Not affiliated with The United States Office of Personnel Management or any government agency

March 29, 2024

Federal Employee Retirement and Benefits News

Tag: FEHB

FEHB

FEHB or the Federal Employee Health Benefits is a program that covers the health insurance and benefits of the federal employees.

The Office of Personnel Management is Working to Improve FEHB Plan Comparison Services

The Office of Personnel Management (OPM) has stated that it is seeking to strengthen options that enable federal workers and annuitants to try comparing FEHB plans. However, it doesn’t anticipate having these advancements in place until late in the year following, possibly in time for that year’s open season for choosing protection in 2024.

When compared to most private enterprises in the private sector, the Federal Employees Health Benefits Program (FEHB) offers its participants a greater variety of choices for their health care coverage than such corporations do for their employees. The Federal Employees Health Benefits Program offers around a dozen plans that are open to anybody, in addition to additional national plans and HMO alternatives (whose numbers vary by area, with more available in city areas).

Despite this, the program has earned a reputation for being difficult to understand, particularly for those with specific medical treatment requirements, due to discrepancies in the coverage terms offered by the different plans and sub-options such as high-deductible plans.

OPM‘s obsolete, outmoded technological ecosystems were described as “outdated” and “ancient” in a previous independent analysis of OPM. The OPM homepage is described as “neither consumer-friendly nor user-centric.”

The Office of Personnel Management stated in a recent update of ongoing strategic projects that its current plan comparison tool was developed in 2002. Even though it has been updated over the years, the OPM stated that “it is at the end of its lifecycle and unable to deliver a versatile or comprehensive interface.”

More than half (62%) of Medicaid or qualified health plan subscribers who needed assistance with plan selection stated that they sought assistance because they could not comprehend the coverage choices offered to them.

By improving this process, which would bring them closer to meeting their goal, the Office of Personnel Management might be able to meet its goal of increasing over 75% of federal workers and retired personnel registered in a health plan. This would bring them closer to meeting their goal.

There has been a decrease in registration in FEHB healthcare plans as a direct result of the present problems with the Plan Comparison Tool. According to the presentation, this site has a lot of information, but it’s not arranged in a way that makes it easy for users to discover what they need.

Federal Employees Health Benefits Program participants will soon be able to compare plans’ benefits, service communities, medication pricing, and other vital health data, according to a statement from the Office of Personnel Management.

It was said that the new application will “support improvements in health outcomes government-wide by fostering health literacy and offering a user-centric comparison of various health insurance benefits.” This was in accordance with what was claimed about the application.

Contact Information:
Email: [email protected]
Phone: 3234811328

Bio:
For over 13 years, Jason Anderson has served as a Personal Financial Advisor, Estate and Retirement Planner, helping to educate individuals from all walks of life and income levels on wise money investment and planning for a comfortable lifestyle and retirement.

Over time, Jason Anderson has become the ‘Go-To’ leading authority on personal financial advising, financial planning, and analysis, as well as retirement planning and financial planning for SMALL BUSINESS OWNERS. He also provides HIGHLY Popular financial education seminars for groups. These financial seminars empower people to more effectively budget, plan, manage their money, and achieve their personal financial goals. As a result of the excellent results, praise, and feedback that their financial seminars have received, the City of Los Angeles, The AFL-CIO union groups, as well as several other organizations, have decided to partner with Jason to more effectively accomplish their mission. He was also honored to be showcased in the November 2014 issue of Forbes Magazine “Americas Financial Leaders” and has been dubbed by the media as ‘The Financial Educator.’

Jason is passionate about the work he does because it brings him joy to help his financial planning and advising clients reach their financial goals. He finds excitement in assisting families in saving and paying for their children’s college education without stress, thanks to the financial plans he designs for them. He also takes pride in witnessing clients reach retirement and enjoy it precisely the way they desire.

Personally, Jason finds joy in being a husband and father of two wonderful children. In his spare time, he enjoys traveling, sports, hiking, and reading.

He works with Employees, Business Professionals, Business Owners, and ‘High Net Worth’ People.

► Like to discuss your personal financial situation?
☏ Call Jason at (323) 481-1328 for a FREE Consultation
✉ Email him at [email protected]

Disclosure:
All annuity and life insurance products are designed to supplement securities as part of an overall plan. The recommendation of annuities and life insurance is not designed to eliminate the need for securities in any way.

All Federal Retirees’ Health Benefits May Be Affected by Postal Reform Measure

The monumental Postal Service Reform Act (H.R. 3076) Congress approved this week terminates the mandate that the Postal Service pre-fund its retiree health benefits expenses and requires postal workers to participate in Medicare Parts A and B once they reach 65. This last clause may affect all government employees.

Current federal retirees, including postal retirees, can opt out of Medicare Part B. Retirees are covered by FEHB plans whether they enroll in Medicare or decide only to keep their FEHB coverage.

Few Americans can opt out of original Medicare (Parts A and B) at 65 if they wish to keep their employer-sponsored health insurance. Some companies provide health benefits to retirees only through  Medicare Advantage plans.

Of course, many retirees lose their employer-sponsored health insurance once they retire. They can choose between a Medicare supplement (Medigap) and a Medicare Advantage plan, both available to Medicare Part A and B recipients. Most private retiree health plans are meant to supplement Medicare. They may not cover medical expenses incurred while eligible for Medicare but not enrolled. Military retirees must show proof of enrollment in Medicare Parts A and B to keep TRICARE for Life.

Enrolling in Medicare, especially Part B, is one of the most challenging decisions facing federal retirees. Because introducing Part B costs $170 per person each month in 2022. However, many FEHB plans waive deductibles, copayments, and coinsurance when Medicare is the primary payer. The Part B premium is also partially refunded. FEHB plans that cater to seniors with Medicare as primary coverage have cheaper rates than those that don’t have such incentives.

Approximately 75% of current Medicare-eligible retirees are enrolled in Parts A and B, and 80% of eligible postal retirees are, too.

According to the postal reform measure, current USPS retirees will have a particular period to enroll in Medicare without a late enrollment penalty or keep their FEHB coverage alone. Some postal employees and retirees may have been placed in distinct risk pools in an earlier version of the bill, which might have increased health insurance costs for non-postal federal employees and retirees and non-postal pensioners without Medicare.

The FEHB premiums depend on how much its members use health services and their average annual expenses. Younger, healthier members tend to keep costs down, whereas older, sicker members tend to raise prices. The final postal bill balances the risk pools. The OPM predicts that premiums will decrease for postal and non-postal employees and retirees.

The new law maintains all postal workers in FEHB. All workers can maintain their current plans and use the yearly open season to switch to FEHB.

Postal retirees must enroll in Medicare A and B at 65. Then retiree health coverage will be a mix of Medicare and FEHB.

The question now is whether this rule will be expanded to all federal employees and how it would affect retiree premiums. If that happens, government employees will have one less decision to make when they retire.

Contact Information:
Email: [email protected]
Phone: 3604642979

Bio:
After entering the financial services industry in 1994, it was a desire to guide people towards their financial independence that drove Aaron to start Steele Capital Management in 2013. Armed with an extensive background in financial planning and commercial banking coupled with a sincere passion for helping people, Aaron has the expertise and affinity for serving the unique needs of those in transition. Clients benefit from his objective financial solutions and education aligned solely with
helping them pursue the most comfortable financial life possible.

Born in Olympia, Washington, Aaron spent much of his childhood in Denver, Colorado. An area outside of Phoenix, Arizona, known as the East Valley, occupies a special place in Aaron’s heart. It is where he graduated from Arizona State University with a Bachelor of Science degree in Business Administration, started a family, and advanced his professional career.

Having now returned to his hometown of Olympia, and with the days of coaching his sons football and baseball teams behind him, he now has time to pursue his civic passions. Aaron is proud to serve on the Board of Regents Leadership for Thurston County as the Secretary and Treasurer for the Morningside area. His past affiliations include the West Olympia Rotary and has served on various committees for organizations throughout his community.

Aaron and his beautiful wife, Holly, a Registered Nurse, consider their greatest accomplishment having raised Thomas and Tate, their two intelligent and motivated sons. Their oldest son Tate is following in his father’s entrepreneurial footsteps and currently attends the Carson College of Business at Washington State University. Their beloved youngest son, Thomas, is a student at Olympia High School.

Focused on helping veterans and their families navigate the maze of long-term care solutions, Aaron specializes in customized strategies to avoid the financial crisis that care related expenses can create. Experience has shown him that many seniors are not prepared for the economic transition that takes place as they reach an advanced age.

With support from the American Academy of Benefit Planners – an organization with expertise and resources on the intricacies of government benefits – he helps clients close the gap between the cost of care and their income while protecting their assets from depletion.

Aaron can help you and your family to create, preserve and protect your legacy.

That’s making a difference.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice has been filed, or is excluded from notice filing requirements. This information is not a complete analysis of the topic(s) discussed, is general in nature, and is not personalized investment advice. Nothing in this article is intended to be investment advice. There are risks involved with investing which may include (but are not limited to) market fluctuations and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making any investment decision. You should consult a professional tax or investment advisor regarding tax and investment implications before taking any investment actions or implementing any investment strategies.

FEHB coverage for kids

According to the OPM, children under the age of 26 are eligible for FEHB if they meet specific eligibility requirements. This article discusses FEHB coverage for children.

