BOSTON (AP) -- A new study says there's been an 8 percent drop in the amount of money this year's retirees will need to cover medical expenses.
It's the first time in 10 years that the outlook is improving for new retirees wondering whether they'll be able to pay their medical bills throughout their retirements.
The study being released today by Fidelity Investments says a 65-year-old couple retiring this year will need $230,000, on average, to cover medical expenses in retirement. A year ago, the projection was $250,000.
Fidelity attributes its optimism to President Barack Obama's year-old health care overhaul, which will reduce many seniors' out-of-pocket expenses for prescription drugs.
Longer term, Fidelity expects its calculation will eventually resume its historic pattern of annual increases.