Healthcare spending is unpredictable by nature. You cannot always know when you will need a procedure, a specialist, or an emergency visit. But what makes it even trickier is that costs vary wildly depending on your insurance plan, your provider, and even the time of year you hit your deductible.

For people planning for retirement, this is especially important. Unpredictable healthcare costs are consistently ranked as one of the top financial risks in retirement, and many people underestimate just how much they will need.

1. Build a dedicated healthcare fund. If your employer offers a Health Savings Account (HSA), this is one of the best financial tools available. Contributions go in pre tax, grow tax free, and can be withdrawn tax free for qualified medical expenses. It is essentially a triple tax advantage. Even if you are healthy right now, start contributing and let it grow.

2. Know your plan inside and out. Do you know your deductible? Your out of pocket maximum? Which providers are in network? Understanding your insurance plan before you need it can save you hundreds or even thousands of dollars. Take 30 minutes to review your benefits.

3. Budget for the expected. Annual physicals, dental cleanings, vision exams, prescriptions: these are not surprises. Add them to your monthly budget as a regular line item so they do not feel like emergencies when they come up.

4. Compare costs before you commit. Many insurance portals now let you compare the cost of procedures at different facilities before you schedule. A simple MRI can vary by thousands of dollars depending on where you go. It is worth the extra 10 minutes to check.

The best time to plan for healthcare costs is when you do not need to. Building a cushion, understanding your coverage, and budgeting proactively means that when something does come up, it is a manageable expense instead of a financial crisis.

Your health and your wealth are connected. Protect both.