FEHB Eligibility requirements for children

• Must be under the age of 26 (or any age if they are unable to support themselves due to physical or mental disability that began before the age of 26);

  • a legally recognized child born out of wedlock;
  • a legally adopted child;

• a foster child and;

• a stepchild.

Illustrations of FEHB eligibility 

  • Illustration 2: Let’s say your new spouse’s son is 23 years old, and you want to include them in your FEHB coverage. Your stepchild is a family member who qualifies for FEHB if they are under the age of 26.
  • Illustration 2: Your boyfriend doesn’t live with you and has a 12-year-old child from a previous relationship. You want to include your partner’s daughter in your FEHB plan. In this case, you cannot include your partner’s child in your FEHB plan because you are not legally the child’s stepparent.

Eligibility paperwork

A duplicate of one of the records below listing you, your child, and your address is required:

• An official paternity test;

• A copy of your recent tax return first page

• A voluntary statement of fatherhood or comparable document;

• A court order;

• An official birth certificate;

• A certificate of live birth;

• A consular report of birth abroad (for example, a National Medical Support Notice).

Keep in mind that a stepchild’s birth certificate must show your current spouse as the parent, and even if you are not enrolling your spouse, you must still confirm their eligibility.

Generally speaking, it is not necessary for a child who meets one of those criteria to be enrolled in school, live with you, or be financially reliant on you. With one exception: a foster child must be younger than 26 years old, reside with you, depend on you financially, and have a parent-child connection with you rather than their biological parent(s). You must also certify in writing that your foster child satisfies all of these standards and that you intend to raise them to adulthood.

If you add a child who satisfies any of those criteria, you may enroll the child for the first time or increase an existing enrollment from 31 days before the event to 60 days after that. If not, you must wait until the following benefit open season, which occurs every year from early November to early December.

If you are currently enrolled in self-solo, you can enroll in self-plus-one or self-and-family. You can upgrade to self and family if you have a self-plus-one enrollment. The revised health insurance enrollment form must be submitted to reflect these changes and the new enrollment.

You don’t need to fill out a new health insurance enrollment form if you have a self-and-family enrollment, but you must contact your health plan immediately to inform them about the new family member.

Duration of Coverage

Your participation in the FEHB program will continue throughout your career and into retirement as long as you have participated in the program for five years before retiring. This also applies to the enrollment of children as long as they are still eligible. Provided you are still enrolled in the FEHB program when you retire, Tricare coverage can be used to fulfill the 5-year requirement.

Your enrollment is over if you choose to renounce that coverage or leave the government. You can continue your coverage for up to 18 months after your 31 days of free FEHB coverage expires, thanks to the Temporary Continuation of Coverage (TCC) clause. If you do, you will be required to pay the whole premium amount plus an additional 2 percent to cover administrative costs.

When a child’s insurance expires

While a child’s FEHB coverage expires at age 26, they can still sign up independently for 36 months and pay the full premiums. Note: As stated above, coverage will continue unabated if you have an unmarried kid who cannot support themselves because of physical or mental impairment before the age of 26.

You can change to self-only coverage if no additional family members are entitled to coverage under your own plan. You can also change to self-plus-one if you have one additional qualified family member. You can keep your enrollment if registered in the self-and-family option and still have at least three family members to cover (including yourself).

Any changes to your own coverage must be made between 31 days before your child reaches 26 and 60 days after that date.

Contact Information:
Email: [email protected]
Phone: 6023128944

Bio:
Mike was born in Chicago, Illinois on August 13, 1946. He was brought up in the
suburb of Skokie on Chicago’s northwest side and graduated from Niles Township (
East ) high school In 1964. Two years later he joined the US Air Force in November of
1966. After 2 years of Intense training he volunteered for Viet Nam and was sent to
Bien Hoa Airbase, which was 25 miles from Saigon, the nation’s capital. He
volunteered for a number of especially dangerous missions on his days off, such as
flying as a door gunner on a US Army helicopter and as a technical assistant on a
psychological operation on an Air Force O-1E observation aircraft. Capping off his
impressive accomplishments was winning the coveted Base Airman of the Month for
March 1969, a feat which was featured in the Pacific Stars And Stripes newspaper
read by every service man stationed in the Pacific theater of operations. After his
Viet Nam tour of duty he was stationed at Luke Air Force Base in Glendale, Arizona
where he met and married his wife, Lequita.
He graduated from Arizona State University in May, 1973, and after a 30-plus year
career as a financial advisor he joined a number of service organizations including
Easter Seals and Valley Forward, sponsor of EarthFest. He was also involved with the
National Federation of Independent Business and became the longest-serving
chairman of the Leadership Committee ever. He spoke before the ( AZ ) House Ways
and Means & Senate Finance committees. He then joined Disabled American
Veterans ( DAV ) in September of 2015. He rose quickly through the ranks and
became Chapter 8 Commander in May of 2019 where he served with Distinction for 3
years before being “ termed out”. The next year, as Vice Commander, he won the
title of National Champion Recruiter!

Study Advises of Health Hazards from Reduced Utilization Proactive Treatment in FEHB

Preventative medicine usage rose exponentially in the second half of 2020 and continued into the first half of 2021. However, this rise was insufficient to make up for procedures that were canceled during the peak of the COVID-19 shutdowns. This is still the situation.

A study conducted by the OPM (Office of Personnel Management) returned the following data:

– The number of people covered by the FEHBP national healthcare providers grew by 1.54 percent.

– The number of people in the study who had health insurance rose by another 1% between 2020 and 2021.

Even so, the OPM should see a normal rise in primary healthcare consumption of roughly 2-3% for 2021 relative to pre-pandemic rates in 2019. Though this rise in usage would signal a return to standard rates, it would not exactly make up for all the canceled treatments in 2020. This steady uptick was seen just between March and June of 2021.

Indeed, primary healthcare consumption maintained an average of 5% lower in 2021 than 2019 levels for most weeks. When COVID-19 cases peaked again in January 2022, fewer people sought preventive care. The growth in user enrollment is around 24-25 percent lower than anticipated, meaning about 59,000 preventive care treatments skipped just in January 2022.

Immunization Rate in Children

Certain preventative medicine providers are recovering to pre-pandemic rates while others are not. Preventive care vaccine rates for children remain lower than 2019 levels.

This is not a novel or previously unknown occurrence; it was addressed in our last half-yearly letter to Congress. The American Academy of Paediatrics, WHO, the Centres for Disease Control and Prevention, and The Washington Post have all commented on the declining vaccination rates among children. Even though detentions in the United States are no longer happening and COVID-19 immunizations are easily accessible, we believe it is crucial to underline that these worrying patterns have still not been reversed. Specifically, the rate of childhood vaccinations in January 2022 was much lower than in any month in 2017, 2018, or 2019. Now that most kids are back in classrooms, there’s a much higher chance of vaccine-preventable infectious diseases amongst unvaccinated students.

The Frequency of Metastases in Several Cancers

Developments in the use of some regular cancer screening procedures have been included in our preventative medicine assessment in prior semi-annual reports to Congress and our preventive medicine services data summary. We raised the concern that if people have to wait longer to get these treatments, they will be diagnosed with cancer at a more advanced stage, requiring more intensive treatment with more severe risks.

Looking at the growth rates since 2017, we can see that overall cases of several forms of cancer decreased in 2020. These are the cancers for which there is established and generally accepted preventive care, at least for those at high risk. Because many neglected to schedule preventive medical exams, it stands to reason that they did not catch these tumors early. On the other hand, reports of kinds of cancer for which physical examination is not advised, like ovarian and pancreatic, did not decline in 2020.

Cancer that has metastasized to other parts of the body is what is meant by the term “secondary neoplasm.” Our claim results indicate that the decline in preventative screenings in 2020 led to an increase in the incidence of secondary neoplasms among patients with types of cancer for which such screening is most effective in detecting new cases early before they have spread.

The excellent news is that the risk of developing a secondary neoplasm was low across the board when we looked at the different kinds of cancer. This minor increase translates to around 1,400 additional FEHBP members with metastatic cancer, raising the need for intensive therapies that can lead to the terrible side effects we outline in our preventative care data short. Therefore, we do not want to downplay their significance. However, we acknowledge that, at least for the time being, it seems that the impacts of the decline in preventive care usage since the start of the pandemic have not been as catastrophic as they could be.

Contact Information:
Email: [email protected]
Phone: 9568933225

Bio:
Rick Viader is a Federal Retirement Consultant that uses proven strategies to help federal employees achieve their financial goals and make sure they receive all the benefits they worked so hard to achieve.

In helping federal employees, Rick has seen the need to offer retirement plan coaching where Human Resources departments either could not or were not able to assist. For almost 14 years, Rick has specialized in using federal government benefits and retirement systems to maximize retirement incomes.

His goals are to guide federal employees to achieve their financial goals while maximizing their retirement incomes.

Open Season Offers Choices

The annual federal benefits open season, which has begun and will run until December 13, gives a chance to modify FEHB health insurance and FEDVIP vision-dental insurance coverage and choose flexible spending accounts for 2022.

The enrollee share of FEHB premiums will increase by 3.8% on average. However, there is variety across plans, and prices in some are virtually unchanged or somewhat reduced. There will be 275 plan options (down one after a few dropouts and additions), including 18 countrywide plan options accessible to all, four available only to particular groups, with the rest available regionally.

