The Trump Economy Begins: 5 Things That Could Get More Expensive for Retirees

In an article discussing potential cost increases under the new administration, financial expert Anthony DeLuca from RetireGuide outlines several key concerns for those on a fixed income:

1. Healthcare Changes: DeLuca emphasized the need to monitor how President Trump handles the repeal of the Inflation Reduction Act and the expiration of Affordable Care Act premium subsidies in 2025. He warned that the loss of these programs could lead to higher insulin and prescription drug costs for older adults, stating, “We need to keep an eye on how President Trump handles the repealing of the Inflation Reduction Act and the premium subsidies from the Affordable Care Act that will expire in 2025.”

   
   

2. The Tariff Effect: DeLuca highlighted the impact of significant trade changes, noting, “10% additional tax would be placed in China and a 25% would be placed on Mexico and Canada.” These tariffs, intended to spur domestic growth, could lead to higher prices on everyday items.

   
   

3. Food and Agriculture Costs: DeLuca pointed out that both Canada and Mexico are major food suppliers to the U.S., and any changes in the labor force, particularly in agriculture, could drive up food costs.

   
   

4. Housing Expenses: DeLuca warned that potential labor force disruptions, like the deportation of immigrants, could affect the housing sector and increase construction and maintenance costs.

   
   

5. Healthcare Premium Hikes: Finally, DeLuca cautioned retirees in the 100% to 400% poverty line bracket that they may face higher healthcare premiums as ACA subsidies expire, stressing, “Retirees who fall into this window need to be on the lookout for an increased cost to their healthcare.”