of large employers provided health care to retired workers over 65 last year, and only 35 percent provided it to retired workers under 65, according to a Mercer survey. And the future looks even bleaker, with some companies offering access to coverage but no longer subsidizing it and others eliminating it altogether, the experts say. The first step is to become more educated about health-care choices and how to shop for it. Then take action. If you are in your 50s, check out medical savings accounts.