Even subscribers who want to keep their current coverage should look at the options, according to experts, because benefits do change a bit from year to year. Furthermore, “enrollees should carefully evaluate the 2022 rates of their current plan and any other plan alternatives they are contemplating for 2022,” the Office of Personnel Management (OPM) wrote in a communication to agency benefits advisers.

Several smaller plans have withdrawn out, and several HMO plans have limited their coverage regions. Hence, affected participants must choose a new plan or be put by default in the GEHA “Elevate” plan, the lowest-cost countrywide plan alternative.

OPM has also said that in over 100 plan options, self plus one will be more costly than family coverage in 2022. That oddity is a result of how the premium sharing mechanism works and the large share of older employees and retirees in self plus one, for which it’s less probable to have children young enough to be covered.

In many situations, the difference is modest. However, OPM still instructed agencies to remind enrollees that people who want to cover one eligible family member are not required to pick Self Plus One but may choose Family coverage instead.

In addition to changing plans, the open season provides for changes in coverage levels within a plan, for plans providing more than one, and changes in coverage types between Self Only, Self Plus One, and Self and Family. Active workers who haven’t previously enlisted in either program may do so; retirees may do so in FEDVIP but not in FEHB unless they’re working as reemployed annuitants.

Existing enrollment in the FEHB and FEDVIP programs will be carried over to the next year unless changed, subject to the updated premium rates and any modifications in benefits. Premiums in FEDVIP will be virtually flat, with no changes to the plans available. All vision plans are national, but some dental plans are regional, and some are national.

Those who want a dependent care or flexible health care spending account in 2022 must re-enroll during the open season. Maximums for dependent care accounts are $5,000 (individually or jointly) and $2,750 (individually) for health care accounts.

The open season doesn’t apply to the two other federal insurance schemes, FEGLI and FLTCIP. FEGLI holds open seasons only on rare occasions. However, they only allow new enrollments or coverage adjustments in specific conditions at other times. The FLTCIP accepts new enrollment applications and adjustments to current enrollment at any time, subject to underwriting.

Contact Information:
Email: [email protected]
Phone: 8139269909

Bio:
For over 30-years Joe Carreno of The Retirement Advantage has been a Federal Employee Retirement System specialist (FERS) as well as a Florida Retirement System specialist (FRS) independent advocate. An affiliate of PSRE (Public Sector Retirement Educators), a Federal Contractor & Registered Vendor to the Federal Government, also an affiliate of TSP Withdrawal Consultants. We will help you understand your FERS & FRS Benefits, TSP & Florida D.R.O.P. withdrawal options in detail while recognizing & maximizing all concurrent alternatives available.Our primary goal is to guide you into retirement with no regrets; safe, predictable, stable, for life. We look forward to visiting with you.

Disclosure:
Not affiliated with the U.S. Federal Government, the State of Florida, or any government agency. The firm is not engaged in the practice of law or accounting. Always consult an attorney or tax professional regarding your specific legal or tax situation. Although we make great efforts to ensure the accuracy of the information contained herein we cannot guarantee all information is correct. Any comments regarding guarantees, safe and secure investments & guaranteed income streams or similar refer only to fixed insurance and annuity products. Fixed insurance and annuity product guarantees are subject to the claimsâ€paying ability of the issuing company. Annuities are long-term products of the insurance industry designed for retirement income. They contain some limitations, including possible withdrawal charges and a market value adjustment that could affect contract values. Annuities are not FDIC insured.

How to Get the Most From Your FEHB

The Federal Employees Health Benefits (FEHB) program remains one of the most significant government benefits. Solicit the opinion of a non-insured private sector employee or a retired private sector employee who had insurance but lost it when they left their job.

With no limitations or waiting periods to join, and the same government contribution to premiums for retirees and active workers, FEHB has long been held up as a model program for employer-sponsored insurance. Most federal workers like their program.

A 2019 survey rated the FEHB as the second most valuable federal employee benefit behind retirement. Many said it was essential to them & three-quarters thought it was a good to exceptional value.

70% of individuals said having health insurance affected their choice to work for the government, and after being in the FEHB, they liked it more. 80% indicated it influenced their choice to stay. Almost all eligible individuals who are not registered revealed they have health insurance from another source, such as a spouse’s job or the military Tricare program.

That doesn’t mean it’s flawless. However, some private sector companies pay more than 70% of the entire premium cost, at least for some enrollees. Also, FEHB has coverage gaps in certain places, and rates rise each year. To get the most out of the FEHB, you must educate yourself and make wise decisions. The steps explained below help you achieve that.

The Step-by-Step Procedure

The first step is to learn FEHB. While it may seem redundant, especially if you’ve been in the software for a long time, there may be essential aspects you’ve overlooked. Many FEHB members have been with the same plan for years, if not decades, and pay little attention to open season except to compare new premium costs and coverage modifications. Even though all are entitled to change during yearly open seasons, just 5% do so.

Due to new legislation and OPM rulings, it’s also critical to understand how FEHB develops over time. Don’t make the mistake of assuming your coverage will be the same next year. Don’t assume your current plan will be available next year; some do, as did some HMO plans for 2021. Enrollees must re-choose a plan or risk losing coverage if they do not. Meanwhile, new plans join or current plans increase their offers, providing new options for the 2021 plan year.

The average FEHB enrollee premium increased 4.9% in 2021 over 2020, somewhat equal to prior increases (except for a modest 1.5% rise in 2019), compared to the experience of big private-sector employers in their programs. Benefits for retirees qualified for Medicare to join the program, even if it requires paying a separate fee, and benefits for insured individuals to engage in wellness programs and improve their healthcare quality.

Inflationary pressures such as rising usage rates, providers adopting newer and more costly equipment, and other factors such as medical inflation continue to drive prices up. Aside from premium and coverage terms, consider your enrollment type. A family member must be qualified for coverage under the program to be eligible for self only coverage. Although self plus one is less costly than family coverage inside a plan, there are still thousands of family coverage enrollments covering just two individuals years after self plus one was introduced. Then it would help if you had to know what options you can make and when. Outside of open seasons, adjustments are permitted for life events like marriage or childbirth, when you may want to review your health coverage.

Keeping what you have is also a choice, and it may be the best. Whatever you decide, be sure you make an informed choice based on all the facts.

Understanding FEHB Options

The flexibility of FEHB allows eligible individuals to make informed judgments about how to utilize the program in their circumstances effectively. Only ten carriers provide nationwide plans for 2021 (or 18 if you add certain of their high-deductible and consumer-driven choices, explained below), and even those have restrictions on who may enroll. Most of the remainder are LHMO plans, with one in every state.

In practice, enrollees have about 15 options depending on where they reside, with more options in cities and fewer in rural regions. Some plans provide two tiers of coverage, a large deductible or a consumer-driven design.

FEHB insures 8.2 million individuals. Almost all federal workers and retirees are eligible, as long as FEHB covers them for five years before retiring on an immediate annuity (there are limited exceptions to that requirement). Retirees pay the same premiums as current workers, but monthly rather than biweekly, and the employer contribution remains the same.

Postal retirees and non-postal federal workers pay around 70% of the premium; the employer contribution is somewhat greater for current postal employees but not for retirees. Activists may pay premiums using pre-tax paychecks. Retirees cannot use this “premium conversion” option, making their insurance costlier even if their premiums are the same as current workers.

Contact Information:
Email: [email protected]
Phone: 9143022300

Bio:
My name is Kevin Wirth and I have worked in the financial services industry for many years and I specialize in life insurance and retirement planning for individuals and small business owners, with a specialty in working with Federal Employees. I am also AHIP certified to work with individuals on their Medicare planning. You can contact me by e-mail or phone. I look forward to the opportunity of working with you on these most relevant areas of financial [email protected] 914-302-2300

What Happens to Your Retirement Application

Since you have settled on the decision to retire, what comes next? Your retirement application. It is crucial to remember that it might bring attention to the subsequent procedure and be challenging to comprehend. Be patient and follow the steps below for a stress-free retirement application.

When your personnel office receives your retirement application, it will undertake a series of checks to establish whether or not you are qualified to retire on the day that you have selected and whether or not you will be able to continue receiving your Federal Employees Health Benefits (FEHB) and Federal Employees’ Group Life Insurance (FEGLI) coverage after you leave the workforce. These checks will decide whether or not you are qualified to retire on the date you have chosen. In addition, these checks will indicate whether or not you will be able.

Your personnel office will, presuming that there aren’t any issues, prepare a Certified Summary of Federal Service for you. This document will list your federal civilian and military service, assuming you have any of either. When they send you a copy of the record, you should examine it to ensure that it is accurate and make any necessary adjustments.

Therefore, as the time gets closer to the date you’ve chosen to retire, the personnel office at your company will do the following:

• Confirm your eligibility to continue receiving FEGLI coverage with the Office of Personnel Management (OPM);

• Transmit your enrollment in the Federal Employees Health Benefits Program (FEHB) to OPM if you are qualified to continue;

• Transmit any active beneficiary designations that are currently stored in your OPF;

• Have a Notification of Personnel Action form, known as an SF 50, processed to terminate your service;

• Finish and receive approval for the component of your retirement application that deals with the personnel office; and

Then your retirement application and all supporting documents are delivered to your agency’s payroll office.

Payroll Office

The payroll office will approve the last payment of your salary after you have retired and separated from the company. 

