Why More NextEra Energy Employees Are Considering Social Security Early — And How Medicare Changes Play a Role
Healthcare Provider Update: Healthcare Provider for NextEra Energy
NextEra Energy collaborates with a few key healthcare providers, primarily focusing on offering its employees healthcare benefits through large national insurers. One of the noted providers in this context is UnitedHealthcare, which serves many employees in the organization.
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Potential Healthcare Cost Increases for NextEra Energy in 2026
As we look toward 2026, NextEra Energy and its employees may face significant increases in healthcare costs, driven largely by expected hikes in Insurance premiums. With healthcare insurers projecting average rate increases around 18% to 66.4% in various regions, NextEra Energy's workforce is likely to experience heightened out-of-pocket spending. The potential expiration of enhanced premium subsidies under the Affordable Care Act could exacerbate this situation, leading to average premium costs surging by more than 75% for many enrollees. This perfect storm of rising medical expenses and reduced financial assistance poses a serious challenge for both employers and employees alike.
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'NextEra Energy employees weighing when to file for Social Security should consider both current health care costs and long-term income needs, so they can stay adaptable as retirement unfolds.' — Paul Bergeron, a representative of The Retirement Group, a division of Wealth Enhancement.
'NextEra Energy employees can benefit from thoughtfully coordinating Social Security timing with health care expenses so their retirement income stays aligned with their evolving needs over time.' — Tyson Mavar, a representative of The Retirement Group, a division of Wealth Enhancement.
In this article, we will discuss:
How Social Security filing age affects retirement income.
How Medicare expenses factor into when retirees claim benefits.
Why emotional concerns are shifting filing behavior for many Americans.
Written by Wealth Enhancement advisors Kevin Landis, CPA and Wesley Boudreaux
Advisors in the retirement-income space have long suggested that retirees consider delaying filing for Social Security benefits. For those with a full retirement age (FRA) of 67, waiting until age 70 can result in monthly payments that are around 24% higher.
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And for those with an FRA of 66, the increase if one waits until age 70 is closer to 32%.
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NextEra Energy employees nearing retirement often hear this same message.
However, new national data indicates a growing number of Americans plan to claim Social Security before age 70. Cost pressures and health care related issues are major influences in this trend.
The Retirees’ Reality
Today’s retirees face a very different environment than those in past decades, including less access to traditional pensions, rising health care costs, and mounting everyday living expenses. In the private sector, only about 15% of workers still have access to defined benefit pensions,
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affecting many households and NextEra Energy employees.
According to retirement consultant Wesley Boudreaux, 'most retirees are not choosing to claim early for the sake of it.” Instead, rising medical and living costs are driving earlier benefit decisions because of cash flow pressures.
One major factor? Health care. Nearly 39% of out-of-pocket health care spending by Medicare beneficiaries was equivalent to Social Security payments received, on average, in 2022.
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Medicare Advantage: A Key Planning Factor
Additionally, shifts in Medicare Advantage plans have left many retirees unsure about upcoming costs. Benefit structures can vary significantly by year or by region, causing cost surprises that NextEra Energy workers and their families may need to plan for.
“We are already seeing clients paying more for health care than expected,” said Kevin Landis, CPA. “When medical expenses rise, Social Security often becomes the first lever people pull to handle that burden.”
This is why coordinating Social Security filing decisions with Medicare coverage choices remains important, particularly when plans change annually.
“This is the intersection of Social Security and health care planning,” Landis adds. “Changes in one can influence the other.”
Emotional Considerations Also Matter
Money matters aren’t the only reason retirees claim earlier. Concerns about the future of Social Security have caused many to look for the emotional comfort of taking benefits sooner, including some NextEra Energy workers preparing for retirement.
While benefits are expected to continue—even if trust fund reserves decline in the 2030s—worries about future payouts can play a role.
“It’s not just about math,” Boudreaux explains. “People want control and stability in retirement, even if that means receiving less over time.”
Finding the Right Approach for You
Whether filing early is a good fit depends a lot on health, cash flow needs, and longer-term retirement goals. Thoughtful planning helps maintain flexibility, rather than driving you to respond under pressure.
“The best approach balances today’s needs with what lies ahead,” Landis says. “And that begins with understanding how Medicare and Social Security interact.”
Need Help Reviewing Your Options?
The Retirement Group, a division of Wealth Enhancement, helps individuals evaluate Medicare electives, analyze Social Security filing alternatives, and design retirement income strategies based on personal goals—including guidance tailored to those employed by NextEra Energy.
📞 Call (800) 900-5867 before your next enrollment period to schedule a Social Security & Health Care Review.
Work toward confidence in your long-term retirement income decisions.
