Unexpected Medical Expenses | Kaytlin Hall

By: Kaytlin Hall 

Recently, my family experienced a frightening medical emergency with my 7-year-old son. What started as a rash quickly escalated into a high fever, swollen hands, red eyes, and a strawberry tongue. After several doctor visits and blood tests, he was admitted to the hospital and diagnosed with Kawasaki disease. Ironically, I work at Gerber Kawasaki, so hearing the word "Kawasaki" suddenly took on an entirely different meaning for our family.

Thankfully, he received exceptional care from a team of physicians and nurses who had extensive experience treating Kawasaki disease. Because it was caught and treated early, his prognosis is excellent. He is expected to live a long, healthy life, with this becoming just a short chapter in his childhood, not a lifelong condition. His recovery has included follow-up appointments with pediatric cardiology and echocardiograms to monitor his heart. His two-week echocardiogram was completely normal, and we're hopeful his final follow-up will bring the same good news.

As any parent knows, when your child is in the hospital, your priorities become crystal clear. I wasn't thinking about my to-do list or the clean clothes that were still sitting in the washer. I was thinking about whether his fever was coming down, whether he was finally smiling again, and whether the LEGO set I had just picked up would keep him happily building for another hour. Looking back, I'm incredibly grateful that I wasn't also lying awake wondering how we were going to pay for his care.

That experience reminded me why financial planning matters.

Even with excellent health insurance, unexpected medical expenses can add up quickly. Hospital stays, specialist visits, lab work, imaging, medications, and follow-up care all come with costs, often when families are already carrying an emotional burden.

One planning tool that can help is a Health Care Flexible Spending Account (FSA). An FSA allows you to set aside pre-tax dollars for eligible medical expenses, helping stretch your healthcare budget when the unexpected happens. For 2026, employees can contribute up to $3,450 to a Health Care FSA.

Every year, I elect to contribute the maximum to my Health Care FSA. Over the past few years, we've had our share of unexpected medical expenses—an emergency room visit for stitches, outpatient procedures, and now this hospitalization. I also make it a point to know my family's annual out-of-pocket maximum and keep enough in our emergency savings to cover the difference if we ever have a worst-case medical year. It's a number I hope I never have to use, but knowing we were financially prepared gave me tremendous peace of mind.

The medical bills have already started arriving. Seeing more than $53,000 in medical charges for just three nights in the hospital is eye-opening, even when you know your insurance limits what you'll ultimately owe. Because UCLA was in-network, our responsibility is capped by our health insurance plan, and a significant portion of those costs will be covered using money we have already set aside in our FSA.

One small financial planning tip that worked well for us: I paid the medical bills with a rewards credit card to earn travel points, then reimbursed myself from my FSA and immediately paid off the credit card. We avoided paying interest, kept our emergency savings intact, and earned points that will hopefully help fund a future family vacation. It was a small silver lining during a difficult experience.

None of us expects to need emergency medical care, especially for our children. But experiences like ours are a reminder that financial planning isn't just about retirement, investing, or growing your wealth. It's about preparing for life's unexpected moments.

The greatest gift our financial plan gave us wasn't paying the hospital bill, it was allowing us to spend every ounce of our energy focusing on our son instead of worrying about money. To me, that's one of the greatest values of financial planning: giving yourself one less thing to worry about when life takes an unexpected turn.

Gerber Kawasaki Wealth & Investment Management is an investment advisor located in California. Gerber Kawasaki Wealth & Investment Management is registered with the Securities and Exchange Commission (SEC). Registration of an investment advisor does not imply any specific level of skill or training and does not constitute an endorsement of the firm by the Commission. Gerber Kawasaki only transacts business in states in which it is properly registered or is excluded or exempted from registration. A copy of Gerber Kawasaki Wealth & Investment Management 's current written disclosure brochure filed with the SEC which discusses, among other things, Gerber Kawasaki Wealth & Investment Management's business practices, services and fees, is available through the SEC's website at: http://www.adviserinfo.sec.gov .

Kaytlin Hall is a Financial Advisor of Santa Monica, California-based Gerber Kawasaki Inc., an SEC-registered investment firm with approximately ~$4.78B billion in assets under management and assets under advisement as of 06/30/26. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. This material is for general information only and is not intended to provide specific tax or investment advice. Consult your tax professional regarding your individual situation.To determine which course of action may be appropriate for you, consult your financial advisor. No strategy assures success or protects against loss. Readers shouldn't buy any investment without doing their research to determine if the investments are suitable for their situation. “All investments involve risk and one should consult a financial advisor before making any investments. Past performance is not indicative of future results."