In addition, it will provide you with the authority to receive any lump-sum compensation due to you for unused annual leave. If you have been given the option of a “buyout,” it will also authorize the price for that option; However, you ensure that;

•Your Individual Retirement Record (IRR), the official record of your current service, pay rates, unused sick leave credit for retirement purposes, etc., are certified and closed off.

The IRR contains a list of your retirement deductions for your final term of employment. It is impossible to close it out until you have received your last salary check;

• Attest to your basic yearly wage for life insurance if you are planning on maintaining any coverage into retirement; and

• Send your retirement package to the Office of Personnel Management.

After your agency’s payroll file has been sent to OPM, as a general rule, the payroll office at your agency will notify you of this fact. This notification will include the following information:

  1.  The registration number, as well as
  2. Your payroll office identification number.
  3.  And dates indicating when the mailing and transmission took happened,

If you need to check on the progress of your case after it has been submitted to OPM, then you will find that the information above is vital. You will be required to follow up with them if it does not.

The amount of time required to complete this procedure is contingent upon various factors, including the amount of work done in your organization’s payroll and personnel departments. The process can take far longer if they have insufficient personnel or are buried beneath a mountain of retirement applications.

The processing done by OPM is also depending on the amount of work being done. It can be overloaded during peak seasons, such as the end of the year and the beginning of the new year. To your good fortune, they will make an effort to pay you back a percentage of your annuity whenever it is feasible to do so.

This payment will be considered temporary until they have finished processing your application. After that, you will start receiving your correct monthly annuity payment and any catch-up monies that were not provided to you while receiving interim pay.

Contact Information:
Email: [email protected]
Phone: 2129517376

Bio:
M. Dutton and Associates is a full-service financial firm. We have been in business for over 30 years serving our community. Through comprehensive objective driven planning, we provide you with the research, analysis, and available options needed to guide you in implementing a sound plan for your retirement. We are committed to helping you achieve your goals. Visit us at MarvinDutton.com . Tel. 212-951-7376: email: [email protected].

Here’s How to Keep Your FEHB as a Federal Employee Ready to Retire

Federal Employees Health Benefits, also known as FEHB, provides federal employees with comprehensive health insurance throughout employment. As one of the most coveted employment benefits programs, it is also one of the most affordable options for what you receive. In addition, contrary to popular belief, FEHB coverage does not have to end at retirement, as long as the employee ensures they have met a specific set of criteria before retiring from the federal government.

When you work with the federal government, you enjoy many highly sought-after healthcare benefits mostly unheard of throughout the US workforce. Suppose you compared federal employee benefits to that of the private sector, especially in terms of cost and quality. You would quickly find that your seemingly expensive policy is quite the bargain. It’s essential to take advantage of these benefits well before retirement approaches. And if you’d like the keep them in your golden years, preplan to extend them beyond employment.

Although there may be a lot of confusion surrounding extending FEHB coverage once you retire, the truth is it is pretty straightforward to keep your coverage. In reality, losing your FEHB plan would be detrimental to your retirement years, especially in terms of paying for healthcare on a set budget as you continue to age. While there is further data regarding coverage for married federal employees, the following details do not apply to your spousal coverage or even for your children but are aimed toward your coverage as an employee of the federal government.

There are three basic rules for keeping your FEHB coverage beyond employment into retirement. Firstly, you have to retire on an immediate pension. Secondly, on the day you retire, you must be enrolled in FEHB. And finally, before retiring, you must have had FEHB coverage for five years before retirement. At face value, these seem pretty straightforward and easy to complete. But, unfortunately, when it comes to the government, the devil is in the details, as we will see.

Retiring on an immediate pension is one of the first rules to extending FEHB coverage into retirement, but what exactly is an immediate pension? Are there pensions that don’t qualify as “immediate”? An immediate pension is one you may establish immediately. It would also count if you were to take one out early, assuming you are eligible. A set of rules, known as the MRA+10 rules, define overall eligibility, which goes to great lengths in helping employees retain their FEHB coverage.

Once you meet the minimum retirement age requirement and have served at least ten years or more, you may qualify to retain FEHB into retirement. However, it is essential to note that there is one distinction to the rule you must be drawing from your pension. When it comes to an MRA+10 type of retirement, people choose to voluntarily postpone drawing from their pension to avoid the penalty. Once you are in pension postponement, you cannot have FEHB simultaneously but will have to wait until the postponement has ended.

In maintaining your FEHB into retirement, the second rule is in regard to FEHB enrollment. You must be enrolled in FEHB on the day you plan to retire. Essentially, the government has no requirements about the terms of your valid FEHB coverage, only that you are currently carrying coverage.

The final suggestion surrounds where your coverage currently lies, whether that’s Kaiser, Aetna, Blue Cross, and beyond. The government is not concerned with whether you change carriers once, twice, or more, only that you are underneath a plan. You may also have family member coverage, such as self plus family, self plus one, or self only. In terms of two federal employees being married, you may choose to switch back and forth between carriers, and the government still wouldn’t care. Whatever you do, you will still be covered under FEHB and meet the rule for retirement, even if you change it up with carriers.

While this bleeds into the five-year rule, it’s important to understand what the five-year rule is exactly. The last five years spent working for the federal government is known as the “five-year rule.” Basically, if you plan to retire on December 1, 2022, you must have been enrolled in FEHB coverage beginning January 1, 2018, and not a day later. It’s imperative that you not have any lapse of service within these five years of employment, too. Understanding the beginning date of your plan could mean the difference between qualifying to continue FEHB coverage through retirement, or foregoing it altogether.

For argument’s sake, let us assume the day comes when you have decided to voluntarily leave FEHB during your employment how does this affect carrying it into retirement? Because of the five-year rule, you must be continuously covered by FEHB and not experience any breaks in service, within the five solid years prior to retirement. If you did choose to end FEHB coverage during employment, your five-year clock will restart upon rejoining FEHB.

Contact Information:
Email: [email protected]
Phone: 3037587400

10 Strategies for Federal Employees Planning to Retire Before 2030

Thousands of federal personnel have retired since the COVID-19 pandemic began in March 2020. Many more eligible employees plan to retire during the following eight years.

Employees who are eligible to retire must be financially prepared to do so. With enough planning, an employee may do more than fantasize about a pleasant and financially secure retirement.

No one can know what the national economy and investment landscape will be like in 10, 20, 30, or more years. Hence, all employees who plan to retire in the next eight years should know what to expect financially after they retire and what should be done to complete the necessary tasks to prepare better for their retirement years.

Here are three recommendations to help employees who plan to retire within the next eight years:

1. Recognize and comprehend the link between investment risk and investment return and how it applies to TSP investing.

Unfortunately, risk connotes something negative for some TSP members. However, because the TSP is a long-term tax-advantaged savings plan, the “risk/return” ratio cannot be overstated. There is no doubt that investing in the stock market is risky. Investing in the TSP’s three stock funds (the C, S, and I funds) carries a certain amount of investment risk.

However, by taking the risk of investing at least half of a TSP portfolio in the C, S, and I funds, a TSP participant will be rewarded with a better investment return over the long run. Participants in the TSP should also be mindful that inflation may be disastrous to a long-term portfolio like the TSP. Stock investments have proved over the years that they can outperform inflation in the long run.

TSP participants are consequently advised to avoid attempting to dodge the current-year stock decline by investing in the so-called safe US Government Securities G fund. While invested in AAA-rated short-term US Treasury securities, the G fund doesn’t outperform inflation in the long run.

2. Decisions on Social Security.

The majority of government employees are entitled to monthly Social Security retirement benefits. The three most frequently asked questions about Social Security retirement benefits among employees and retirees are:

(1) At what age can I apply for my monthly retirement benefit, and are there any benefits to deferring the commencement of my payments?

(2) Do I qualify for any of my spouse’s, former spouse’s, or deceased spouse’s Social Security payments, and if so, under what conditions?

(3) Will my Social Security monthly income be reduced if I stop working in my late 50s or early 60s and wait until my late 60s to begin receiving Social Security benefits?

Individuals fully insured for Social Security can apply for retirement payments as early as age 62. However, if they choose to begin receiving benefits at age 62, their monthly amount would be permanently reduced. Delaying the start of their monthly Social Security retirement benefit increases the individual’s monthly payment by 7 to 8% each year they postpone their benefits beginning at 62 and continuing until 70.

Employees who will retire within the next eight years and are near their 62nd birthday are advised to delay obtaining Social Security benefits as long as possible (preferably until age 70). A guaranteed 7 to 8% rise in monthly benefits should keep up with the current cost-of-living increases. Married couples where both spouses are eligible for Social Security payments should seek counsel on coordinating their benefits. That covers which spouse should apply for benefits first and the choices available to the surviving spouse if the first spouse dies.

3. Even with the right to maintain FEHB health insurance, out-of-pocket health care costs will continue to rise.

After retirement, federal employees are entitled to maintain their FEHB health insurance coverage, with the federal government continuing to pay, on average, 72 – 75% of the FEHB program health insurance premiums. However, this doesn’t imply that a federal retiree can expect to pay the minimum out-of-pocket for health care during their retirement.

For instance, FEHB health plan rates, like other health insurance premiums, will continue to rise. Retirees are urged to enroll in Medicare Part A (Hospital Insurance) at no cost and Medicare Part B (Medical Insurance) with a monthly payment paid by the retiree (depending on the retiree’s income). If married, a federal retiree and spouse can reduce out-of-pocket health care costs by enrolling in an FEHB health plan and Medicare Parts A and B.

