There are many financial mistakes that federal employees can make throughout their life but one of the most common that I see, and ironically one of the easiest to avoid, is naming and updating beneficiary designations. Yes, this sounds simple, but you may not realize how many beneficiary designations you have. And since it’s easyContinue reading “The Common And Costly Estate Planning Mistake Federal Employees Make”
Category Archives: Federal Benefits
Understanding the FERS Deferred Retirement
Every federal employee knows that the FERS pension is a great benefit, but many are unaware of the several ways they can be eligible to receive that pension. For instance, federal employees can retire under the immediate, postponed, or deferred retirement option, to name a few. And since retiring after 20 or 30 years ofContinue reading “Understanding the FERS Deferred Retirement”
How Much Of Your FERS Pension Will You Keep?
When planning your federal retirement, you’ll need to calculate your FERS pension and should request an estimate from your HR. But often, these projections don’t represent what will actually be deposited into your bank account. The reason for this discrepancy is that most individuals calculate their gross pension, not their net pension, and even yourContinue reading “How Much Of Your FERS Pension Will You Keep?”
What Military Service Can Be Bought Back?
In last week’s article, we reviewed the benefits of making a military service deposit or “buy back” and when it could make sense to do so. We saw that although every situation is different, for most buying back military time makes sense since it can reduce the time until retirement eligibility and increase the FERSContinue reading “What Military Service Can Be Bought Back?”
Should You Buy Back Your Military Time?
If you’re a veteran, then you have likely heard the phrase “buying back your military time” on more than one occasion. But what exactly does that mean, and why is it important? In this article, we’ll discuss the answers to those questions, plus some key factors to consider when deciding whether you should buy backContinue reading “Should You Buy Back Your Military Time?”
3 Reasons Why Federal Employees Retire At 57
An important part of establishing your retirement plan is choosing the best age to retire. While the average retirement age for federal employees is 62 (61.8 according to OPM), there is no magic age that works for everyone. Hence, it could make sense for some to retire earlier or later, and the right age willContinue reading “3 Reasons Why Federal Employees Retire At 57”
What To Consider Before Transferring Your TSP To An IRA
When you separate from federal service, you will have an important decision: should you leave your money in the Thrift Savings Plan or transfer it out (presumably to an IRA)? The bad news is there is no right answer for everyone, and it depends on your preferences and situation. But the good news is thatContinue reading “What To Consider Before Transferring Your TSP To An IRA”
4 Reasons Why Federal Employees Retire At 62 (VIDEO)
In this video, Jose Armenta, CFP®, reviews the four reasons why many federal employees retire at age 62. For more on this topic read the related article here.
4 Reasons Why Federal Employees Retire At 62
When federal employees are trying to choose a time to retire, they often hear that age 62 is the “magic” age for FERS employees. But why that? Well, although there is no magic retirement age that works for everyone, there are four significant incentives for FERS employees to wait until 62 to retire. So, let’sContinue reading “4 Reasons Why Federal Employees Retire At 62”
Will Your Spouse Keep FEHB If You Die? (VIDEO)
In this video, Jose Armenta, CFP®, reviews the requirements that must be met for your spouse to maintain Federal Employees Health Benefits (FEHB) coverage if you predecease them. If you’d like to learn more about carrying FEHB coverage into retirement, read this article.