About the Authors
Wesley Boudreaux and Kevin Landis, CPA, provide retirement income and tax planning guidance through Wealth Enhancement, helping people make informed choices about Social Security, Medicare, and financial well-being.
1. Social Security Administration.
When to Start Receiving Retirement Benefits: Publication No. 05-10147
. May 2024. U.S. Government Publishing Office, Washington D.C.
2. Topoleski, John J., Elizabeth A. Myers, and Sylvia L. Bryan.
Worker Participation in Employer-Sponsored Pensions: Data in Brief and Recent Trends (R43439)
. Congressional Research Service, 18 Sept. 2024.
3. Medicare Payment Advisory Commission.
Report to the Congress: Medicare Payment Policy – Chapter 11: The Medicare Advantage Program: Status Report
. Mar. 2025, medpac.gov/wp-content/uploads/2025/03/Mar25_Ch11_MedPAC_Report_To_Congress_SEC.pdf.
4. Board of Trustees, Social Security.
2025 Annual Report of the Board of Trustees of the Federal Old-Age and Survivors Insurance and Federal Disability Insurance Trust Funds
. 30 June 2025. U.S. Government Publishing Office, Washington D.C.
What is the primary purpose of the 401(k) plan offered by NextEra Energy?
The primary purpose of the 401(k) plan offered by NextEra Energy is to help employees save for retirement in a tax-advantaged way.
How can employees of NextEra Energy enroll in the 401(k) plan?
Employees of NextEra Energy can enroll in the 401(k) plan through the company’s benefits portal during the enrollment period or after they become eligible.
What types of contributions can employees make to the NextEra Energy 401(k) plan?
Employees can make pre-tax contributions, Roth (after-tax) contributions, and, in some cases, catch-up contributions if they are age 50 or older.
Does NextEra Energy offer a company match for 401(k) contributions?
Yes, NextEra Energy offers a company match to eligible employees who contribute to the 401(k) plan, enhancing their retirement savings.
What is the vesting schedule for the company match in NextEra Energy's 401(k) plan?
The vesting schedule for the company match in NextEra Energy's 401(k) plan typically follows a graded vesting schedule, where employees become fully vested after a certain number of years of service.
Can employees take loans against their 401(k) balance at NextEra Energy?
Yes, NextEra Energy allows employees to take loans against their 401(k) balance, subject to specific terms and conditions outlined in the plan.
What investment options are available in the NextEra Energy 401(k) plan?
The NextEra Energy 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and company stock.
How often can employees change their contribution amounts to the NextEra Energy 401(k) plan?
Employees can change their contribution amounts to the NextEra Energy 401(k) plan at any time, subject to the plan’s guidelines.
What happens to the 401(k) plan if an employee leaves NextEra Energy?
If an employee leaves NextEra Energy, they have several options for their 401(k) plan, including rolling it over to another retirement account, leaving it in the NextEra Energy plan, or cashing it out.
Is there a penalty for withdrawing funds from the NextEra Energy 401(k) plan before retirement age?
Yes, generally, there is a penalty for withdrawing funds from the NextEra Energy 401(k) plan before age 59½, along with potential income tax implications.
With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.
Plan Name: NextEra Energy Retirement Plan
Eligibility:Years of Service and Age Qualification: Employees are generally eligible for pension benefits if they have reached 5 years of service and are at least 55 years old.
Pension Formula: The pension benefit is calculated based on a formula that includes years of service and average salary. Specific details are outlined in the plan document.
Plan Name: NextEra Energy 401(k) Plan
Eligibility:
Employees are eligible to participate in the 401(k) plan after completing 30 days of service.
Employees can contribute a percentage of their salary, and NextEra Energy offers a company match up to a specified percentage.
Restructuring and Layoffs: NextEra Energy announced a restructuring initiative in early 2024 aimed at optimizing its operational efficiency. This move involved the reduction of approximately 5% of its workforce. The company stated that the restructuring would streamline operations and improve financial performance. This news is particularly relevant given the current economic climate, as companies across various sectors are adjusting their structures in response to economic pressures, investment challenges, and shifting political landscapes.
NextEra Energy offered stock options and RSUs to its employees. The company used acronyms like "SO" for stock options and "RSU" for Restricted Stock Units. The RSUs were typically granted based on performance and tenure.
Health Insurance: NextEra Energy provides comprehensive health insurance plans, including medical, dental, and vision coverage.
Medical Plans: Options include PPO and HMO plans, with varying levels of coverage and costs.
Dental and Vision: Coverage includes routine exams, preventive care, and some orthodontic services.
Wellness Programs: The company offers wellness programs that include health screenings, fitness challenges, and mental health resources.
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