Contact Information:
Email: [email protected]
Phone: 8007794183

Bio:
For over 20 years, Jeff Boettcher has helped his clients grow and protect their retirement savings. “each time I work with my clients, I’m building their future, and there are few things that are more important to a family than a stable financial foundation.”

Jeff is known for his ability to make the complex simple while helping navigate his clients through the challenges of making the right investment decisions. When asked what he is most passionate about professionally, his answer was true to character, “Helping my clients – I love being able to solve their problems. People are rightfully concerned about their retirement income, when they can retire, how to maximize their financial safety and future income.” Jeff started Bedrock Investment Advisors for clients who value a close working relationship with their advisors.

A Michigan native, Jeff grew up playing sports throughout high school and into college. While Jeff is still an ‘aging’ athlete, Jeff will take more swings on the golf course than miles running these days. He creates family time, often with weekly excursions to play golf, a hobby he shares with his three young children.

Disclosure:
Investment Advisory Services are offered through BWM Advisory, LLC (BWM). BWM is registered as an investment advisor and only conducts business in states where it is properly registered or is excluded from registration requirements. We are currently either state or SEC-registered in the following states: Arizona, Florida, Illinois, Kansas, Louisiana, Michigan, New York, Oregon, Texas, and Washington. Registration is not an endorsement of the firm by securities regulators and does not mean the advisor has achieved a specific level of skill or ability. The firm is not engaged in the practice of law or accounting. Always consult an attorney or tax professional regarding your specific legal or tax situation.
Although we make great efforts to ensure the accuracy of the information contained herein, we cannot guarantee all information is correct. Different types of investments involve higher and lower levels of risk. There is no guarantee that a specific investment or strategy will be suitable or profitable for an investor’s portfolio. There are no assurances that a portfolio will match or exceed any particular benchmark. Any comments regarding guarantees, safe and secure investments, guaranteed income streams, or similar refer only to fixed insurance and annuity products. They do not refer, in any way, to securities or investment advisory products. Fixed insurance and annuity product guarantees are subject to the claimsâ€paying ability of the issuing company and are not offered by BWM Advisory, LLC. Guaranteed lifetime income is available through annuitization or the purchase of an optional lifetime income rider, a benefit for which an annual premium is charged. Annuities are long-term products of the insurance industry designed for retirement income. They contain some limitations, including possible withdrawal charges and a market value adjustment that could affect contract values. Annuities are not FDIC-insured. Not affiliated with the U.S. Federal Government or any government Agency.

OPM’s FERS Retirement Timeline: What to Expect

Are you considering retiring from your federal job? Congratulations! You’ve dedicated yourself to public service for a long time, and now it’s time to reap the advantages of that fantastic benefits package you’ve heard so much about throughout your career.

Unfortunately, to complete the retirement process and earn your pension, you must jump through some hoops. It’s a time-consuming and costly process (if you’re not careful). Since the epidemic, the average processing time for retirees has been around 60-90 days.

Timeline for Retirement Paperwork

The application for FERS retirement is merely the first step. First, your department’s personnel office will ask you to sign a few documents and begin the process of certifying your service, which can take a long time if any paperwork is missing. Your life insurance (FEGLI) and health insurance (FEHB) enrollments are also transferred to the OPM.

Then it’s off to the payroll office. They authorize your final paycheck and the payout of unused yearly leave once they receive your papers from personnel. They also send your salary, retirement contributions, and service history to the Office of Personnel Management (OPM).

When OPM receives all of your papers from these other offices, they provide you with a civil service claim number that you may use to keep track of everything. Then you wait for them to assess your eligibility, compute your annuity, and  at long last!  sending you your check.

So, how long will this all take? Here’s where we are now in terms of the board timeline:

• Day 1: The date of your retirement. Congratulations! Get rid of your alarm clock and start doing those things you’ve always wanted.

• TSP monies are available for withdrawal on day 30. The payroll office will notify TSP of your automatic retirement, and you should be able to withdraw your funds without penalty within 30 days of retirement.

• Day 30-45: A lump amount payment for annual leave is sent. This payout takes at least two full pay periods to complete following your retirement date, and it can take up to six weeks to receive. The payroll department is responsible for this process.

• Day 45-70: The Office of Personnel Management (OPM) sends out the first retirement letters. OPM will send you the Civilian Service Annuity Number (CSA#) six to ten weeks after your retirement date, which you will need any time you contact them. Later, they’ll send you a letter with an online password to set up future communication.

• Day 45-70: The Office of Personnel Management (OPM) provides an interim retirement check. You’ll get your first annuity check when you get your first letters, but it’ll only be for 60-80% of your estimated annuity. This is only to keep you afloat while they process your paperwork, which should arrive between six to ten weeks after your retirement date.

• Day 90-120: The Office of Personnel Management (OPM) delivers your complete retirement check. When OPM has finished processing your papers, they will issue you a check for the entire amount of your annuity. This pays you the balance due from the interim check, minus insurance and taxes. This entire check may take three to six months to appear.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision.

Less Than 200 Employees Are Interested In The SSA’s Early Retirement Offer

In 2021, the Social Security Administration (SSA) resumed its tradition of providing early retirement to qualified employees. However, preliminary figures indicate that the agency had very few takers. 

According to emails obtained by Federal News Network and confirmed by the agency, the SSA offered a round of early retirement prospects earlier this autumn.

This year, approximately 6,800 SSA employees were eligible for early retirement. To date, around 175 employees, or little more than 2% of those eligible, have accepted the offer, according to an email sent by an agency spokesperson to Federal News Network. 

Employees eligible for the early retirement offer had until November 26 to notify their supervisor of their intention to accept the offer. According to an agency spokesperson, they must depart the agency by December 31, when the SSA’s early retirement permission from the Office of Personnel Management (OPM) expires.

In recent years, SSA has offered early terminations on multiple occasions. The agency normally announces an early-out option once a year, which “lets us rebalance resources to meet the changing service demands of the American people,” said an SSA spokesperson. 

However, unlike in previous years, the Biden administration’s vaccination requirement adds a new dimension to the opportunity. Federal employees had until November 22 to get fully vaccinated or file a medical or religious exemption request, and most SSA employees complied with the vaccine mandate. 

However, the timing of this year’s early-retirement window gave individuals eligible for an early departure some flexibility concerning complying with the vaccination obligation, according to the SSA. 

All employees are expected to meet the vaccination requirement. However, they have reached an agreement with labor partners that any employee who notifies the management in writing of their intention to retire/separate by December 31, 2021, won’t be subject to enforcement of the requirement, the SSA spokesperson said. 

According to data provided by the Office of Management and Budget last week, at least 90.3% of the SSA workforce has received at least one vaccine dose, and 97.7% of the agency’s employees were either partially vaccinated or had a medical or religious exemption request pending or approved. 

The SSA’s offer doesn’t include additional monetary incentives, as has become usual with early retirements from agencies in recent years. 

Employees need to have 20 years of creditable service and be at least 50 years old to be eligible for early retirement or have at least 25 years of service time at any age. 

Employees have to be serving under a non-time-limited appointment, have been continuously on SSA’s rolls since at least 31 days before November 20, 2020, and employees cannot be the subject of an involuntary separation decision due to misconduct or unsatisfactory performance, according to the SSA’s early retirement notice, obtained by Federal News Network. In addition, Civil Service Retirement System (CSRS) workers must have worked in a CSRS post for at least one year out of the one year immediately before retirement. This last condition does not apply to employees of the Federal Employees Retirement System (FERS). 

To maintain their federal health insurance coverage upon retirement, eligible personnel must have been covered by the Federal Employees Health Benefits (FEHB) program for at least the final five years of their government service. 

The Office of Personnel Management (OPM) will grant pre-approved waivers to employees who have been continuously covered under the FEHB program since the beginning date of the agency’s latest early out authority (December 16, 2020) and retire through voluntary early retirement during the early out period, as stated in the SSA notices. 

Early retirement was made available by the Social Security Administration (SSA) in 2012, 2014, 2017, and 2019. Around 3-4% of those eligible accepted the early retirement option in the past. 

Around 27% of the SSA staff will be able to retire by 2022,  as stated by a 2019 Government Accountability Office report. 

Contact Information:
Email: [email protected]
Phone: 9568933225

How to Appeal a Federal Insurance Claim Denial

The Federal Employees Health Benefits Program (FEHB) can aid you and your family in meeting your healthcare needs. Federal employees, retirees, and their dependents have access to the most comprehensive health care options in the country.

Federal insurance claims can sometimes be denied. Denial occurs when your federal employment insurance program informs you that your medication or therapy will not be covered. It is quite irritating and frightening if you are obliged to pay for the entire cost of treatment. However, you can fight against the denial of a federal insurance claim. 

Initially, examine if the service is included, restricted, or exempted in your plan’s brochure. Further, go through the section of your brochure that deals with the disputed claims. Concisely, this section will instruct you to contact the plan and clarify the reasons why you believe the services should be covered (consider the appropriate brochure coverage provisions). You will also be instructed to request that the plan review your claim. 

If the plan denies the claim once more, read the plan’s conclusion letter carefully and double-check your plan’s brochure. If you continue to disagree with the plan’s judgment, the disputed claims portion of your brochure will explain how to contact the Office of Personnel Management and request a claim reassessment.  

