This retired Georgia couple’s ACA premium doubled to $39,000 a year after subsidies ended. How to plan for higher costs

The higher perceived risk in today’s Marketplace also drove premiums up by 21.7% in 2026, compared with the more predictable annual growth of 2% (6).

And people in Brockway and Padula’s age bracket are in the most expensive zone. ValuePenguin found that average 2026 ACA premiums for individuals in this range climb from $1,598 to $1,766 between 60 and 64 (8).

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How to plan for pricier healthcare premiums

When planning for retirement, you have to expect that healthcare costs will take out a big chunk of your cash flow. That’s particularly true if you’re trying to retire before qualifying for Medicare, like Brockway and Padula.

Western & Southern Financial Group estimates healthcare is one of the biggest expenses retirees face — second only to housing. The firm projects someone retiring at age 65 may need roughly $165,000 saved to cover health care costs throughout retirement.

Also, keep in mind that healthcare costs tend to rise faster than inflation.

There’s no getting around the fact that planning for higher healthcare expenses is essential. That’s why standard strategies like projecting cash flow in a money management app and building emergency savings of three to six months are among the best ways to prepare for unexpected health emergencies.

But there are other ways to make costs more manageable while maintaining some discretionary income.

For instance, accounting professor Usha Rackliffe offered advice on Brockway and Padula’s situation, noting that only taxable income counts for ACA subsidies. Rackliffe recommended trying to find ways to “maneuver for a year or two” to shift some of the income into non-taxable and qualify for the subsidy.

Also, ACA subsidies are based on projected yearly income. So, if you feel your income may drop, updating that information could make you eligible for more financial help.

Even if you’re happy with your current plan, it might not be the best deal. Shop around for different offerings, and don’t forget to factor in other expenses, such as deductibles, copays, and out-of-pocket limits, especially if you expect to use care regularly.

Since healthcare costs can be confusing, it’s best to bring in expert guidance to make the right decision, both for your physical and financial health. Remember that it’s free to consult a state marketplace navigator to help you explore options in the Marketplace that work for your situation.