The estimate for Medicare expenses modeled in Planner is inclusive of expenses premium and out-of-pocket expenses. The estimation is comprised of assumptions for:
Average cost by state provided by medicare.gov;
Plan election, e.g. A/B Only, medigap, medicare advantage, etc.
Health Status: health condition maps to excellent, good, or poor
Premium level if using selecting a medigap policy
Income after 65 (for IRMAA calculation)
The values are adjusted from today using the medical inflation rate