The Office of Personnel Management (OPM) is adopting provisional measures to amend the Federal Employees Health Benefits Acquisition Regulation to include a new contract provision (FEHBAR). The clause clarifies for both FEHB carriers and covered people the conditions in which OPM may decide about a covered person who requests OPM to reconsider a health benefits plan’s denial of a claim if the plan has either confirmed its denial once the covered individual requested reconsideration or has failed to answer to the covered individual’s request for reconsideration as provided by OPM’s regulations.  

Claimants may seek court review of benefit denials under the FEHB program in certain instances, according to the provision. The objective of these interim regulations is to make it clear that covered persons who want to file a legal claim over rejection of an FEHB benefit must do so through OPM. The interim regulations also define the administrative review procedure that must take place before legal action may be taken in court. 

In most cases, OPM will respond to your inquiry within five days. OPM will offer you a final response within 60 days once the evaluation is completed. If it requires more time or you need to do more–for example, email more information–they will contact you within 14 business days of receiving your request and tell you what you need to do next, if anything. The Office of Personnel Management will not decide over the phone until the review is finished and a written copy of the final decision is delivered. 

If you are unhappy with the outcome of the OPM review, you may be entitled to file a lawsuit in federal or state court, depending on your state’s rules. If required, seek legal advice. 

If your claim is refused, you have 60 days to request reconsideration, and the carrier will answer within another 60 days. Suppose the reconsideration judgment denies the benefit again. In that case, you have 60 days to submit an appeal with a committee comprised of persons appointed by the John Hancock life insurance business, as well as others, if mutually agreed upon with the OPM. Within 60 days, the appeals body will make a ruling. 

If the committee sustains the denial, you have the option of requesting an appeal to an independent third party chosen by OPM and the carrier. The request would have to be submitted within 60 days, and a decision would have to be made within another 60 days. 

You may seek judicial review of a final rejection of eligibility for benefits or a claim in federal district court after exhausting this appeals procedure. The amount of compensation would, however, be restricted to the benefits that would have been receivable. Actions against the Office of Personnel Management or the third-party adjudicator are also prohibited, as are suits based on state or municipal law or regulations. 

Contact Information:
Email: [email protected]
Phone: 2129517376

Bio:
M. Dutton and Associates is a full-service financial firm. We have been in business for over 30 years serving our community. Through comprehensive objective driven planning, we provide you with the research, analysis, and available options needed to guide you in implementiong a sound plan for your retirement. We are commited to helping you achieve your goals. Visit us at M. Dutton and Assoiciates.COM. Tel. 212-951-7376: email: [email protected].

Defined Benefit Programs of Value, Says Study

A recent study demonstrates the importance of a defined benefit program, like the FERS or CSRS civil service annuity. It shows how much faster those without such benefits deplete their assets after retiring.

According to the Center for Retirement Research, given the erosion of defined benefit plans in the private sector, historical data on drawing down savingsâ€â€which is used in calculations of how much people should have saved to guarantee enough income in retirementâ€â€might paint an overly optimistic picture of retirement preparedness.

It discovered that half of the oldest Boomer households, born in the late 1940s, have at least one spouse with a defined benefit. That drops to around a quarter for the generation’s middle, people born in the mid-1950s, and less than a tenth for the youngest, people born in the early 1960s.

Previous studies focused on older generations with significant defined benefit (DB) coverage; the validity of drawdown estimates based on these cohorts for future cohorts with considerably less DB coverage is unknown… Any projections of the speed of drawdown for Baby Boomers based on the sluggish depletion of previous generations would likely underestimate the rate at which retirees pull down their assets, it warned.

For instance, it discovered that retirees with $200,000 of initial wealth (about the midpoint in the data) who are insured by a defined benefit plan lower their financial assets by $28,000 less by 70 than those who aren’t covered by such a benefit.

It concluded that past generations’ access to a DB pension was related to the delayed depletion of their financial assets. Furthermore, the greater a retiree’s annuity holdings (including DBs, Social Security, and commercial annuities), the slower they drew down their other assets.

Projections for the Baby Boomer generation based on previous generations’ drawdowns are likely to underestimate their downturn speed. The findings show that Baby Boomers without DB plans may be depleting their assets quicker, putting them in greater danger of outliving their savings.

Contact Information:
Email: [email protected]
Phone: 9568933225

Avoid These Mistakes While Planning for Retirement

It is terrible that some government employees who have worked for their country for 10 or 20 years will not be able to retire when planned because of unfinished business from their time in the service to the country.

This article focuses on employees’ most common federal retirement planning blunders. It doesn’t matter which retirement system these employees are covered by. They might be covered by CSRS, the FERS, or even a hybrid of the two (known as “TransFERS” employees). As a federal employee, if you plan to retire, you should avoid these mistakes to avoid any trouble.

Not reviewing personnel records.

Form SF 50 (Notice of Personnel Action), which is updated annually, should be reviewed by federal workers regularly to ensure that it is accurate and up to date. Important retirement-related information can be found on Form SF 50, such as: On Form SF 50, the “retirement plan” box 30 shows the retirement plan an employee is covered by, such as the Civil Service Retirement System (CSRS), the CSRS-Offset, or the Federal Employees Retirement System (FERS) (FERS).

It is the responsibility of employees to verify that they are enrolled in the right retirement plan. Federal employees have been mistakenly enrolled in the wrong retirement system when employed, a mistake they didn’t discover until they were about to retire.

Fails to request estimates of unpaid deposits.

By depositing military or non-deduction time, many employees do not realize that this resets their SCD for retirement backward, increasing the amount of their CSRS or FERS gross annuities. They may also find that they may retire earlier than they had anticipated.

It is possible to redeposit withdrawn CSRS or FERS contributions for federal employees who previously worked for the government, left before they were eligible for retirement, and then later returned to work for the government, restoring the years of service that were lost as a result of these withdrawn contributions (usually with interest charges). Some workers are only informed of their deposits or redeposits at the end of their careers, resulting in a higher interest rate and a more significant financial burden.

Not understanding the health benefits.

Federal employees’ health insurance coverage under the Federal Employees Health Benefits (FEHB) program is often misunderstood by those who work for the government. Notably, just 25-28% of total FEHB premiums are paid by workers and annuitants, with the federal government picking up the other 72-75% of the tab.

To depart on a “postponed” retirement under FERS’ Minimum Retirement Age “MRA +10” or “MRA +20” rules, an employee must retire under an immediate retirement (one that commences within 30 days of separation). In addition, the employee must have been enrolled in FEHB for five years immediately before retirement or since the retiring employee’s first chance to enroll in FEHB as a family member (such as a spouse) to be covered by FEHB.

Contact Information:
Email: [email protected]
Phone: 9187441333

Bio:
Mark, a lifelong Tulsan graduated from Westminster College, Fulton, Missouri with a Bachelor of Arts in Accounting. Mark served in the United States Army as a Captain in the 486th Civil Affairs BN. Broken Arrow, Oklahoma and retired in 1996. Mark is married to his high school sweetheart Jenny and has four beautiful children. Mark’s passion for his work, which includes over 20 years in the Financial Industry started as an Oklahoma State Bank Examiner. Mark examined banks throughout Oklahoma gaining a vast knowledge and experience on bank investments, small business and family investments. Mark’s experiences include being formally trained by UBS Wealth Management, a global investment firm where he served as a Financial Consultant specializing in Wealth Management for individuals & families. Mark is a licensed Series 24 and 28 General Securities Principal and an Introducing Broker Dealer Financial Operations Principal. Additionally, Mark is a Series 7 and 66 stockbroker and Investment Advisor focusing on market driven investments for individuals, businesses and their families.

Mark specializes in providing financial knowledge, ideas, and solutions for federal employees, individuals, families and businesses. We serve as your advocate, and assist you in the design and implementation of financial strategies while providing the ideas to maximize your security and wealth. Our goal is to give you maximum control of your financial future. We provide the expertise to help you with personal issues such as: practical tax Ideas, risk management, investment solutions, and estate preservation.

Additionally, we’ve counseled hundreds of employees on their transitions from careers in federal government, and private industry to their next life stage, whether that is retirement or a second career. We specialize in devising strategies that roll your TSP, 401(k), pension plan, to a suitable IRA to meet your objectives.

Disclosure:
Securities offered through GRF Capital Investors, Inc., 6506 South Lewis Avenue, Suite 160 Tulsa, OK 74136 Phone: 918-744-1333 Fax: 918-744-1564

Securities cleared through RBC Capital Markets, LLC. 60 South 6th St., Minneapolis, MN 55402

Member FINRA www.finra.org / SIPC www.sipc.org

Broker Check http://brokercheck.finra.org/

Being on Medicare Means No Money in a Health Savings Account

Congress is discussing if a Health Savings Account (HSA) would be authorized for Medicare recipients.

However, it would alter a few of the advantages of HSAs for those over 65.

The Health Savings for Seniors Act (H.R. 7435) was recently filed in the House of Representatives and is a bipartisan effort to allow Medicare beneficiaries to contribute to HSAs once again. As more people use HSAs with their workplace health plans, the number of people eligible for Medicare at age 65 is expected to rise.

Elizabeth Gavino, founder of Lewin & Gavino and an independent broker and general agent for Medicare insurance, noted that many customers who have opened HSAs assume they may continue contributing to the HSA after enrolling in Medicare.

What are the compromises made by the legislation? It would be impossible to pay Medicare premiums using HSA withdrawals, which are presently permitted. It would also abolish penalty-free withdrawals for non-medical costs for those 65 and older.

According to an estimate by financial consultancy Devenir, 32 million of these accounts will be by the end of 2021, an increase of 8% from 2020, with a total value of $98 billion. By 2024, the company expects that number to rise to 38 million accounts and $150 billion in assets.

Annual Contributions to HSAs

Individual HSA contributions are capped at $3,650, and family contributions are capped at $7,300 in 2022. (Next year’s limitations will be increased.) People over 55 can contribute an additional $1,000 yearly to their retirement accounts.

Withdrawals from HSAs are tax-free as long as they are used to pay for eligible medical expenditures, and contributions can be deducted from taxable income. According to a 2021 report from the Kaiser Family Foundation, over 28% of workers have such a plan, up from 17% in 2011.

A Health Savings Account (HSA) is only available to those with a high-deductible medical plan, and Medicare is not one of them. Health savings accounts (HSAs) can be used to pay medical bills, but beneficiaries cannot open a new HSA or make contributions to an existing one.

Medicare Part A (hospital coverage) and Part B (prescription drug coverage) can be signed up for at 65. However, many people continue to use their employer’s health plan in addition to Medicare (outpatient care). To continue making pretax contributions to an HSA, they must delay signing up for Medicare if the employer plan is high-deductible.

High-Deductible Health Plan for 2022

High-deductible health plans in 2022 must-have deductibles of at least $1,400 for an individual or at least $2,800 for family coverage and annual out-of-pocket payments (not including premiums) of no more than $7,050 (for an individual) and $14,100 (for a family), respectively (family plan). Out-of-pocket expenses are not included.

Medical Savings Accounts (MSAs), comparable to Health Savings Accounts (HSAs), are available under the Medicare program, although just 5,600 beneficiaries were enrolled in health plans that utilized them in 2019.

Some Medicare beneficiaries may choose a high-deductible Medicare Advantage Plan that includes one of these MSAs. Individuals cannot make contributions to these accounts. However, you can take tax-free withdrawals from the plan to pay for medical expenditures, which may fluctuate yearly depending on the insurer.

Contact Information:
Email: [email protected]
Phone: 2129517376

Bio:
M. Dutton and Associates is a full-service financial firm. We have been in business for over 30 years serving our community. Through comprehensive objective driven planning, we provide you with the research, analysis, and available options needed to guide you in implementiong a sound plan for your retirement. We are commited to helping you achieve your goals. Visit us at M. Dutton and Assoiciates.COM. Tel. 212-951-7376: email: [email protected].

Simple Ways to Manage Health Care Costs in Retirement if You Plan Now

Most people estimate their retirement spending based on food, gas, utilities, and housing bills. They often overlook healthcare costs.

Not considering retirement healthcare costs might be an expensive oversight since medical expenses are a significant retirement expense. They’ve outpaced inflation for years. One severe illness can destroy your savings.

Talk about price shock! Fidelity Investments estimates that a 65-year-old couple will need $300,000 (after taxes) to cover healthcare costs in retirement. Some 80% of RBC Wealth Management study respondents are “worried about funding healthcare.” According to an April IBD/TIPP poll, about half of Americans worry about retirement healthcare expenses.

Know How Healthcare Expenses Change

Still, you shouldn’t worry much about these scary prospects. For example, you don’t have to pay 20 or 30 years of premiums, deductibles, and copays in one lump sum.

Aging increases healthcare costs. RBC Wealth Management estimates that a healthy 65-74-year-old couple will spend $12,000 annually on healthcare. The cost jumps to $21,000 for couples 75-84 and $38,000 for couples 85 and older.

Your early retirement expenses will be more consistent and manageable. That allows the money you save for medical expenses in 401(k)s, IRAs, health savings accounts (HSAs), and other assets to grow before the large bills arrive.

How can you avoid healthcare costs affecting your lifestyle in retirement? Here are some tips:

Budget For Healthcare Costs

You must consider medical expenses in your financial plan. Estimate how much to save and how to pay for it. 

Consider your health and family history when estimating expenses. Expect to spend more if you smoke or have a chronic condition like diabetes. Consider your location too. Traditional Medicare costs the same worldwide, but Part D and “Medigap” supplemental plans might vary.

Retirement plans are also vital. You must bridge the insurance gap if you retire before Medicare eligibility at 65. COBRA offers 18 months of coverage after you quit a job. Consider also a state health insurance exchange policy or your spouse’s plan.

Healthcare Expenses: Cover Insurance Gaps

Filling coverage gaps is your greatest protection because it reduces price uncertainty. Knowing your costs makes budgeting easier.

Consider Medicare

Many believe Medicare covers all medical expenditures. Not really. It doesn’t cover eye tests, dental, hearing, or nursing home care. Traditional Medicare requires a monthly premium and copayments for eligible services. There’s no annual limit on what you might pay for hospital and out-of-pocket medical expenses.

Medicare can be expensive. Medicare Part A (hospital insurance) has a $1,556 deductible for each benefit period and no premiums. Part B (doctor visits, lab tests, etc.) premiums start at $170.10 per month and can reach $578.30 based on income. After a $233 deductible, you’ll pay 20% of Medicare-covered services.

Part D (prescription medications) and Medigap (private coverage that helps defray costs for Medicare Part A and B services by paying for out-of-pocket expenses that could cost thousands of dollars a year) require an extra premium and deductible.

Check Your Healthcare Cost Options

Check if a privately managed Medicare Advantage plan (Part C), which bundles Parts A, B, and D, is cheaper. Although you’ll still have to pay the government for your Part B premium and possibly a private plan premium, your copays will likely be lower than the 20% copay for doctor visits under standard Medicare. Medicare Advantage caps out-of-pocket costs annually.

You may face a penalty if you don’t enroll in Medicare when you’re first eligible. So, remember to register on time.

Consider LTC

These insurance expenses don’t include long-term care. That’s the need for home, assisted living, or nursing home care. According to Genworth’s “Cost of Care Survey,” an in-home health aide costs $5,148 a month, assisted living $4,500, and a nursing home private room costs $9,034.

How may long-term care expenditures be reduced? If you can afford it, choose a stand-alone long-term care policy or a hybrid life insurance policy with a cash value. Another option is buying a guaranteed income annuity.

Paying out of pocket can be expensive and make it difficult to pass on assets to heirs. 

Carefully Invest For Medical Costs 

Roth IRAs, 401(k)s, and HSAs (health savings accounts) are good places to start saving early. The objective is to have adequate assets when needed. Create a healthcare savings bucket precisely as you do for emergencies, short-term needs, and retirement.

You should establish a fixed income stream for health bills that aren’t affected by market volatility or taxed every time you pay.

Use IRAs

Roth IRA and 401(k) withdrawals are tax-free. Another tax-friendly option is using a high-deductible HSA as an investing account since they are triple-tax-free. Money enters, grows, and leaves tax-free. Invest the annual HSA maximum contribution ($7,300 for families in 2022) in growth investments for future usage. In the meantime, pay out-of-pocket costs with other accounts.

You receive tax breaks at every level. It’s great to finance copays and other fees without using your HSA.

If you don’t have a Roth IRA, now’s a good time for conversion. Due to the market drop, the taxes you’ll pay to convert are likely lower than in early January.

A diversified portfolio allows you to use easy-to-access cash when needed and grow money in stocks for future healthcare costs.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision.

Avoid the Repercussions of Rejecting FEHB Coverage

If you are a federal employee, you may be eligible to receive a whole slew of benefits from the first day of employment, including Federal Employee Health Benefits (FEHB) coverage. FEHB coverage is available to federal employees as an employer-sponsored plan unless otherwise excluded via regulation or law. Depending on the agency you are employed by, your overall eligibility depends on various rules. Additionally, the healthcare offered by FEHB plans does meet the minimum value standard of the Affordable Care Act (ACA). Unfortunately, the FEHB program experiences increases in premiums each year, which has many long-term employees considering dropping FEHB late in their careers.

While there are various reasons for opting for another health insurance option, including private sector employment coverage through a spouse, making such a significant change late in the game can carry consequences. The coverage set forth by an FEHB policy extends into retirement years to continue providing health benefits well after your career has come to a close. If you are entitled to retire within the civilian retirement system, a minimum of five years of continuous FEHB plan enrollment is required. In rare cases, a five-year requirement waiver may be deemed acceptable instead of continuous enrollment. Should you opt to bypass enrollment or cancel it, your signature certifies an understanding of the effect this choice will have on your coverage past retirement.

As an annuitant, should you choose to cancel your FEHB plan enrollment, your chances of re-enrollment are slim to none. The only exception would be if your cancellation or suspension were related to Medicare managed care plan (TRICARE, CHAMPVA, etc.) enrollment. Furthermore, your family will face the consequences of your choices, with complete coverage ineligibility should you convert to a private, non-group policy. Ultimately, should you be curious about whether dropping out of an FEHB program is right for you, you should avoid it altogether unless you’re confident in your ability to re-enroll in the program.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision.

Lawmakers Attempt to Increase Retirement Age in an Effort to Save Social Security & Medicaid

Recently, lawmakers have struggled in vain to ensure Social Security assurance for our senior citizens. The current financial stability of the Social Security program poses serious threats to Medicare, tax caps, and the modern retirement age, as lawmakers explore several solutions. With statistics showing Americans currently live longer, it enforces advocates to insist on increasing the age citizens are eligible to take advantage of Social Security benefits. Does an increase in the tax cap or retirement age make sense to aging senior citizens, and what are the future implications?

Depleted Concern or Depleted Funding?

While the statistical data implies modern-day Americans live longer than ever before, lawmakers are currently considering a retirement age increase from 65 to 69 by 2030 if they ultimately fail to raise it to 75 by the year 2032. Ultimately, the goal of multiple senators in favor of the proposal is to claim this is the best solution to getting a grip on our nation’s climbing debt crisis. This concept involves adjusting retirees’ long-term benefits rather than raising revenue through taxation.

Other lawmakers favor an increase in the income subject to Social Security and Medicaid taxes, claiming it is a fair solution for higher earners. Currently, the tax cap sits at $147,000, which may face either total elimination or significant increases should Social Security and Medicaid suddenly become insolvent. At our current rate, experts expect Social Security to be entirely depleted by 2034. However, with the increased number of senior citizens and improved life expectancy, it’s concerning to wonder whether Social Security could disappear altogether.

Could Social Security Disappear Entirely?

As Americans continue to reach retirement age or linger a few years behind it, many are left to wonder whether Social Security can go bankrupt or disappear entirely. If Social Security had failed to exist at all, nearly half of all elderly would live in a state of poverty. Currently, roughly 10% of America’s aging citizens live in poverty. But, thus far, the government-funded program has provided a steady source of income for aging, retired workers to rely on from month to month. Protecting this program could mean the difference between taking care of or leaving them to live in unacceptable living conditions.

Unfortunately, the demographic changes have put Social Security in a tough spot, falling short by nearly $17 trillion. Some experts blame baby boomers for leaving the workforce in droves, and as they retire, they are also living longer and consuming more Social Security funds than ever before. As time marches on, our society is witnessing record-low birth rates, which threatens the worker-to-beneficiary ratio the program relies on so heavily. If lawmakers halt efforts to increase the retirement age or tax cap, Social Security could face insolvency.

Contact Information:
Email: [email protected]
Phone: 6232511574

Bio:
I grew up in Dubuque, Iowa, where I learned the concepts of hard work and the value of a dollar. I spent years in Boy Scouts and achieved the honor of Eagle Scout. I graduated from Iowa State University and moved to Chicago and spent a few years managing restaurants. I then started working in financial services and insurance helping families prepare for the high cost of college for their children. After spending years in the insurance industry, I moved to Arizona and started working with Federal Employees offing education and options on their benefits. I became a Financial Advisor / Fiduciary to further help people properly plan for the future. I enjoy cooking and traveling in my free time.

Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision.

Get Ready for Open Season

Federal Employee’s Health Benefits (FEHB) can change outside the open season due to qualifying life events.

The majority of Federal Employees Health Benefits (FEHB) enrollment changes during the open season, which occurs yearly. Even though most enrollment changes occur during the open season, some changes can also happen when you experience a “qualifying life event.”

Below are the qualifying life events that allow enrollment or its changes to the Federal Employees Health Benefits (FEHB).

If there is a change in your family status, you can enroll or change your enrollment from the benefits program. Examples of such family status include birth or child adoption, marriage, divorce, legal separation, and death of a spouse or relative.

Changing your current employment status is also a “qualifying life event” that can cause an enrollment change. If you are reemployed back into the workforce after a short break in service for more than 72 hours, your status will return to pay status when your coverage is terminated. Coverage termination occurs when you are on leave, have no pay status, or do not have a pay status for more than a year while you are on leave. 

Your premiums are withheld during your leave period because there is a sufficient increase in your pay. You will now be in a civilian position since you have served in the uniformed service. You can change from your temporary appointment to a new appointment that gives you access to a government contribution. You can move from or to part-time career employment.

You will terminate your membership in the employee organizationsâ€â€the Federal Employees Health Benefits (FEHB) sponsorsâ€â€when you change to self only in another health benefits program sponsored by the federal government. Changing to federally sponsored health benefits programs such as the state-sponsored program for the needy or Medicaid will terminate your membership in the Health Benefits program. 

If you cancel or terminate the covering enrollment, you or your close relative may lose the Federal Employees Health Benefits (FEHB) or coverage under the benefits enrollment. 

When any of these events happen, you can enroll, change your enrollment to or from self only, change to another employee health benefits plan, or even terminate your enrollment under the program. You must know that you can only change to Self Only in case of events that make you the last eligible close relative following the Federal Employees Health Benefits (FEHB) enrollment guide. You can only cancel your enrollment with a qualifying life event if you, the enrollee, show that you and your eligible close relatives now have another coverage for your health insurance.

Contact Information:
Email: [email protected]
Phone: 9187441333

Bio:
Mark, a lifelong Tulsan graduated from Westminster College, Fulton, Missouri with a Bachelor of Arts in Accounting. Mark served in the United States Army as a Captain in the 486th Civil Affairs BN. Broken Arrow, Oklahoma and retired in 1996. Mark is married to his high school sweetheart Jenny and has four beautiful children. Mark’s passion for his work, which includes over 20 years in the Financial Industry started as an Oklahoma State Bank Examiner. Mark examined banks throughout Oklahoma gaining a vast knowledge and experience on bank investments, small business and family investments. Mark’s experiences include being formally trained by UBS Wealth Management, a global investment firm where he served as a Financial Consultant specializing in Wealth Management for individuals & families. Mark is a licensed Series 24 and 28 General Securities Principal and an Introducing Broker Dealer Financial Operations Principal. Additionally, Mark is a Series 7 and 66 stockbroker and Investment Advisor focusing on market driven investments for individuals, businesses and their families.

Mark specializes in providing financial knowledge, ideas, and solutions for federal employees, individuals, families and businesses. We serve as your advocate, and assist you in the design and implementation of financial strategies while providing the ideas to maximize your security and wealth. Our goal is to give you maximum control of your financial future. We provide the expertise to help you with personal issues such as: practical tax Ideas, risk management, investment solutions, and estate preservation.

Additionally, we’ve counseled hundreds of employees on their transitions from careers in federal government, and private industry to their next life stage, whether that is retirement or a second career. We specialize in devising strategies that roll your TSP, 401(k), pension plan, to a suitable IRA to meet your objectives.

Disclosure:
Securities offered through GRF Capital Investors, Inc., 6506 South Lewis Avenue, Suite 160 Tulsa, OK 74136 Phone: 918-744-1333 Fax: 918-744-1564

Securities cleared through RBC Capital Markets, LLC. 60 South 6th St., Minneapolis, MN 55402

Member FINRA www.finra.org / SIPC www.sipc.org

Broker Check http://brokercheck.finra.org/

2022 FEHB Premiums Explained – Joe Carreno

In certain 2022 FEHB schemes, the Self Plus One alternative will be more expensive than what is obtainable with the Self and Family plan.

If you and your partner are enlisting for a 2022 Federal Employees Health Benefits (FEHB) package in the coming year, you might be shocked to hear that certain schemes in the FEHB plan offer a lower cost for the Family choice than the Self Plus One alternative.

The United States Office of Personnel Management (OPM) has produced a compilation of the FEHB package for 2022 with a greater entrant premiums share for the Self Plus One enlistment package than for the Self and Family enlistment. There are ninety-eight in total.

The FEHB package’s Self Plus One plan provides for the enlistee and one qualifying close relative up until the age of twenty-six, which could be a partner or kid. The Self and Family plan covers the enlistee and all the qualifying relatives.

Premiums for the Federal Employees Health Benefits (FEHB) Package in 2022

The percentage of FEHB package premiums remitted by federal retirees and workers will rise by 3.8% in 2022. In 2022, the national mean rise in FEHB package premiums would be 2.4%.

On the United States Office of Personnel Management (OPM) personal site, federal retirees and workers may check all current FEHB premiums and plans for 2022.

The open season for 2021 will take place from Monday, 8th November through Monday, 13th December 2021. Open season is a period for federal retirees and workers to check their vision, dental, and health insurance package for their families and themselves, and also render any necessary modifications to their insurance coverage.

Contact Information:
Email: [email protected]
Phone: 8139269909

Bio:
For over 30-years Flavio “Joe” Carreno of The Retirement Advantage has been a Federal Employee Retirement System specialist (FERS) as well as a Florida Retirement System specialist (FRS) independent advocate. An affiliate of PSRE (Public Sector Retirement Educators), a Federal Contractor & Registered Vendor to the Federal Government, also an affiliate of TSP Withdrawal Consultants. We will help you understand your FERS & FRS Benefits, TSP & Florida D.R.O.P. withdrawal options in detail while recognizing & maximizing all concurrent alternatives available.Our primary goal is to guide you into retirement with no regrets; safe, predictable, stable, for life. We look forward to visiting with you.

Disclosure:
Not affiliated with the U.S. Federal Government, the State of Florida, or any government agency. The firm is not engaged in the practice of law or accounting. Always consult an attorney or tax professional regarding your specific legal or tax situation. Although we make great efforts to ensure the accuracy of the information contained herein we cannot guarantee all information is correct. Any comments regarding guarantees, safe and secure investments & guaranteed income streams or similar refer only to fixed insurance and annuity products. Fixed insurance and annuity product guarantees are subject to the claimsâ€paying ability of the issuing company. Annuities are long-term products of the insurance industry designed for retirement income. They contain some limitations, including possible withdrawal charges and a market value adjustment that could affect contract values. Annuities are not FDIC insured.

Not affiliated with The United States Office of Personnel Management or any government agency

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